Spydertrader's Jack Hershey Futures Trading Journal

[CFerret]

Spyder:

I have two questions regarding forest level trading (didn't find answers in the thread):

One is after I enter on PT3, do I wait for the initial RTL (which was formed using this PT3) to be broken only or additional RTLs which appear later also suit for this?

And another is what if I enter on a PT3 and then see an FTT which is at the same time PT3 inside the current channel is it a valid reverse signal or should I wait until the break of RTL to stay in a forest level?

 

[Spydertrader]

Quote from CFerret:

One is after I enter on PT3, do I wait for the initial RTL (which was formed using this PT3) to be broken only or additional RTLs which appear later also suit for this?

In an effort to protect profits earned, one may choose to exit on a RTL break of a 'steeper' Point Three Trend Line. One can then begin to look for a Point Three in the opposite direction. Remember to always match the Gaussians with the channels.

Quote from CFerret:

And another is what if I enter on a PT3 and then see an FTT which is at the same time PT3 inside the current channel is it a valid reverse signal or should I wait until the break of RTL to stay in a forest level?

If one sees two FTT's (the second which forms a Point Three in the trend), then one has a new Point Three Channel in the opposite direction. Waiting until the second FTT to reverse often allows the trader to avoid the FBO's which often develop after a single FTT.

- Spydertrader

 

[Spydertrader]

Since Monday marked the first really tight range / low volume day since beginning the Journal, I wanted to take the pulse of those individuals following along. To that end, please feel free to provide input on the following questions (or any other input desired).

How did everyone perform on such a low range day? Could you 'see' the market better in the morning compared to the afternoon? Even with the extremely low volume and tight range, could you still draw in the Gaussians? Did you sideline when the extremely low volume hit? Did you ride it out? How did it all work out?

Thanks in advance for any responses.

- Spydertrader

 

[Ezzy]

Quote from Spydertrader:

Since Monday marked the first really tight range / low volume day since beginning the Journal, I wanted to take the pulse of those individuals following along. To that end, please feel free to provide input on the following questions (or any other input desired).
snip . . .

As you know, I'm usually doing the afternoon session. First thing I thought was WTF? Did I miss an early rollover? LOL! We weren't just in dry up but very dry up, so I thought forget this. By the time it looked like we might have volume coming in around 15:00, that late in the day, it was "forget it".

The 20SMA was flatlined as well. For gaussians it was hard in the afternoon as there was lots of drift. The good part was recognizing it's time to sit on the sidelines. - EZ

 

[ivob]

Quote from Spydertrader:

Since Monday marked the first really tight range / low volume day since beginning the Journal, I wanted to take the pulse of those individuals following along. To that end, please feel free to provide input on the following questions (or any other input desired).

How did everyone perform on such a low range day? Could you 'see' the market better in the morning compared to the afternoon? Even with the extremely low volume and tight range, could you still draw in the Gaussians? Did you sideline when the extremely low volume hit? Did you ride it out? How did it all work out?

Thanks in advance for any responses.

- Spydertrader

I performed worse than normally.

The first gaussians should have made me realise that this could be a low volume day. I entered perfectly on the 1st long opportunity but then gave it away and had a few bad trades after that. I recorded my screen and talking/thinking and even hear myself say when the market opened that it could be a low volume day because of FOMC coming up in two days.

In the afternoon I was just observing the dom walls appearing and disappearing. That was interesting.

Are there any early indications of a low range day?

regards,
Ivo

 

[palinuro]

Quote from Spydertrader:

Since Monday marked the first really tight range / low volume day since beginning the Journal, I wanted to take the pulse of those individuals following along. To that end, please feel free to provide input on the following questions (or any other input desired).

- Spydertrader

I didn't 'see' the market convincingly enough to trade at the start, and then realized quickly that volume was evaporating, so I sat it out. In retrospect I perhaps should have practiced wash trades, using limit orders....

In general, I often sit out the afternoons, unless the low volume is continuing an already existing trend.

 

[dkm]

ES 7 May 07
10:30 S 14.25 on basis of pt 3 at 10:20
11:05 rev to L at 15:25, RTL BO and pt 3 10:55
11:08 exit 14.00 RTL BO

2 trades -1, -1.25

When I saw volume drop to du I monitored from the sidelines for the remainder of the day.

 

[Avi 8]

Spyder-

When Monday started, the first thing I noticed was volume was not even to extraordinary levels. Thinking I was on a bad Qcharts server, I switched, but found the volume was correct. I then thought, this is going to be a 'slow' day (ie, low volatility and high risk, therefore sitting out) with the FOMC on Wed.

I wouldn't say I 'saw' the market any better or worse as the day went on, I just tried to 'listen' better. I am happy with my performance yesterday in being able to recognize the lower volume and to anticipate lower volatility as a consequence.

The YM helped out on the gau. Later in the day when bars would open and close at the same price resulting in a black bar, I really had to look at the YM to make sure the gau were correct. I also realized at this VDU level, I was observing noise. I count at least four '1 tick' bars yesterday. No money to be made there, so I was sidelined most of the day.

Overall still a productive day, had fun in the chat, made progress on some reading, and kept up with the annotations.

Thank you again for your unselfish efforts,
Mike

 

[Tums]

I pay close attention the the volume. When the volume dried up, with the tape broken successively on both directions, I sat out.

Spent the day programming my indicator alerts.

 

[Steve Tvardek]

I sidelined as well, I could see the gaussians fine however could also see that we werent moving. Better to not get involved w/o the finer tools than to push it when its just not there.