Moon Shot
- Thread starter u130747
- Start date
It might work, it migh not. Sometimes the price wiggles up and down to catch people who do what you are suggesting. Classic example: greenman days.
News move usually b/w 5-10 ES pts.
So for say, a 30-min bar of 5 pts you get 1:1/2:1 risk reward not rich enough for me. I'm not saying you can't make money with your "butterfly" strategy, it just isn't as easy as it sounds you have to tinker with the strategy.
One strategy I've thought of trying is to place stops on either end, but also limit order stops (with a wide limit range) a few points away to take the quick profit automatically. I've noticed placing orders manually on those quick moves is tough due to extreme lag. Of course this would make your r/r 1:1 or less, but you'd have a high probability of getting in and out.
What the hell is a GreenMAN day? Are you referring to Fed Chmn. GreenSPIN?
Quote from ddefina:
I know those Greenman days well. Those are official vacation days for me in the future. Last one caught me with 4 ES contracts going the wrong direction.
me too - i take greenie days off, although i will sometimes trade the open... lateky, just not playing has been a better strategy. the market will be there the day after greenie has shut his piehole. what's the hurry?
p.s. - i got caught massively short on BOTH "unscheduled" rate cuts in 2001. just the risk of trading, but a good reminder for me to have trailing stops!