Keeping Records

Quote from NoDoji:

That is a really interesting strategy and feel free to tell me "none of your business", that won't bother me one bit, but why buy a break of support rather than a break of resistance? I would normally look to sell a break of support unless some kind of bottoming/reversal signal is put in.
More...

This is based on personal experience and observations. Many people have their stop right below the 30 min low. I want those stops to be taken out and the market to just stay there. I wait for a down bar that does not make a new low and will buy once price goes up above the high of the 1 min bar. This way I can have a small stop (less than 3 pts.) and the target is 8 points. On times when the price is below the 5 min 20 p low, it is already in a downtrend and we do not buy. I know it works and am not too concerned that other people will copy it because sooner or later they will add indicators, or buy even if the 1 min makes a new low and sabotage themselves.

Here is an example from Friday. I took this trade and made a profit, but took other trades that were not supposed to be taken too.

#1 is when the price breaks the 30 min support and still above the 5-min 20 p low.
#2 is when price bounces higher and is a down bar that does not make a new low.
#3 is where we enter (1815) with a stop below the low of #1 bar (1812.50).
#4 is where we exit.

In this case our stop is 2.5 pts, and our target is 1823 (8pts.).
 

Attachments

Quote from garage sale:

This is based on personal experience and observations. Many people have their stop right below the 30 min low. I want those stops to be taken out and the market to just stay there. I wait for a down bar that does not make a new low and will buy once price goes up above the high of the 1 min bar. This way I can have a small stop (less than 3 pts.) and the target is 8 points. On times when the price is below the 5 min 20 p low, it is already in a downtrend and we do not buy. I know it works and am not too concerned that other people will copy it because sooner or later they will add indicators, or buy even if the 1 min makes a new low and sabotage themselves.

Here is an example from Friday. I took this trade and made a profit, but took other trades that were not supposed to be taken too.

#1 is when the price breaks the 30 min support and still above the 5-min 20 p low.
#2 is when price bounces higher and is a down bar that does not make a new low.
#3 is where we enter (1815) with a stop below the low of #1 bar (1812.50).
#4 is where we exit.

In this case our stop is 2.5 pts, and our target is 1823 (8pts.).
More...

Just to add to this, there was another trade after 8, that would have resulted in a loss of 2 pts. and another one after 10.30, that would have been profitable for 8 pts. My time is Pacific.
 
OK, I got it! Thanks for all the detail. This is basically a failed breakout (fbo) play which I also trade at times when I'm focused and catch it in time, also cross-referencing a 1-min chart to get in really quick with a tight stop. It's a very high probability/low-risk play, both with-trend and counter-trend.
 
It is not unkind because it needs to be said. You should just pack it in, watch the market for five years, and try again. You don't get it yet.
 
Quote from garage sale:

I haven't updated in the last 2 weeks because I did not trade good. I started adding few indicators to see if that will help filter out the trades. It just made things worse. Now I am going back to basics and trade based on PA only. No indicators, just 30 min, 5 min and 1 min chart.

Will start posting results from Monday again.
More...

Garage Sale:

I've been looking for you. Glad everything is cautiously ok and you're squirming to get back in the saddle.
I did not trade good
More...
Don't feel like an orphan my friend, we've all been there (truth be told). I've found that I learn much more from my own mistakes than I do from the mistakes of others. I wish it weren't so but I guess I'm just a hard head and slow learner.

I'm sure you've read it, maybe even posted in it, I don't recall but it's a great thread on PA. I thought this post was quite informative but the locals on the thread barely gave it mention. http://www.elitetrader.com/vb/showthread.php?s=&postid=2904287#post2904287 I find PA trading fascinating but I lack the "cajones" to give-up my squiggly lines, also PA seems to intense for me. I'm glad your back, and good trading.

<*)))><
 
Quote from Joe Doaks:

It is not unkind because it needs to be said. You should just pack it in, watch the market for five years, and try again. You don't get it yet.
More...

I am not sure if watching the market for 5 years will help me much similar to someone watching a surgeon perform surgeries will help that person with actual surgeries. Even with all these losses my account is exactly where it was when I started so I had wins along the way. My problem is just sticking with 1 set-up. Since I posted the actual set-up here, hopefully I'll follow my plan.
 
What you lack is cynicism. Five years of watching will give you that. What are you? Twenty-three I am guessing. The market is not an eleemosynary society. You don't know that yet. In no way do I mean to be unkind. I was your age once, whatever your age is. Enjoy now what only the young can enjoy. Then when you are old and cynical like me, trade. I guarantee you that the market will still be there. After your youth and its unique pleasures have departed. Ask NoNudgie. She knows whereof I speak.
 
Made 3 trades today. All three losses for a total loss of 117. In one of the trade I had the stop at the wrong place and lost an additional point there.

I followed the plan and it did not work today. I have noticed that if my entry is less than 2 points from the recent low, it is necessary to have the stop at 2 points.

Even after 3 losses today, I feel better than on days when I had 2 losses and a win.
 
Didn't trade on Tuesday or yesterday. Made 4 trades today and managed to lose 21. One was an execution error, where I had my limit price and was waiting for the confirmation but hit transmit accidently. That got stopped out in 10 secs for a loss of 44.

I have been reading trading books in the meantime. I found a book called How I trade for a Living by Gary Smith and now feel that it has opened something new for me. He struggled for many years but was able to trade for a living after below par performance for years. He traded NQ futures too when he started and was a long-only trader.

Few things that I got from the book.
1. Trade NQ long when the NQ is outperforming ES atleast by 1.5. So if the ES is up 3, we want NQ to be up 4.5.

2. It is better to wait for that 1 good set-up that does not happen everyday. There is no need to trade everyday. Serious money can be made if we can get 1-2 good set-ups in a week.

I am still going to trade my failed support strategy but will make sure that NQ is outperforming ES. I went back and looked at my losing trades and had I done that I would have never entered. Similarly, when the ES is making new lows but NQ is holding up steady, this might be a place to go long.
 
It has been 2 months since I trading live and I am pretty much where I was when I started. I am down $100 after 2 months. In this time I learned a lot expecially about myself. I thought I was disciplined but I found that I am not. I need to work on that. Being patient is something that I need to work on too. I feel good and still feel that I can make it eventually.

I have narrowed down my strategy to just 1 set-up. I will only trade that. In addition to that I will start calculating the 4 day MA of my account and when the account goes below the 4 day average, I will wait till it gets to the 4 day average again, so basically I have to stop trading for 4 days if my account is below the 4 day average. This hopefully will let me take just the best set-ups when all conditions meet.
 
You must log in or register to reply here.
Back
Top