I posted thursday night when es was 1272 that I would be a buyer in the 71's because of the ihs and that 1291 was the target. It then went 71.5 after that and tagged a rule of 10 entry. When it was 86 on friday i posted i would like to see 83 to 93 for a short. It fell to 83 then went to 93.75 I shorted 92.5 that i posted. As I said before I trade day bias, and gaps with these signals. I am generally bearish on mwf, and bullish on t days. I will take opposite signals on the days as long as they are above gaps on shorts such as friday or below gaps on longs. That simple crossover would have kept you from shorting anywhere between 72 and 92 on friday even if you did not have the foresight to see 91 as a target from the ihs as i did. I actually look for divergence not the crossover. The crossover lags but it does do a good job of keeping you from fighting the trend and that is something this strategy will kill you on if you are on the wrong side taking signals.
Rule of 10 Journal
- Thread starter jagmot
- Start date
I posted thursday night when es was 1272 that I would be a buyer in the 71's because of the ihs and that 1291 was the target. It then went 71.5 after that and tagged a rule of 10 entry. When it was 86 on friday i posted i would like to see 83 to 93 for a short. It fell to 83 then went to 93.75 I shorted 92.5 that i posted. As I said before I trade day bias, and gaps with these signals. I am generally bearish on mwf, and bullish on t days. I will take opposite signals on the days as long as they are above gaps on shorts such as friday or below gaps on longs. That simple crossover would have kept you from shorting anywhere between 72 and 92 on friday even if you did not have the foresight to see 91 as a target from the ihs as i did. I actually look for divergence not the crossover. The crossover lags but it does do a good job of keeping you from fighting the trend and that is something this strategy will kill you on if you are on the wrong side taking signals.
I should have qualified this point in my earlier response....the m/a would probably be used, as an indicator, to manipulate the profitable trade and for the purposes of fading etc...there would be some benefit in that....
THEY ARE NOT USED FOR ENTRY.
They are used to keep you on the right side.
They are used to help determine when to trail, get flat or reverse.
You can not use a lagging indicator for entry or you will always be chasing.
Speaking of 9-11 or hard 10, where did the hard 10 rule leave you at this moring ? Missing another signal 2 times in a row.
That's the point. R10 fades the trend. That's what it's all about. If you're attempting to use moving averages you're simply defeating the purpose of R10 in my opinion. Yeah, on a trend day you're going to lose 3 points. If you lose twice in a day in jagmots method, you're done for 24 hours.
OldTrader
The 24 hour rule is stupid. All it does it make you miss signals clear into the next day. I choose to sit out the day after only 3 points because I hate to lose. Even if i go negative 3 for the day, I will be right back on the same day once globex opens looking for a trade, I just won't put a trade on in the same session. This is a game of probabilites. By choosing to sit out for a day you are missing trades.
Fridays short signal was 93 at the close.
76 to 66 was not a loser yesterday unless you think you have to get 10 points profit on every trade. Even if you took the 10 from 91.75 at 81.75, it went to nearly 85 before falling. This can be traded fighting the trend on a trend day but you can't expect to get a 10 point target fighting the trend. That is why I said before one needs to scale and trail with this style to get maximum profit.
I understand the averages are not used for entry.
You seem to miss the point. There are no R10 buy signals that are above the moving averages, or sell signals that are below the moving averages. So if these averages are intended to "keep you on the right side", you will never be able to take an R10 signal.
I'm just looking at the information you provided. Maybe you need to rethink what you're saying.
By the way, I assume we just had an R10 sell signal. You missed it because you were following the moving averages.
OldTrader
Sick puppy
Would have stopped after hit yesterday and again today...didnot trade either as my price performance would not confirm. It usually isn't too far behind, but neither time got a squeak.
Will close the shop until tomorrow on "hard 10".