Forums > "The only way to trade with Fibonaccis" journal

 Mar 6th, 2010, 08:56 PM #1 1a2b3cppp     Join Date: Sep 2008 Posts: 2,734 Journal of my method I discuss here: http://www.elitetrader.com/vb/showth...hreadid=192348 Friday's trades (chart: green arrows = buy, red arrows = sell): http://www.elitetrader.com/vb/attach...postid=2756583 Friday's PnL (PnL screen): http://www.elitetrader.com/vb/attach...postid=2756589 Quote
 Mar 6th, 2010, 09:02 PM #2 konviction     Join Date: Dec 2009 Location: alabama Posts: 1,365 Is this an honest attempt at trading fibs with real money? Quote
Mar 7th, 2010, 12:51 AM   #3
1a2b3cppp

Join Date: Sep 2008
Posts: 2,734
Quote:
 Quote from konviction: Is this an honest attempt at trading fibs with real money?
I explained all this in the other thread, but yes.
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 Mar 7th, 2010, 08:12 PM #4 konviction     Join Date: Dec 2009 Location: alabama Posts: 1,365 And you're going to be averaging down at every fib level, like you have been doing in your examples? Quote
 Mar 8th, 2010, 02:35 PM #5 cgeorgan     Join Date: Apr 2007 Location: Chicago, IL Posts: 101 I don't know how else to say it but your profit appears to be completely random. Would you have shown us this if, after buying @ 1133.75 (your initial fill?), ES collapsed 3 points lower? These levels mean nothing. You can draw a dozen fib lines on a chart and eventually you're going to see prices cross those levels. Does that imply that those prices were "pre-ordained" by your levels? Quote
Mar 8th, 2010, 02:47 PM   #6
1a2b3cppp

Join Date: Sep 2008
Posts: 2,734
Quote:
 Quote from konviction: And you're going to be averaging down at every fib level, like you have been doing in your examples?
Yes. Well, at 38%, 50% and 62% (or whichever price is closest when there's not an exact match). I average down with this method. I'm sure there will be lots of haters and nay-sayers telling me how bad this is, but with properly defined risk and stop losses there is nothing wrong with averaging down. I know where the hard stop is for every trade before I begin.
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