Mental Ceilings and self fulfilling prophesies

Quote from Girlpower:



Here is a simple idea to get htings started.

Draw a line across the page at the open price i.e. 0930EST.

If the price runs above this line buy it with a small target and equivalent stop, below do the same.

Repeat the exercise by redrawing the line every 60 mins... (or 30 mins if you wish)

Basically playing out of price levels with the flow...

If a trend can be identified at the lines subsequent lines, go with the trend picking off the small target as before.

This is not tested and just a quick thought from looking through a couple of days of charts...

Best

Natalie
More...

Another sample of similar approach mentioned by our esteemed Moderator inandlong: (I hope he don't mind.)

QUOTE
inandlong
Moderator

Registered: Apr 2002
Posts: 1557


08-08-02 11:42 PM

1) Pick any trading vehicle with good volume

2) Draw a horizontal line at the current price

3) Be long above the line and short below it

4) Use the 10 tick (or whatever) trailling stop


You don't need trend finders, indicators, Level II... just trade. Look at a chart of anything..... how long does it stay at any one price, or cross the same price repeatedly more than a few times until it runs one way or the other.

You must be in to win!
UNQUOTE
 
Quote from OddTrader:



Another sample of similar approach mentioned by our esteemed Moderator inandlong: (I hope he don't mind.)

QUOTE
inandlong
Moderator

Registered: Apr 2002
Posts: 1557


08-08-02 11:42 PM

1) Pick any trading vehicle with good volume

2) Draw a horizontal line at the current price

3) Be long above the line and short below it

4) Use the 10 tick (or whatever) trailling stop


You don't need trend finders, indicators, Level II... just trade. Look at a chart of anything..... how long does it stay at any one price, or cross the same price repeatedly more than a few times until it runs one way or the other.

You must be in to win!
UNQUOTE
More...

:)

Aren't these both examples of how we make things very complicated when we don't need to?

And Bruce's example.

Pick a stock, wait for it to go down, when the MACD turns up wait for the price to go green and buy it...

simple!


best regards

Natalie
 
Quote from bubba7:



I looked at a few journals and the YM is a place to consider for a lot of basic reasons. I thing it would neutralize a lot of the rifts here too because of the change of scenery.

I don't think we should start with a target daily performance. ITHe performanece is automatically going to improve within 30 days and that will be a nice "push" that is automatic.

Before we start I recommend that we set up a format for reporting results. I recommend that it be financial as well.

I have a Tv session coming up for CERT documentary by one of the channels..Fun and games

I will come back later today.
More...

Good idea.

So something to trade YM with.

Best
Natalie
 
Quote from OddTrader:



Another sample of similar approach mentioned by our esteemed Moderator inandlong: (I hope he don't mind.)

QUOTE
inandlong
Moderator

Registered: Apr 2002
Posts: 1557


08-08-02 11:42 PM

1) Pick any trading vehicle with good volume

2) Draw a horizontal line at the current price

3) Be long above the line and short below it

4) Use the 10 tick (or whatever) trailling stop


You don't need trend finders, indicators, Level II... just trade. Look at a chart of anything..... how long does it stay at any one price, or cross the same price repeatedly more than a few times until it runs one way or the other.

You must be in to win!
UNQUOTE
More...

To make the above excellent method (from inandlong) becoming more specific and simplier:

1) Draw a horizontal line at the current price.

2) Use X (say 5) tick stop entry for long above the line and short below it.

3) After the long/short position of 2) is established, Use Y (say 10) tick trailling stop-loss (of course on the opposite side).

4) Modify X and Y statiscally according to the current market characteristics of the instrument being traded.

Very Very Very Important Note: Use real-time charts with visual inspection for testing and verifying the method many, many, many times before committing minimum amount of real money for actual trading.


:mad:
 
The title of this thread is "Mental Ceilings and self fullfilling
prophesies" under the Forum Psychology.
The first 65 pages were about pointcounting, now
the thread is about tradingstrategies.
What has went wrong?
Perhaps it´s better to start a new thread called
"Tradingstragies"
 
Quote from AngryBull:

The title of this thread is "Mental Ceilings and self fullfilling
prophesies" under the Forum Psychology.
The first 65 pages were about pointcounting, now
More...

The discussions of the early part clearly demonstated that there are as many mental barriers as there are mechanical ones.

We saw those in operation all the time.



the thread is about tradingstrategies.
What has went wrong?
Perhaps it´s better to start a new thread called
"Tradingstragies"
More...


It is not possible to consider whether it is actually a limitation of thinking, without exploring whether the limits are in fact mechanical.

Interestingly there was a staunch defense of the average that was being explored as being almost a mechanical barrier.

It is about bringing new perspectives, and improving thought processes.

many more reasons for this exercise...

in any event, if there is something useful to you in any methodology discussed, is that not helpful to you? so where is the problem with that?

Best

Natalie
 
I´m a hands on practical person so unfortunately
I have not understood much of this stuff and
how to apply it to my trading tomorrow.
 
Quote from AngryBull:

I´m a hands on practical person so unfortunately
I have not understood much of this stuff and
how to apply it to my trading tomorrow.
More...

Then hopefully this bit should be right up your street. :)

Good trading tomorrow

Natalie
 
You are sharing far too much of your experience here. What you just shared a few threads ago went over many peoples head, or there would be much more comment.

The power in trading probabilites again flow and velocity is what you are describing.......This is done in the pit without any indicators and is possible in the Electronic markets too.


Both Jack and Oddtrader have valid methodologies no matter what each of them say....LOL

Michael B.
 


What level of returns is magnificent in whoever's opnion.
What is or is not achievable.



I beg to differ. If the issue is mental ceiling, then the above points are at the heart of the matter.


So just because we are not actually designing a system to do this - i.e. use the capital at hand more efficiently and improve returns from where they currently are - but discussing the psychological aspects and more general aspects involved in raising standards to do just exactly that, all of a sudden it turns into an argument with trite points being made.

If I sound sarcastic and cynical is it any wonder...



Well, if I sound the same because certain people choose to ignore the implications of what I've posted, or at least make no serious attempt to challenge or refute (or even understand!) them, I hope you, too, will understand.

I'll leave you with that. All the best to the would be Buffets of ES trading; may all your trading dreams come true. And remember, anything less than 5pts/day ain't worth opening up your TWS for.
 
You must log in or register to reply here.
Back
Top