Retiredat29,
From a statistical point of view, it's pretty clear what's going on here. She has an extremely high winning pct because her avg win/loss ratio is so low (aka payoff ratio). That is, she's willing to give up around 2 to 3 wins for every 1 loss on average. This comes from using a large stop loss with the majority of backlashes on the initial momentum not triggering her stop-out criteria.
It doesn't seem very far-fetched to me to expect a super high pct of trades to go your way on the ES if you're looking for 2 pts on high momentum and willing to give up 6 or 7 occassionally and then the 5 pt win here and there to pull that avg loss into the 5-6 pt region.
As far as the A/D line goes, that also doesn't seem out of line with how she uses it. If the A/D line is going to be faded to "fakeout" traders watching it, then it's going to go super high or low on the open and then go to the other way usually within the 1st hour of the day. She allow the A/D to settle out to determine whether the market has a higher pct chance of sustaining a bullish or bearish tonality.
The reason she's not posting so much is also obvious. Who wants to keep a journal and constantly be exposed to negative criticism? I certainly would not.
My opinion is that Trading4Living is on the up-and-up. She can continue to do what she's doing so long as her winning pct. stays in the 80%+ area with that low of a payoff ratio. If she drops below there, she won't make it (e.g., trade for a living) with the system she's using.
