Thank you all for the response guys. I found alot of the info very helpful. I have spent some time reading YM traders thread and I'm happy to notice that many of you guys are the same ones who have been posting on there consistently. Thanks again and I will be spending alot more time here reading more related threads.
Trading YM Consistently?
- Thread starter marc2market
- Start date
Thank you all for the response guys. I found alot of the info very helpful. I have spent some time reading YM traders thread and I'm happy to notice that many of you guys are the same ones who have been posting on there consistently. Thanks again and I will be spending alot more time here reading more related threads.
I trade ES, not YM.
My intention is to be helpful, having said that, I will repeat what I've posted in other threads here:
The only people making consistent profits with indicators are the software vendors that sell them.
Pure price action is the way to go, all the indicators out there are simply derivatives of price, time, and/or volume, and therefore they lag what is happening. By the time your indicator tells you to buy a good chunk of the move is over and/or you won't get good trade position. Likewise, if your indicator tells to you to exit, do you really exit or do you wait for more confirmation"?
I was lucky when I first began trading futures and was given an excellent hint as to what works.....I'll share it with you now....drum roll...: Trading index futures is all about levels, ignore anything that says oversold/overbought and ignore everything else except market internals.
Know your levels, place your bet when price hits your level, if price move the other way, get out quickly and wait for price to aproach another level.
It may sound too simple, but that is the key, you want to focus on price, everything else is a distraction.
Personally, I use market profile as a strucure to understand price levels, market delta for my T&S, and I watch internals. I don't even use a bar chart or candlestick chart.
My intention is to be helpful, having said that, I will repeat what I've posted in other threads here:
The only people making consistent profits with indicators are the software vendors that sell them.
Pure price action is the way to go, all the indicators out there are simply derivatives of price, time, and/or volume, and therefore they lag what is happening. By the time your indicator tells you to buy a good chunk of the move is over and/or you won't get good trade position. Likewise, if your indicator tells to you to exit, do you really exit or do you wait for more confirmation"?
I was lucky when I first began trading futures and was given an excellent hint as to what works.....I'll share it with you now....drum roll...: Trading index futures is all about levels, ignore anything that says oversold/overbought and ignore everything else except market internals.
Know your levels, place your bet when price hits your level, if price move the other way, get out quickly and wait for price to aproach another level.
It may sound too simple, but that is the key, you want to focus on price, everything else is a distraction.
Personally, I use market profile as a strucure to understand price levels, market delta for my T&S, and I watch internals. I don't even use a bar chart or candlestick chart.
Wow!
Thanks for sharing...2 years of your life....I am serious...that is a long time and your patience and steadfastness together with your observation skills will make you a Market Wizard....ummm with the help from the Elite
Thanks for sharing...2 years of your life....I am serious...that is a long time and your patience and steadfastness together with your observation skills will make you a Market Wizard....ummm with the help from the Elite
xxxskier,
Can I ask 'which'market internals you are observing?
Mitch
Can I ask 'which'market internals you are observing?
Mitch
Because indicators don't work for you they don't work for anyone? Of course indicators lag price but "observing price action" also lags price because you only see the price action that has already happened.
The good thing about indicators is that you can use them to build a strategy that can be backtested on different markets and different time frames. You have to be creative. The fact that most people can't formulate a decent strategy is irrelevant.
the market becomes efficient in defeating whatever the majority of people are using
that is clear from how markets are structured
every dingdong in the world thinks they can trade index futures and they all have a package of RSI, MACD etc in their arsenal
the markets HAVE adjusted, as many have noticed, becoming more prone to means reversion.
generally speaking, if a lagging indicator is telling you "get in" in many cases, the move is already over, or soon will be. and those same indicators will not generally tell you if the move has "legs" or not. which pretty much dilutes any possible edge
can people use them and trade successfully? sure. i guess
but i would concentrate first on price action, market internals, intermarket relationships, support and resistance, etc.
that is clear from how markets are structured
every dingdong in the world thinks they can trade index futures and they all have a package of RSI, MACD etc in their arsenal
the markets HAVE adjusted, as many have noticed, becoming more prone to means reversion.
generally speaking, if a lagging indicator is telling you "get in" in many cases, the move is already over, or soon will be. and those same indicators will not generally tell you if the move has "legs" or not. which pretty much dilutes any possible edge
can people use them and trade successfully? sure. i guess
but i would concentrate first on price action, market internals, intermarket relationships, support and resistance, etc.
mitch,
i watch ADD, TICK, TRIN ( i ignore the number, just watch the trend), VOLD, and the actual DOW 30 stocks to see how strong the DOW is really is. i also watch for possible range extension on the major indexes. yes, there are other things to look at, but focusing these work well for me.
xxxskier out
i watch ADD, TICK, TRIN ( i ignore the number, just watch the trend), VOLD, and the actual DOW 30 stocks to see how strong the DOW is really is. i also watch for possible range extension on the major indexes. yes, there are other things to look at, but focusing these work well for me.
xxxskier out
All these things are good as long as you apply them consistently. I like looking at the 3 minute stochastics for overbought or oversold conditions. Once it gets there you can make a judgement as to if it is really a short term top or bottom by looking at the candle chart and time and sales prints (tape), since the stochastics are not perfect by themselves. Also, before you have even gotten to this stage of analysis you have already read the market internals and general price levels to gauge the current market bias (bullish or bearish). If you are against the bias, the setup had better be darned good, i.e. a short should be at strong resistance and a long at strong support.
We have a method that is 90% accurate on the YM. The details are free and available. It's shared with 60+ people. Today it took 44 points on the YM run up long. I asked who took the trade and only 2 guys responded! I was pretty bummed out and disappointed by this.
For most traders, I think psychology is the ultimate topic to focus on. Even a beautiful setup can be destroyed by greed, fear and doubt.
I'm thinking about sending a copy of Trading in The Zone out to each one of these guys who didn't take the signals.
For most traders, I think psychology is the ultimate topic to focus on. Even a beautiful setup can be destroyed by greed, fear and doubt.
I'm thinking about sending a copy of Trading in The Zone out to each one of these guys who didn't take the signals.
DO share them please, the details sound interesting and I would love to hear them...