Quote from NoDoji:
I was in a chat room with Geez every day from pre-market through the close for the duration of his journal (which he ditched due to spam) and for many months thereafter.
He traded from a laptop while managing a full time job. Because he was an independent contractor, his work hours were flexible, allowing him to trade the RTH session without too much interruption much of the time, but there were always some work-related interruptions each day and also days where he was unable to trade for several hours.
He told me had 8 years of trading experience and he had conducted a thorough study of statistics surrounding the setups he traded when I met him in early 2009. This statistical analysis allowed him to handle 5 losers in a row without issue, and allowed him to watch price come .01 from a profit target and reverse all the way back to stop him out. I'd ask why he didn't take profit sooner or move the stop to break even and he said that in the long run his experience showed that the method he used to manage trades was optimal.
He had a screener that would alert him to a specific level of relative strength or weakness in the stocks/ETFs he traded. Once he got an alert he would announce it and he would announce the trades in advance (he placed buy stops and sell stops to enter trades), with the stops and targets. He would buy or sell little pullbacks following the signal of strength or weakness, so he was always trading in the direction of an intraday trend.
When a stock or ETF signaled and he knew where a technically reasonable stop loss would have to go, this was used to determine his position size. The profit target would be twice the stop loss.
It was all so mysterious to me to see him apply a pure trader's mindset in real time. At that time there was no way I could imagine myself putting on the trades he did (I was a counter-trend trader who faded strength and weakness to scalp profits off the pullbacks) and when I'd see him buying near brand new highs or selling near brand new lows, then see price end up hitting his target, it felt like pure magic.
I never mirrored a single trade of his because I didn't understand any of it (I had about a year of experience and I use the term "experience" loosely).
His results were far beyond the bet he made, closer to 100% return, despite a $22K hit he took due to forgetting to cancel an unfilled order at the end of the day of a RIMM earnings call.
I think of Geez often each week because I now buy strength and sell weakness, and it still feels like some sort of magic when price runs even further. His words of wisdom are with me all the time.
