Technical Strategy

Quote from Neoxx:



Just realized parts II and III of the Drill have been combined into one.

Have already spotted some glaring errors (notably in the part II drill), but will save them for debriefing.

Eleven pairs of charts and logs have been posted. As per recommendations, I'll wait for some initial feedback before continuing with the second part of the drill.

Incidentally, dinner engagement in five hours (uncle in town for one night) and early start at work tomorrow, but will make sure I complete at least part II of the drill (i.e. get to channel pt 3) for all the charts before the end of the night.

Frenchfry, thanks for asking some important questions. I'm sure the answers will benefit everyone. [/B]

carry forward

The pairs od days start on page 55 (using 5 posts a page rate).

I will get days 1 through 10 entry done now; I have completed a partial ignore to clean this thread up for myself.
 
Attached is log comment 1.

I make several points.

Go back to the entry section of page 1 of each date and add the indicated upgrades to each log in a colored pen (blue). then as we work along we will use pencil.

th "effect" of drilling through ten logs will be to make the box labelled "mind certainty building" become more reinforced for al the days ahead as you log. It is a cluster of data log elements that came off the chart and into the log. the cluster will be used in everything for everthing.

By changing the position of T in price and in the sub column of sentiment, you mind thinks of the columns differently where price is M and sentiment remark is A of MADA. It is a "processing" activity.

By this refinement done as a drill on 10 sheets, you get the benefit of cycling in your mind and connecting more and more synapes to the same streams of neurons.

By "seeing" you have "assigned" point 1 as an aspect of "entry" decisions, you are in a state mentally "that you know you know" and no wild ass guessing is going on.

You will see later on higher level trading that, then, with those skills and knowledge, that you can step into the market sooner and more confidently.

I will introduce a gauge for you, that is biofeedback based, later when we are more and more settled into our routine. I'll call it a coherence measure to keep with the jargon of the software involved. I thought I would have it running for another person by now but he has decided to keep in the state he is in for a while.

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As I reviewed each pair I concluded that we have a quality start.

Lets do the next two traverses so we can get to point 3 on each chart and log.

When we have the traverses anotaed in pen or colored pencil (red for short and green for long), then we will be able to annote the channel by noting point 3 and going BACK to find point 2.

We can do the pairs (chart and log) for each day and post them as each pair is completed as you work along.

We are in the market on a dominant traverse in a channel that has a designated direction

Do not fill in the contracts level since it is unknown as yet except for day 1 where it is 1 contract.

I will keep reviewing your entries. Please do the indicated log work but do not post the improvements; they will show up as you get the next stage done (getting two traverses to show the channel the day begins with).

Put up a blank log so that a clean log is available to others who may with to print longs for their use. TIA.
 
Quote from jack hershey:

As I reviewed each pair I concluded that we have a quality start.

Put up a blank log so that a clean log is available to others who may with to print longs for their use. TIA.

Thanks for the feedback, Jack. Will make the log amendments, then get started on the next stage.

I've attached a blank log, and encourage all observers to participate in the drills.

<img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=2138175>
 

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As we keep working on days 1 through 10, we get to see that days 1 through 5 started the same way and occasionally the direction was different.

All the days do have point 1's and we are headed to point 3 so we can look back and put in point 2.

As each log is started we can use the first couple of line to deal with the following. Its preflight plus.... Most are just mind reminders; be selective in noting and settle in.

A. Market Carryover

1. how the day traders exited

2. Last trading of big money

3. the final deals of the bottom fishers.

4. News coming up. (fill in on approx sheet for day)

5. standard reporting coming up (fill in on approx sheet for day)

B. Premium

1. yesterday's and its drift.

2. how overnight and the world turning set up the open's reversion to the mean opening trading in BOTH the cash and the index.

3. Who is in charge before during and just after open.

C. SCT Carryover

1. channels (print Todd's charts if mentoring/ locals)

2. ATR.

3. volatility of price

4. Volume PACE carryover potential.

5. How PACE changes are going to divide the day (A seasonal thing, ordinarily)

6. Capacity issues

a. PACE/capacity chart

b. Harmonics notes

7. math and null issues for examples.

8. Other edge upgrade support.

I'll probably do a few before open as boot camp moves to intermediate and onward. The next days will be rough ones market formationwise.
 
Housekeeping.

Day 8 is missing and Ezzy slipped it to you a while back.

We have ten 3 cut file folders rolling and a cover that slides.

We have a cool starting log and we have the communications rolling and the weekly cleanup happened.

I smiled and said something funny.

Three immediate objectives.

Keep adding stuff to your learning three ring binder as each thing is done. Punch and pile it in in a reverse chron order so the binder has the last stuff on the top in the front. We will tap it later. Tabs come in colors and they can be topically coded by color.

We will not use tabs to note a rule set because we are not building a rule set, we are building the mind instead. We tab aha's and religious experiences. we tab when something we are drilling on goes from short term memory to long term memory. If something doesn't stick we just need more drills.

As time passes the edaily routine will just go through the day and at that time we start the 3 ring trading binder. It will be about 2 1/2 inches a month.

The volumes of the learning binders will pile up faster. Use 2 in 3 ring binders all the time. just squeeze the trading binders at the end of the month. We will have three by the end of the year. You can change binder color each quarter. You staff will do the ones starting in the third Q of 2009 (1JUL09).

You will need to snag "coherence" displays soon. Use a separate binder for all the parts of personal healthiness. We can use about 12 tabs for that.

On to the point 3 two traverse drill pass on each of the 10 days.

Tomorrow you do the entry and the drill to get to point 3 in real time. We just sweep it into the work of boot camp.

When we get the days done we will fill in the remaining A parts so we can do the adding of contracts as a bootcamp theme.
 
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