When not to trade?

[Scataphagos]

Scat...it sounds like we both trade for a living and for a long time (1994 for me). You must realize that saying such "absolutes" for every single trader out there has to be questionable. There is not one way to trade successfully...your're starting to sound like Buy1Sell2. I often go weeks without a loss (1or2 trades daily), but I trade 30 yr. bonds mostly to do this. I'll just say...you do what you do and I'll do what I do.

I've traded longer than you.

And as advice to ET'ers, I'll say... "a technical setup is to be played, regardless of other subjective filters". Not "the day", not "waiting for ____", not "hoping for ____", not because of anything else.

For whatever reason, there is a misguided notion that as a trader you can filter out the "good from the bad". I say you can't. Of course you can "sometimes"... but overall in the process of trying to do so, you miss TONS of opportunity.

The price charts clue traders into what they should be doing. That's it, with stops.

 

[Xela]

Sometimes not to trade is the best strategy. Do you agree with it? Do you have such "non-trading day"?

For me, it isn't ever the best "strategy" (not for a whole day, anyway), but it's still sometimes the outcome: I have non-trading days, without that being my strategy, simply when none of my trade set-ups materialises.

(I've noticed very consistently, over the years, that that tends to happen much more often on Mondays and Fridays than on any of the mid-week days; so if I have other, non-work-related but weekday things to arrange, during normal working hours, I try to set them for Mondays or Fridays. I can't remember the last time I sat through a Tuesday, Wednesday or Thursday without taking a trade at all.)

 

[qxr1011]

Trading is a business, where it is better to move slowly and to make money step by step. Hasty actions and wrong strategy may lead to losses. Sometimes not to trade is the best strategy. Do you agree with it? Do you have such "non-trading day"?

One should not trade in the situations when one suspects that his order will not be executed right the way. It may apply to the days of the fed announcements, or the market crashes, etc. Other that that, if there is a technical setup that tigers the signal to trade you must "take this waltz"

 

[BONECRUSHER]

I've traded longer than you.

And as advice to ET'ers, I'll say... "a technical setup is to be played, regardless of other subjective filters". Not "the day", not "waiting for ____", not "hoping for ____", not because of anything else.

The price charts clue traders into what they should be doing. That's it, with stops.

My advice to ET'ers is that Scat is right and he is wrong. Subjective filters are bad during trading in the moment. Predetermined TECHNICAL FILTERS can be the best thing you've ever done for your bottom line! These kind of "filters" have been back tested through data or valuable experience! Is that the key Scat? A filter can be a technical and objective criteria and not always subjective?

 

[d08]

Quite surprising people don't trade on FED days, I find them typically excellent opportunities.
If I could get a re-do, I wouldn't have traded all these half-days as there is little liquidity and volatility.

 

[qxr1011]

I've traded longer than you.

And as advice to ET'ers, I'll say... "a technical setup is to be played, regardless of other subjective filters". Not "the day", not "waiting for ____", not "hoping for ____", not because of anything else.

For whatever reason, there is a misguided notion that as a trader you can filter out the "good from the bad". I say you can't. Of course you can "sometimes"... but overall in the process of trying to do so, you miss TONS of opportunity.

The price charts clue traders into what they should be doing. That's it, with stops.

agree

 

[qxr1011]

Predetermined TECHNICAL FILTERS can be the best thing you've ever done for your bottom line!

if the filter is so great it should be part of the method, if its not part of the method yet then may be it will be some day, but as of now it should be disregarded

 

[qxr1011]

A filter can be a technical and objective criteria and not always subjective?

in reality all criterias are subjective, until they become part of the method

trader decide what criterias he makes objective by including it in the method and what not (by setting it aside)

 

[speedo]

Quite surprising people don't trade on FED days, I find them typically excellent opportunities.
If I could get a re-do, I wouldn't have traded all these half-days as there is little liquidity and volatility.

I do not hold into the announcement but will trade in the morning of and the afternoon of, after the initial volatility of the announcement.

 

[BONECRUSHER]

Quite surprising people don't trade on FED days, I find them typically excellent opportunities.
If I could get a re-do, I wouldn't have traded all these half-days as there is little liquidity and volatility.

I'm not an opportunist. I don't look for extraordinary price action in the moment. If your setup fits this...great! I'm a grinder.