Good question. Since I can't forecast the future, range-bound days are usually the days that I lose quite a bit of money. I'm a relatively new trader, so I'm still trying to figure out how I can deal with that type of environment. I'm hoping that someone here with experience can shed some light on this issue.
Hi, DraXon: ....am I providing any value by posting my trades? My feeling is that the Lesson Value to Word ratio contained in your posts is pretty high. Don't stop posting. I'm going to suggest that you're (perhaps unintentionally) posting not only for yourself but as an Advocate of a specific style of trading that doesn't get enough exposure. I'm also a "newbie" trader. I've been in the "sponge" mode for months now - reading nonstop and then filtering the often conflicting bits of wisdom. At the risk of oversimplifying there seems to be 2 very different styles of trading. At one extreme (and this is by far the largest group) are the Technologists w/ their systems, indicators and associated complexity. At the other extreme is a much smaller group that appears to trade on very little more than their feel for the price action. Reading between the (sparse) lines of your posts you seem to be firmly in this latter group which I find to be my inclination also. But I do have some questions: DraXon: Today's (12/3) results: 09:35 - Short ES @ 926.50 12:42 - Exit ES @ 922.50 * Reason for entry: Trending down. * Reason for exit: 4 point trailing stop. You held this trade for 3hr & 7min. During that time you were ahead by as little as 0.50pts at 11:15 and as much as 8.25pts @ 12:21. On a tough, narrow range day like this how do you decide where (and why) to get out? Or do you really just wait for the 4pt TS to get hit? What are your thoughts as you watch a position that you've held for 2 hrs fade from +5pts to down 0? Don't you start 2nd guessing your "system"? DraXon: I'm a relatively new trader and I'm hoping that someone here with experience can shed some light on this issue (narrow range days). On 2 NR days since you started your journal you seem to have done fine. One day you didn't trade - which is probably the best risk/reward solution - and today you took 4 pts on a 10pt day. Maybe you should be *giving* advice. <g> kosmo ----------------------------------- There's a fine line between fishing and standing on the shore looking like an idiot. ------------------------------------
Honestly, holding a trade for this long drives me insanely crazy. You don't know how much temptation is out there. But the bottomline is: I have to be as disciplined as possible to survive this game. I know I'll sacrifice a lot of points by using a trailing stop. But . . . at the same time, I'm sure there will be times when it'll save me from losing a lot of money. As far as stops are concerned, I usually have a 4 point trailing stop. Ocassionally I'll also use support/resistance to exit my position.
Today's results: 10:06 Short ES @ 912.50 10:30 Exit ES @ 914.50 * Reason for entry: Trending down. * Reason for exit: 4 point trailing stop. 14:36 Long ES @ 920.50 15:30 Exit ES @ 920.50 * Reason for entry: Breakout. * Reason for exit: 4 point trailing stop. Total: -2 points Like I've said before, these are the type of days that are challenging for me. I'd like to hear some pointers from our ELITE TRADERS here
These are the days that I developed my system for - just bounces and I take my little profit and move on. Make 'em pretty, Chris
Draxon, I like your trading style. Could you explain to me which changes in your system were critical to become profitable? Or did you become profitable right away ;-) I hope to develop a trading style not so different from yours, allthough a little bit more opportunistic and short term. At the moment i tried two things: scalping the bid/ask spread, with results of high win/loss ratio, but large losses and small winners, and a little bit longer term strategy with small losses and large winners, but a very bad win/loss ratio. rgds