The Stochastic Indicator

Status
Not open for further replies.
Yesterday I only did one trade for +.50 as i had computer problems in the morning and then qchart problems in the afternoon.

3-4-03

1. Enter: 9:48 Short @ 830.75
Exit: 10:17 Cover @ 828.25 +2.50

Day: +2.50 Week: +3.00

Reason for entry: 9:40 5m bar stoch(15.00,17.04) MACD -.305. AS the mkt borke the day lows I entered. The 5m 9:45 MACD wound up at -.51.

Reason for exit: 9:55 there was a 1m MACD XO and at 10:05 the 1m MACD XO zero. 10:15 5m MACD made a higher low and i was looking for the exit.

2. Enter: 1:09 Long @ 830.25
Exit: 1:30 Sell @ 829 -1.25

Day: +1.25 Week: +1.75

Reason for entry: 1:05 5m bar stoch(100, 92.86) MACD Hist: +.44 (volume was very low only 2780 and was definitely a concern).

Reason foe exit: 1:20 bar stoch(70.59, 78.43) never set up as a rocket and had a chance to get out -0.25, but held and sold as it broke the 1:20 and 1:25 bars lows. Looked back later in the day and wondered what i was doing b/c exit signal at 1:20 bar and i held until 1:30 (DOH!).

3. Enter: 2:20 Short @ 825.50
Exit: 2:53 Cover @ 823.00 +2.50

Day: +3.75 Week: +4.25

Reason for entry: I didn't get a good MACD Hist reading above -.4 until 2:20 bar. Stoch were well into short zone, but waited for a MACD Hist signal.

Reason for exit: MACD hist was grinding toward zero and the selloff was seemed real slow, volume felt pathetic, as well as reversal candles showing up. MACD 5m XO at 2:55 although i closed out before that.

:)
 
I have trouble decerning flat days. I traded today in error. At 13:00 est the 14,1,3 stoch on the 5min was nearing a long signal and was time to play ball, or at least pay attention. By waiting for the +0.40 on the MACD oscillator 5,13,6 and a quick glance at the 1min stoch 14,1,3 a long entry was made at 13:08est. I exited early at the first sign of the macd squeeze instead of waiting for the fasl line breakdown on the stoch 14,1,3. I only had 0.50 to the plus and the squeeze was already takig place. So to hold until fast line broke down through the 80 would be risking the profit I already had, and this was trading like a flat day. The early MACD diminishing squeeze right after my entry told me if I did note get out I would lose...as this rocket ran out of steam early. Also the 1min stoch 14,1,3 was out of the signal.

long 829.50 13:08est
out 830.00 13:13est
Plus 0.50

At 14:03 the 14,1,3 5min stoc signalled a short. Macd was cool so I entered what was a good short...I started feeling confident about Jacks system. I bailed on the MACD squeeze at 825.25. I now have learned that the macd squeeze shold not always be used to get out....it really failed me ..i could have got much more out of this short. oh well. This is when i should of looked at the 1 min stoch to get the confidence to stay in...and get the right timing.

short 827.75 14:03est
out 825.25 14:23est
plus 2.50

All of these trades I called real time in the chat room. I plan on being there tomorrow. I am a system trader and in between the system trades I trade in the chatroom. I cannot always catch all of Jacks discretionary system trades as sometimes I am busy with the mechanical system trades which does involve my time with some defined discretionary rules which I must attend to.

Perhaps i have no business calling the trades being a beginner at Jacks system...But I am an experianced ES trader.

Michael B.
 
...I thought that this was supposed to be relaxing?

Using a 75/25 trigger...

11:00 Short @819.25
11:15 Out @821

I didn't like this trade...it came after an extended move, and very near the LOD...but I took it because of the "trouble" I've had following the method to the letter.

12:47 Long @828
12:53 Out @829

This trade was a little "Jack" and a little "tampa" - kinda a get even trade. So don't expect any details.

03:20 Long @827.25
03:49 Out @828.50

Scared out by a one-minute XO, after "cheating" by staying in after a sell signal that would have resulted in a loss of about a point and a half.

Bottom line: Plus 1/2 on the day - Plus 4 1/4 for the week.
 
Today was the first day I felt out of synch was a little distracted and it showed in my trading.

1. Entry: 10:57 short @ 819.75
Exit: 11:16 cover @ 820.50 -0.75

Day: -0.75 Week: +3.50

Reason for entry: 5m 10:45 MACD Hist: -0.47 5m 10:50 bar stoch(3.70,25.08) entered short below that bar.

Reason for exit: During this trade the 1m MACD was pretzeling(not sure what to make of that), but also noted that market was not making new lows on ticks. 11:13 vol/price spike on the 1m and a MACD XO zero. 11:15 5m MACD XO.

