<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1359075>
Spydertrader's Jack Hershey Equities Trading Journal III
- Thread starter Spydertrader
- Start date
- Status
<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1359075>
i thought the inter-twining action we're looking for is in the stochastic 5,2,3? so in this case, we would get in as soon as we see just a little bit of entwining and maybe stay in until the slow stochastic starts to dip below 80 i'm assuming..
since stochastic 5,2,3 is the fast stochastic hence it will get more noise, which is why using the slow stochastic to exit will be a wiser choice since we are getting out only when the long term trend is definetly going down. correct?
if you guys see any more rockets or bruno r examples, could you please post them up , if it's not too much trouble.
i would really appreciate it.
i know most people here have moved up to trading the FTT method, but if anyone is still looking for bruno and rockets, will you post your list of bruno, and rockets that you are hoping to trade for the next day? I will be doing this from now on.... please let me know if you guys see anything i am missing or should improve on.
since stochastic 5,2,3 is the fast stochastic hence it will get more noise, which is why using the slow stochastic to exit will be a wiser choice since we are getting out only when the long term trend is definetly going down. correct?
if you guys see any more rockets or bruno r examples, could you please post them up , if it's not too much trouble.
i would really appreciate it.
i know most people here have moved up to trading the FTT method, but if anyone is still looking for bruno and rockets, will you post your list of bruno, and rockets that you are hoping to trade for the next day? I will be doing this from now on.... please let me know if you guys see anything i am missing or should improve on.
G'day ya all...
Took a short trade on PCCC today. So far, so good...but tomorrow is another day!
Boy..u sure get hooked onto drawing these channels!
Questions: Am I annotating the volume bars correctly? If so, i'm thinking Volume trend for the LAST 2 bars is up; Price trend for the last 2 bars were down; then Price should continue to trend down.
Warmest regards...
Now, im reading Gaussians formations...call me blonde but Spydie..im trying to figure out the B2R, etc..I'll keep on reading...
Took a short trade on PCCC today. So far, so good...but tomorrow is another day!
Boy..u sure get hooked onto drawing these channels!
Questions: Am I annotating the volume bars correctly? If so, i'm thinking Volume trend for the LAST 2 bars is up; Price trend for the last 2 bars were down; then Price should continue to trend down.
Warmest regards...
Now, im reading Gaussians formations...call me blonde but Spydie..im trying to figure out the B2R, etc..I'll keep on reading...
Hi Chief
what I found very helpful in the beginning was to prepare some initial analysis sheets (IAS) for stocks with rank.
The way I did this was to print out 6-8 month daily charts and with a highlighter pen mark the 5 or so moves that gave the stock rank. Then from the bottom up I looked at what the indicators did before and during each move, reading values off the computer screen.
I calculated the entry date, conservative price estimate and sell date based on reasonable exit rules (SS drops below 80, peak volume has already occurred, profit target reached, time stop reached etc.) Then I averaged the returns from 5 such cycles for each stock to derive my own rank for each.
Needless to say this took some time to do properly (but when you get in the groove it is enjoyable work). It's a killer for seeing how the sequences played out in the past and what to look for in the present. I don't do this now because I now understand why the sequences are important and Spyders chartscripts do a lot of the grunt work. Nothing beats the old school approach sometimes for learning something. I prepared an Excel IAS template to gather the data (you still have to type in the values but it calculates the returns and averages).
Inter-twining refers to the Stochastic (14,1,3)
You might choose to consider the sequence of indicators, rather than, looking for a laundry list to use for entry and exit. Find some charts which show inter-twining, and note what happens 'just before' the inter-twining commences.
Actually, using the 'exit rule' as you describe 'gets you out' after the longer term trend has already started down. You might note what happens to the MACD around this time as well.
I'll post them as I see them, but you may want to watch HWCC and SIM tomorrow (and over the next week or two) to see how the indicator sequence works with these types of trades.
- Spydertrader
Quote from virgintrader:
Now, im reading Gaussians formations...call me blonde but Spydie..im trying to figure out the B2R, etc..I'll keep on reading...
