Micro E-mini Madness (2% per day)
- Thread starter sstheo
- Start date
You are doing good. If it were me I would not change anything. I would just keep plugging along. If you start trying to use other strategies one or two trades can wipe out your gains and undo your graphic.
Once I got say 2 grand of profits ahead I might..might...might.. want to test the waters with some more tactics but what you are doing is working for you and that is WHAT is important. DO NOT worry about the bigger gains nor about reaching your stated goal. That is precisely where traders mess up. STRIVING FOR BIG GAINS AND GOALS. BIG MISTAKE IMO.
I would get very good at the short quick gains taking what the market gives me WHEN it gives it to me. Once I got great at doing that and very consistent at doing THAT then the larger profit comes from just upping the size I trade. Below is an example of today MES upping the size, not huge, but somewhat bigger.
THE PROFITS seems slow and tiny now for you but remember all good things usually start small. I would want to get very consistent with the little profits and slowly up the size in accordance with my rules. Then the larger profits will magically appear.
This is not mean’t as trading advice but simply as MY OPINION.
I think you are on track. Scalping can be a very very lucrative way to trade regardless of what the naysayers spout off. Plus it is easier to determine probabilities 5 minutes from now than 4 hours from now.
Below in the chart after the big bar down notice the 5 shorts (after the big bear bar) that I made averaging in at 10 micros a clip in the MES. I was already ahead a little over $300.00 when I took these shorts, if I remember correctly. The markers on the big bear bar were previous trades. I ended up short 50 contracts which really isn’t a big trade (just 5 regular ES’s) The last entry of 10 MES contracts was made close to the 50% pb area (I don’t believe in Fibs ..they lie too much ..LOL) but this 50% (not a fib) is an important area for pb’s and a likely place for the previous trend (big bear bar) to resume, if it had not already resumed. As traders we should remember that 50% area!
The bar after the big bear bar showed the bulls pushing back hard (big tail on bottom). This was profiting by bears (from big bear bar) and long entries by the bulls. I reasoned it wouldn’t go back up too much farther before the bears would push back and I would get a subsequent second push down to test low...at least enough to make a good scalp on multiple averaged down contracts. This big bear bar was alot of weakness and likely at least a little more weakness would follow.
So I started averaging down. If it had retraced 75% of the big bear bar then my premise of trend continuation south for a scalp would be wrong and I would exit ALL positions and double up in the northernly direction.
I ended day $1305.00 before comm. Do this with the ES and some serious dairy queen and Dillards (for the wife) money can be made.
See, the process is the same for small size and large size...well up to a point. It isn’t easy psychologically to trade like this. But if one can work the process and learn to forget the money...LOL. I sometimes hide the currency AND points or ticks view on the DOM so I am not distracted by money made or lost (or points..ticks lost or made). That way I can just focus on the PROCESS. Of course, I take a little peek once in a while..ROFLMAO. Curious you know!
PS l get tickled pink breaking the guru’s rules and making money doing it...
Once I got say 2 grand of profits ahead I might..might...might.. want to test the waters with some more tactics but what you are doing is working for you and that is WHAT is important. DO NOT worry about the bigger gains nor about reaching your stated goal. That is precisely where traders mess up. STRIVING FOR BIG GAINS AND GOALS. BIG MISTAKE IMO.
I would get very good at the short quick gains taking what the market gives me WHEN it gives it to me. Once I got great at doing that and very consistent at doing THAT then the larger profit comes from just upping the size I trade. Below is an example of today MES upping the size, not huge, but somewhat bigger.
THE PROFITS seems slow and tiny now for you but remember all good things usually start small. I would want to get very consistent with the little profits and slowly up the size in accordance with my rules. Then the larger profits will magically appear.
This is not mean’t as trading advice but simply as MY OPINION.
I think you are on track. Scalping can be a very very lucrative way to trade regardless of what the naysayers spout off. Plus it is easier to determine probabilities 5 minutes from now than 4 hours from now.
Below in the chart after the big bar down notice the 5 shorts (after the big bear bar) that I made averaging in at 10 micros a clip in the MES. I was already ahead a little over $300.00 when I took these shorts, if I remember correctly. The markers on the big bear bar were previous trades. I ended up short 50 contracts which really isn’t a big trade (just 5 regular ES’s) The last entry of 10 MES contracts was made close to the 50% pb area (I don’t believe in Fibs ..they lie too much ..LOL) but this 50% (not a fib) is an important area for pb’s and a likely place for the previous trend (big bear bar) to resume, if it had not already resumed. As traders we should remember that 50% area!
The bar after the big bear bar showed the bulls pushing back hard (big tail on bottom). This was profiting by bears (from big bear bar) and long entries by the bulls. I reasoned it wouldn’t go back up too much farther before the bears would push back and I would get a subsequent second push down to test low...at least enough to make a good scalp on multiple averaged down contracts. This big bear bar was alot of weakness and likely at least a little more weakness would follow.
So I started averaging down. If it had retraced 75% of the big bear bar then my premise of trend continuation south for a scalp would be wrong and I would exit ALL positions and double up in the northernly direction.
I ended day $1305.00 before comm. Do this with the ES and some serious dairy queen and Dillards (for the wife) money can be made.
