Walther, you are upset because you ARE a trader as am I. I believe it is a waste of your time to try to explain what is clear to me, that Steve46 is NOT a trader. I've copied some excerpts from his old posts which may help your case.
Here he states floor traders do NOT use pivots:
02-17-04 08:26 PM
Well Hello Todd:
It is really hard for me to ignore this kind of post. Where to start, well first lets review your claim that " John's Pivot plays are well well known on the floor". I really can't let that stand. Some of us are either former floor traders or know an active floor trader. I have several friends who are actively trading "on the floor" of several exchanges. None of them use pivots. When asked they say that floor traders trade off order flow primarily, and when and if you think about it, it makes good sense.
Here he states "pivots mean nothing by themselves:
Hello everyone:
One of the reasons that pivots work is that retail traders believe that they are the "secret" method that local floor traders use (actually, floor traders mostly trade off the order flow, taking advantage of the signals that come by way of crowd noise, position in the pit, etc). To make money off the floor, retail traders need to find an edge. One way to do this is to find some basis or set of assumptions that will guide your decisions. If you look at the Emini charts today, you can see the late test of R1 pivot. The way I interpret this play is that smart money marked the market up to see if there was interest in a late day rally. They hit the stops (thousands of them) that were placed in the obvious place (right above R1). When those stops were hit, a lot of traders had to cover by selling, and because most of the buyers went home after lunch, the market dropped like a rock. By themselves pivots mean nothing (in my opinion). To make use of them, you really have to have additional data. I use volume, Tick, Ticki, Prem, Trin and NYSE advancing and declining issues. I use these indicators like on/off switches. If I see more on than off, I know I am on the right track. Hope this is of some help. Best Regards, Steve46
Here he ponders that one COULD develop a pivot system:
02-17-04 07:40 PM
Hello Everyone:
Thanks NihabAshsi for the kind comment. Glad to see you are well and about. I do not know the Carter method in depth, however there are some comments I can make from a review of the sales pitch. First, it looks as though the method relies primarily on price action. In the text of the pitch, Carter does say that he uses some "confirmatory" indicators. To me this means that he throws in any of several filters. Again from experience, and from conversations I have had with folks who know much more than I, it is apparent that these "systems" can be useful if a trader understands how to use them. You see anyone can calculate pivots. Appropriate references are available throughout the ET threads. Also any trader can learn to calculate the midpoint pivots and incorporate them into a system. The real question is "when do I enter" and "when do I exit"? If you think about it, these are really risk management questions aren't they? For instance, I like to observe how price acts as it approaches a pivot , how long it takes to move through, or if it fails, how long it takes to fall back. Also I like to look back to the left and see what price has done when it has hit this area before. To me pivots are like offramp signs on a highway. As we draw closer to our destination, we pull over and slow down, then we signal and exit. If many of the cars behind me are on the way to a destination further up the road, they will tend to pull to the left and accelerate around me, speeding up as they pass by my off ramp. I think price tends to do the same thing as it approaches and moves by, or pulls off the highway. Seems to me that just being observant, one could develop a system that makes good use of pivots without having to spend $395. Hope these comments are of use to all. Best Regards, Steve46
Hope this helps make your case which is valid but as I said already, you are wasting your time. These people want anything to cling to for hope. They don't care that this individual doesn't trade. On the FOMC day he said he had to go to the dentist but on a later post claimed he didn't trade his own FOMC system was because of family illness. He has trouble keeping his own facts straight. If being articulate would cut it as a trader then he would do okay.
As a final thought, you'll notice Steve46 has left the Emini S&P market for the Russell 2000 emini because he can't trade the S&P. No one who trades SIZE would trade the ER. It's fine for a one lot or three lot trader like Steve46 I guess. It looks to me like you would have trouble getting good fills without slippage. So why trade it when the other market is there for $500 a contract?
Someone mentioned I have many negative posts about Steve46. That's because, unlike most here, he bashes people all the time and he himself is "posing" as a "professional" trader, hedge fund manager, etc. etc. Tell me how does an engineer from Santa Barbara know floor traders in Chicago?