2. Entry: 2:17 short @ 824.00
Exit: 2:35 exit @ 825.75 -1.75

Day: -2.50 Week: +1.75

Reason for entry: 5m MACD Hist: -.42 at 1:25 and was just waiting for stoch to get into zone. 1:50 were in zone but no setup. 2:10 5m bar again in zone and this time broke low of bar.

Reason for exit: 2:30 5m bar stoch(42.11, 26.78) put stop over the high of the bar.

3. Entry: 3:15 long @ 827.00
Exit: 3:31 sell @ 826 -1.00

Day: -3.50 Week: +0.75

Reason for entry: 5m 3:10 bar stoch(82.14, 85.71) and entered on pull back. Exited when support broke and 5m 3:30 bar stoch(71.43, 82.14).

In General:
While today was tougher and whippy, felt this was also the poorest i have traded in the last two weeks, poor execution made today's performace worse than it needed to be. Bad dawg. Bad.
:eek:
 
At 10:00est both lines on the 14,1,3 Stoch 5min did not break above the 80 line so no entry.

At 10:54 entered short at 821.00. I had 1min confirmation and macd was over 0.4. (tip: scale your macd wider to see your yellow horizontal warning line at =+0.4 and -0.4 clearly) At 11:01
I was tempted to exit at 819.25 which would have given me 1.75 profit...but I want fast line trades today...no cheating. Wished I would have cheated cause I got out at 11:13est at 820.25 giving me only 0.75.

short 821.00 @ 821.00
out 820.25 @ 820.25

plus 0.75

At 11:55est entered long at 823.25, based on the beginners stoch of 14,1,3 and the 5min. Macd was cool but there was a squuezing of the macd going on at the time of entry. I decided to not cheat today and to not exit early, and wait for the fast line, even if the macd was squeezing. I did not want to get shaken out of the trade. I got out at 823.75 .....there was a moment that the fast line popped out past the tape....but it was so fast I did not get out as the 1min and macd were still cool.

long 823.25 @ 11:55est
out 823.75 @ 12:12est

plus 0.50


At 13:53 est entered short at 825.50, exited at 826.00 w/fast line 14,1,3.

short 825.50 @ 13:53est
out 826.00 @ 13:55est

minus 0.50

There were several entry opportunities at 14:16 and on...but no macd values above 0.4 to allow it.

Michael B.
 
A Disservice?

After reading over the daily reports, it is obvious that we are all trading the exact same "system" but with significant differences in entries, exits, and results.

I can't help but wonder if posting blow-by-blow results only confuses the poor souls trying to make sense of all this?
 
Quote from tampa:

A Disservice?
I can't help but wonder if posting blow-by-blow results only confuses the poor souls trying to make sense of all this?
More...
no way, it just confirm that each trader participates in market according to each own perception and capacity.
 
Question:

When rockets are in their beginning stages...I have noted that the entry at the break of the 50% line on the 14,1,3 would yield greater profits.

But the problem is you don't know if its a rocket until it gets to the 80 or 20 line with a good macd.

My question is....if the macd is kewl can an entry be tried at the break of the 50% line, with an understanding of a breakdown of trend.... exit at market quickly?

Michael B.
 
Michael B.
I am sure that entries at 50 % should be more profitable, but IMO unless you are seasoned trader you should just follow what Jack outlined in this tread.
If you decide to trade at 50 % crossovers, you should immediately( after filled) buy/sell to cover your position.
Walter
 
Quote from ElectricSavant:

Question:

When rockets are in their beginning stages...I have noted that the entry at the break of the 50% line on the 14,1,3 would yield greater profits.

But the problem is you don't know if its a rocket until it gets to the 80 or 20 line with a good macd.

My question is....if the macd is kewl can an entry be tried at the break of the 50% line, with an understanding of a breakdown of trend.... exit at market quickly?

Michael B.
More...

The way you suggest is very appropriate with the following provisos. You want to check the 1 min to see that the beginning trend is there and also you want to be very sure that the 50& crossover ids occurring with an acceleration.

The flaw that you look for is to see if the Stoc could be going to be asymptotic top the 50% if it is not then you have a definite go.

The key here is that when the Stoc is leaving a prior 20'80 area, you do not know which of the two possibilities it may go to. The chief objective is too eliminate one of those two (50% or reversal). Once you have made the elimination , then you have a "go" for the alternative.

There are some Stoc plays that wait until the 70/30 for "proof" on the fast line. I belives the 1 min gives you a good answer along with, after 50% is crossed there is a divergence.

Major caution: Until you have made a lot of money (several times initial capital) you will have trouble with your persona in doing this both objectively and without hesitation.

Lets go to playing congestion as a slalom after a rocket ends. Use all of the above to "groove" on slaloming as long as the centering phase hasn't begun. We wiull always detect the beginning of centering as the alternative to accelerating through the 50% where, instead, you see the Stoc going asymptotic to the 50%.

After it does this "centering", you will be ready for bracketing to catch the BO either way it goes (resumption or reversal.)
 
Status
Not open for further replies.
Back
Top