NoDoji...

Swan Noir · Oct 11, 2013

Yes ... that's exactly where it comes from and it is ancient. That said, in Iron Mike's defense, it is unlikely he has read much military history and is probably not a plagarist!

Quote from kut2k2:

This comes from the age-old military wisdom:

No battle plan survives contact with the enemy.

The market can't exactly be regarded as 'the enemy' but it will do unexpected things and only adaptable traders will stay on top of it.

pokito · Oct 12, 2013

Quote from Visaria:
"People were asking me [before a fight], 'Whatâs going to happen?,' " Tyson said. "They were talking about his style. 'He's going to give you a lot of lateral movement. He's going to move, he's going to dance. He's going to do this, do that.' I said, "Everybody has a plan until they get hit. Then, like a rat, they stop in fear and freeze.' "

"Exactly," Tyson agreed. "If youâre good and your plan is working, somewhere during the duration of that, the outcome of that event you're involved in, you're going to get the wrath, the bad end of the stick. Let's see how you deal with it. Normally people donât deal with it that well."

He laughed. There's another way to spin his famous quote:

"How much can you endure, buddy?" he said. "Most talkers, they canât handle it."
[ [/B]

With that, I'm reminded of this clip..
http://www.youtube.com/watch?v=8p8qLOKL87oN

Would you say navigating markets with all kinds of cross-currents is somewhat like crossing that street?

You can plan all you want - if it's biker i'm gonna do this, motor car that, if big bus willl stop, will only cross with bunch of other pedestrians...yada yada yada...but until you get in front of that traffic and safely navigate day in and day out, you're dead meat. Remember there are no replays, no hard right, no sims, no reloading account.
So, when Mike says "How much can you endure, buddy?"...I know where he comes from.
And, yet there are hundreds of people crossing that street everyday. Their secret? - Practice

NoDoji · Oct 12, 2013

Quote from Vozdovac:

What about the ES, TF, or NQ? I think you mentioned that you've
traded the ES before.

Never traded TF, but shoot for 2 pts min in ES and 5 pts min in NQ.

NoDoji · Oct 12, 2013

Quote from toolazy:

you cant load more than 10 contracts with this kind of stops else risking htf will take you on. and if they do, and you start having losing days, more and more, what is the plan ? When do you stop trading ?

I've never traded more than 6 contracts CL. I trade CL small size and reserve size for swing trades via options in the S&P, which is one of the technically "cleanest" instruments I've ever seen for multi-day and weekly swings.

Tonkadad · Oct 12, 2013

I think it is clear what Iron Mike will do when punched in the mouth, "tastes like chicken."

Tonkadad · Oct 12, 2013

Quote from NoDoji:

..... swing trades via options in the S&P, which is one of the technically "cleanest" instruments I've ever seen for multi-day and weekly swings.

Would you mind expanding on your style of trading options on the S&P?

Same as intraday, just higher TF?

toolazy · Oct 12, 2013

Quote from NoDoji:

I've never traded more than 6 contracts CL. I trade CL small size and reserve size for swing trades via options in the S&P, which is one of the technically "cleanest" instruments I've ever seen for multi-day and weekly swings.

ok, thks. your scalps are really funding trades for larger swing trades ?

I also swing trade and have 'funding' trades based on shorter term period which spans over day or 2. These shorter term trades are of lower win expectation so I do not feel like playing these big either, usually risk 1/10.

Swan Noir · Oct 12, 2013

When you say HTF do you mean Higher Time Frame or did you mean to say HFT for High Frequency Traders? Also when you say "take you on" what do you mean and why would at (or even about) a 10 lot trigger that?

Thanks.

Quote from toolazy:

you cant load more than 10 contracts with this kind of stops else risking htf will take you on. and if they do, and you start having losing days, more and more, what is the plan ? When do you stop trading ?

NoDoji · Oct 12, 2013

Quote from Tonkadad:

Would you mind expanding on your style of trading options on the S&P?

Same as intraday, just higher TF?

See below.

Quote from toolazy:

ok, thks. your scalps are really funding trades for larger swing trades ?

The day trading is my business, it's how I get the paycheck to pay the bills and save for "retirement" (not sure what that means, lol).

The leveraged swing trading is reserved for high odds setups that happen only a few times a year.

An example was when the S&P slightly overshot an upper trend/channel line on 9/19 (connect the highs from 5/22 and 8/2). The pullback in this long term uptrend had been quite deep in May/June and in August, so I bought Oct puts for a move back to 50-day EMA or better.

There was confluence on this trade, meaning both the fundamentals and technicals supported a solid swing back to the 50-day EMA instead of a shallow pullback and further grind higher. Also, the odds of price running a whole lot higher without ever coming back to my break even point by 10/19 were minimal.

NoDoji · Oct 12, 2013

Quote from Swan Noir:

When you say HTF do you mean Higher Time Frame or did you mean to say HFT for High Frequency Traders? Also when you say "take you on" what do you mean and why would at (or even about) a 10 lot trigger that?

Thanks.

I'm guessing by "take you on" s/he's referring to that delightful evaporation of liquidity that occurs in CL when a new high or low in a strong trend breaks or when slow, low volume consolidation lures a bunch of inexperienced retail traders to the wrong side of the tracks and breaks the S/R level where all the stops are. I once got slipped over 20 ticks on a stop entry when that happened; it wouldn't be pretty if that was your stop loss with 10 or more contracts on.