Observations (an example)

[fortydraws]

Don't lose focus ...

 

[fortydraws]

I drew it this way because we had a few days in August or September when NQ was also up against or even above the upper channel limit and this worked for me. I don't know if it will be useful today or not, but it was helpful twice in recent history under similar circumstances, so I 'm throwing it out there and we see how it goes.

 

[llIHeroic]

Well, that was some quick money.

Definitely could've let the short sit; really doubt ~48 is the lowest we'll see today, but price dropping so rapidly always makes me a little edgy. Will be on the lookout for a re-entry short at a better price depending on how things unfold.

 

[llIHeroic]

Took another short as planned. Seemed to hit resistance much earlier though. Not sure where we're going from here, but more range-bound behavior like the past few days seems likely.

 

[fortydraws]

I posted this chart with comments in gears journal. I'll just post the chart here. Anyone interested in more commentary can head over to gear's place and take a look.

 

[Buy1Sell2]

Never ever scale in or out. It is inferior behavior.

 

[fortydraws]

Never ever scale in or out. It is inferior behavior.

I am a day trader. I find for my plan that all-in and then 1/2 out with a high probability profit target, allowing the second half to run is optimal behavior for me. Scaling orders can be quite useful when used as @Handle123 does for money management, or when your testing shows a statistical probability one target getting filled is near 95%, but that the probability of subsequent targets being reached diminishes rapidly. Scaling orders is probably a bad idea when done out of fear or because one is averaging in without a tested plan. But to say it is always inferior would require the world to be different than it in fact is.

 

[fortydraws]

This was a journal of observations. I was mistaken that it would be treated as such.

[Edited by MAGNA:] At fortydraws request this journal has been closed.