Continuation
1. Uptrend - B2R
2. Downtrend - R2B
Change
1. Uptrend - R2R
2. Downtrend - B2B
- Spydertrader
thanks guys for all the help and support.
spyder, are you sure it's the 14,1,3 stochastic for the rockets? in jack's post he definetly said 5,2,3 was the one to look for:
http://groups.google.com/group/misc...icator+that+is+significant+is+the+Stochastic+(5%2C3%2C3).&rnum=1#ba4175dde097af07
"To find a rocket you only have to have your quality universe (they are very
high quality stocks with EPS and RS at 80 to 90 percentiles each. The only
indicator that is significant is the Stochastic (5,3,3). What you look for
on your daily charts are the stochastic rising deliberately to the 80% line
and overshooting it and then critically damping on the line; perturbations
will cause it to look entwined on the line"
spyder, are you sure it's the 14,1,3 stochastic for the rockets? in jack's post he definetly said 5,2,3 was the one to look for:
http://groups.google.com/group/misc...icator+that+is+significant+is+the+Stochastic+(5%2C3%2C3).&rnum=1#ba4175dde097af07
"To find a rocket you only have to have your quality universe (they are very
high quality stocks with EPS and RS at 80 to 90 percentiles each. The only
indicator that is significant is the Stochastic (5,3,3). What you look for
on your daily charts are the stochastic rising deliberately to the 80% line
and overshooting it and then critically damping on the line; perturbations
will cause it to look entwined on the line"
hey PointOne could you send me your IAS excel template or possibly post it here so i could download it? i am thinking of doing what you described to me.. i think it will be a wonderful way to learn, by doing everything by hand.
spyder,
i haven't read the stochastic link you provided me just now... i will tomorrow when i get a chance since it's 100 or so pages. but while i was re-reading journal 2 i came across you saying to use stoch(5,2,3) as the bruno indicator... and now you seem to say it's the stoch 14,1,3 that we are using? i'm really a little confused about this right now 'cuz i'm getting conflicting guidlines
unless you guys have decided to switched from the 5,2,3 stoch to the slower 14,1,3 that i was not aware of. Anyway, i'm sorry for all the trouble, but i would just like to get to the bottom of this so i dont end up trading by looking at the wrong indicator
here is the link to your post where you mentioned the 5.2.3 stoch:
http://www.elitetrader.com/vb/showthread.php?s=&threadid=56555&perpage=6&pagenumber=319
"In an effort to assist in the transition toward improved rates of return, I have, on occasion, added additional Hershey Set-ups (other than the DU ---> FRV ---> Peak Paradigm) to Journal Two. Trading Equities 'Rockets' falls into this same category. Some discussion recently developed on another thread regarding Jack's 'High Noon' Post written Friday, Jun 21 2002. (N.B. The Stochastic Setting of (5,3,3) in the linked post is our Stochastic (5,2,3) Setting). I have attached a current Daily Chart for GROW showing how one could use Jack's 'Bruno R' and 'High Noon' entry and hold rules to obtain far greater profits. A review of all Final Universe Stocks reveals several equities which may show signs of fitting into this set up. As with all new methods, I recommend exercising caution before jumping in with both feet."
i haven't read the stochastic link you provided me just now... i will tomorrow when i get a chance since it's 100 or so pages. but while i was re-reading journal 2 i came across you saying to use stoch(5,2,3) as the bruno indicator... and now you seem to say it's the stoch 14,1,3 that we are using? i'm really a little confused about this right now 'cuz i'm getting conflicting guidlines
unless you guys have decided to switched from the 5,2,3 stoch to the slower 14,1,3 that i was not aware of. Anyway, i'm sorry for all the trouble, but i would just like to get to the bottom of this so i dont end up trading by looking at the wrong indicator here is the link to your post where you mentioned the 5.2.3 stoch:
http://www.elitetrader.com/vb/showthread.php?s=&threadid=56555&perpage=6&pagenumber=319
"In an effort to assist in the transition toward improved rates of return, I have, on occasion, added additional Hershey Set-ups (other than the DU ---> FRV ---> Peak Paradigm) to Journal Two. Trading Equities 'Rockets' falls into this same category. Some discussion recently developed on another thread regarding Jack's 'High Noon' Post written Friday, Jun 21 2002. (N.B. The Stochastic Setting of (5,3,3) in the linked post is our Stochastic (5,2,3) Setting). I have attached a current Daily Chart for GROW showing how one could use Jack's 'Bruno R' and 'High Noon' entry and hold rules to obtain far greater profits. A review of all Final Universe Stocks reveals several equities which may show signs of fitting into this set up. As with all new methods, I recommend exercising caution before jumping in with both feet."
- Status