New guys, now is not the time

Quote from Dustin:

There's been some opportunities in the small caps this past week (SERV, FONR, VIFL, etc) but otherwise trading is as dull as ever. So long as the market keeps creeping higher on no volume it will remain this way.

Thanks Dustin for replying, I thought I’m the only one that feels like not much going on now, seems like it’s a great investors market.
 
traders love volatility, because when volatility is high they make most of their money. it seems reasonable that they should always try to short volatility in addition to their everyday trading if they want to smooth out their equity curve.
 
Dustin,

Are you waiting on 4 - 6 std dev reversal set-ups or the like?

Walt

Quote from Dustin:

There's been some opportunities in the small caps this past week (SERV, FONR, VIFL, etc) but otherwise trading is as dull as ever. So long as the market keeps creeping higher on no volume it will remain this way.
 
Quote from jones247:

Dustin,

Are you waiting on 4 - 6 std dev reversal set-ups or the like?

Walt

I'll trade anything with volume and volatility if I see a setup. This goes for breakouts and reversions.
 
Dustin I have a couple of questions if you got the time:
1. What period in the past is the most similar to the environment
you see today and how long did the dry spell last back then?
2. After the previous dry period, did the your methods start
working again or you had to reinvent yourself ?
Thanks
 
Quote from maler:

Dustin I have a couple of questions if you got the time:
1. What period in the past is the most similar to the environment
you see today and how long did the dry spell last back then?
2. After the previous dry period, did the your methods start
working again or you had to reinvent yourself ?
Thanks

Just take a historical look at a VIX chart to see how your strategies work adjusted for volatility.
 
Dustin,

There have been HUGE trading moves and fairly high volatility over the last 6 months in the high beta coal mining stocks. Have you ever put stocks like ACI, ANR, BTU, CNX, CLF, and MEE into your trading system?

Hope things are going well over in your neck of the woods.
:)
 
Quote from Algo_Design_Kid:

Just take a historical look at a VIX chart to see how your strategies work adjusted for volatility.

This is what it all comes down to for me. Of course I'm always trying to find strategies that work in slower markets, but really my income is derived from volatility. In the future I plan to hedge my income in case of a falling VIX environment...lesson learned.
 
Quote from Dustin:

This is what it all comes down to for me. Of course I'm always trying to find strategies that work in slower markets, but really my income is derived from volatility. In the future I plan to hedge my income in case of a falling VIX environment...lesson learned.

Well depending on your strat like you say it could go both ways. I don't think anyone's automated programs are quite firing like they did in 2008. But I have tested mine with 2006 volatility as well so I mean it's ok, but it has widened the gap between trading days considerably. I do not have to live on those profits as well, which helps of course.
 
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