See, the process is the same for small size and large size...well up to a point. It isn’t easy psychologically to trade like this. But if one can work the process and learn to forget the money...LOL. I sometimes hide the currency AND points or ticks view on the DOM so I am not distracted by money made or lost (or points..ticks lost or made). That way I can just focus on the PROCESS. Of course, I take a little peek once in a while..ROFLMAO. Curious you know!
PS l get tickled pink breaking the guru’s rules and making money doing it...
GREAT TRADING Volpri! And thanks for the vote of confidence. Indeed as my account grows, I am committed to not changing my style except for the ongoing attempts to hold a bit longer on some trades. I know that if I substantially change anything I am setting myself up for failure. And as the account grows, the average number of trades I take should NOT go up at all, but my position size will. Yes, I may scale out and let runners fly (or drop), but overall nothing else should change much - otherwise, I will have to readjust or reinvent with each increase in available contracts as the account grows.
Contradiction...You are not changing your style, EXCEPT...
That is what gets everyone, everytime.
Do not change a thing. Do NOT attempt to hold for longer timeframes, because that exposes you to more risk.
Your better bet is to do what you are doing RIGHT NOW, but simply increase size.
Do NOT attempt to increase your holding times, because that is not your current system. You would be WAY better off just increasing the size of the positions.
Overnight, you have great insights.
Something will happen when I reach $1500. I will be able to trade with 3 micros at a time. I have never (profitably) traded 3 live positions at once on any live account, and have been looking forward to the opportunity because of the ability to scale out. There have been MANY times I have wished I had a runner as I have missed 10 to 50+ point runs on the NQ or YM.
The way I see it, I can trade one of three ways when I have 3+ contracts:
1) All-In/Scale out. I have been looking forward to trying to let one position run after I close out 2 at my normal take profit spots. Scaling out seems to be a good way to reduce risk.
2) Scale in/Scale out. I can start with 1 and then add 1 on a pullback and and another 1 on a further pullback. After a predetermined stop loss, I would get out and maybe reverse.
3) All-In/All-Out. This method is what I have always done and would certainly minimize any technical errors.
I am still figuring it out, but #1 seems to be the best combination of safety and reward, but #3 is the easiest and would fit exactly with what you are saying.
Thoughts?
Thoughts? You have just proved to yourself what works...#3, by merit of your typing.
I think it is also great that you have extra support in the "other thing" that you invited me to. I see what is going on in there. It is a support network, it kinda' helps reinforce your beliefs, etc. DON'T CHANGE A THING.
The time to get "experimental" is during a salad market like 2017. But those times have vanished from the face of the earth. Trump has assured this with the trade war.
Keep doing what you are doing, don't change a thing.
I have learned that now, one must always use stops in these crazy trade times, like what we saw today at 1:13 PM ET. Don't be a freak like me and continue on with an old idea when the conditions change. I got lucky that the markets went my way on no negative news yesterday, and got out at the 7952.00 target.
It makes me want to get all algo with a news reader of some sort, because hell, news moves the markets.
Yep...
He has a high win rate. Takes his profits quickly as the market gives them to him. He can always enter again if he finds he exited too early. But by early exiting he locks in a sure profit. As opposed to having a paper profit, not locking it in, and the market taking the paper profit away then perhaps even worse, adding insult to injury by tapping the stoploss. Or making the pain so unbearable he scuttles the trade for a loss anyway.
I know..the pundits say transaction costs too high...I don't care what they costs if I make money by locking in my profits...have a high win rate..and avoid getting stopped out just about every time I turn around...I have not counted them up yet but I probably traded only 70 to 75 contracts today in MES. My transaction cost on 75 RT = $183.00. My gross $1305.00. So...would I give up 183.00 to net 1122.00? You bet...everyday including tomm sat...if I could and market was open..LOL. But I gotta paint the living room and watch football too.
I like to look at it this way. A broker has got to make a living too. Maybe he could treat his wife to a good meal?
If I were He and I did change anything it would be to increase my position size as my account size allows per my rules. Just my opinion. Not advice.
He has his technique going for him.
If I count it right he has 23 days of trading. 20 wins. 3 losses. Thats an 87% win rate. A very important metric for a scalper.
Last edited:
I envy you. Wish I could average in the way you do. I tried it this last go, and it took me almost a week to swing it to my favor. 200 bux. *snore*
I think you are trying to apply it with swing trading. That is like watching paint dry. Why don’t you try it on a sim while scalping? Do what he is doing. Take positions on PB’s and trading the outer edge of ranges back to middle of ranges and scalp...at all times. Forget runners. Average down on PB’s as they get bigger (providing the larger contexts supports the trend continuing as all PB’s aren’t equal). Start averaging in short in top third of a range or long in bottom third. Exit on movement back to middle of the range. Don’t worry if it goes all the way to the other side of the range and you exited early. Doesn’t matter you made money and a new opportunity has just presented itself now at the other extreme side of the range.
Just try this on a sim and see if it works for you. Just be aware of the larger context too. And watch the individual bars for buying/selling pressures....gaps ..etc.
And since you will be doing it on sim block the Dollars...points ..ticks made or loss on the DOM. Hide them. Just focus on the process. Don’t relate the process to money made or lost. Turn it off.
And use a PA SL not monetary. Exit all positions if your premise proves to be wrong and look for the next opportunity to double up in the opposite direction.