trend following delusion shattered

[man]

i could not find a set up which is truly counter trend. by that i would define that you actually trade the peak of a movement in reverse direction.

you trade something of that kind on a major index? may i ask how often you get trades and if you use information below minute bar frequency?

thnx

 

[steve46]

Quote from man:

steve

which of the paper do you mean?

peace

http://www.trendfollowing.com/whitepaper/Does_trendfollowing_work_on_stocks.pdf

This is the paper that was offered for consideration a few pages ago. I have been looking at the stop loss concept and find it interesting and adaptable to the way in which I trade. If instead of looking at it, I had dismissed it out of hand (as Market surfer did) I would have "missed" a nice opportunity to add value to my own work.

My point (from an earlier post) is that you have to learn to look in places where others won't in order to find value. In a market as competitive as this, that is how I continue to improve my own performance.

Best Regards,
Steve

 

[steve46]

Quote from nononsense:

Of course markets can be trending.
The problem is with what is meant by trending.
Rephrasing your above paragraph one could say that nobody has EVER been able to define 'trend' in a way acceptable or useful - i.e. making money - to another guy.

Here you go.

I make money using this framework.

http://www.elitetrader.com/vb/showthread.php?s=&postid=1044671#post1044671

Steve

 

[man]

don't argue. make money. ...

 

[kiwi_trader]

Quote from steve46:

Here you go.

I make money using this framework.

http://www.elitetrader.com/vb/showthread.php?s=&postid=1044671#post1044671

Steve

Nicely put Steve. On good days I show the perception implied by your words and on the bad ones I go a little astray

 

[Walther]

Quote from man:

i could not find a set up which is truly counter trend. by that i would define that you actually trade the peak of a movement in reverse direction.

you trade something of that kind on a major index? may i ask how often you get trades and if you use information below minute bar frequency?

thnx

If you were addressing me then:
Correct, for the first paragraph ( peak or bottom )

Yes on indexes, frequency depends on your time frame. there is no need to go below 1 or 2 min charts.

If you need more info, my email is

walter904us@yahoo.com

 

[FaderTrader]

Quote from man:

i could not find a set up which is truly counter trend. by that i would define that you actually trade the peak of a movement in reverse direction.

you trade something of that kind on a major index? may i ask how often you get trades and if you use information below minute bar frequency?

thnx

What are you defining as the peak? The heart of the move or the end of it?

 

[candletrader]

It ain't about trading trends versus calling tops 'n bottoms...

It's about keeping stops and profits ratioed appropriately, dependent on your win rate...

 

[man]

Quote from FaderTrader:

What are you defining as the peak? The heart of the move or the end of it?

good question. let me rephrase: price is at the extreme when you initiate a trade in the opposite direction.

my point is that i a have strategy that trades against the bigger trend, yet finally follows the shorter trend. and to me that is not what i would call counter trading.

when the market moves by 2% from the open and i immediately short ... that is counter trading. when i wait until it has fallen back from 2% to 1.75%, that is what i would call short term trend following.

but it is just my personal semantics ...

 

[man]

Quote from candletrader:

It ain't about trading trends versus calling tops 'n bottoms...

It's about keeping stops and profits ratioed appropriately, dependent on your win rate...

you would change your stop loss strategy according to recent hit ratio? ... i never considered that. is a little against my convictions ...