Hey, Net Loss -$81, yup should have cleaned up on that trend but didn't....oh well Monday is another day Did ok on some AAPL trades. Cheers
Hey man i wish you werent so dense about this. I have a huge respect for what you are doing in this forum and for your trading. One can clearly see from your teachings that you know how to trade based on price action and that is great. Now considering the fact that i am not a daytrader but a swing trader please try to keep an open mind into how AHG can be a monster technique when combined with a responsible form of averaging down. Try to be flexible and see if you can adapt something for me. I only buy support in bullish markets and I only short resistance in bearish markets and also keep in mind I dont average down forever like some crazy lunatics do. Its a reverse form of yours. Your trading is probably lots of small losses and some huge winners mine is the opposite. Tons of small to medium winners and very very few large losses. So what do you say Tutankamen, can we do some trading fusion here ? ADK
I got some good lurning today. Tried to trade a symmetrical triangle. I would draw my trendlines and see a breakout and take it and it would go nowhere. Then I would redraw my trendlines and it would break out the opposite direction and go nowhere. Then I would redraw the trendlines again and take another trade thinking I'd finally catch the move, but wrong again. So I learned how to draw a bigger and bigger symmetrical triangle. I think my problem was not waiting for a more impressive bar to break out. Each time it broke out the bars were pretty weak and it never went far. If anybody has suggestions on how to avoid this stupidity in the future let me know.
Hi Anek, I see that an important element of your trading is the confirmation marked by the close of the most recent bar. I always thought about it as of an arbitrary moment in the price action, with no particular significance, decided by a round number of volume or time units. I understand that you have to use it for backtesting, as usually you don't have access to continuous historical data, but I don't see why it should be given more emphasis. I see that it works for you, but I wonder why you consider it so important. Please explain. Thanks.
Try on a 10 min chart and higher. Make the B/O candle close on the breakout. If you don't wait for the close you often get a fake out. I don't trade these but I do wait for the close to take other entry signals on smaller time frame charts. Make sense? Post Edit: Don't take my word for it though do the homework yourself and look at least 20 set ups to confirm/deny what I am proposing. I use a 10 minute chart for trend and filtering and tick/time for trading.
Maybe you can give your opinion too to my question about why the closing of the bar should be given a special attention? If I start my chart 1 minute later or 1000 contracts later, all the closings will be different but the price action will be the same ...
cnms2: I too asked him this very same question. "Why is the close so important to you?" He said because 90% of his trading is based on highs and lows and until the bar is closed we don't know what those values will be and that every move he makes is directly related to the low or highs of previous bars. Daniel
Thanks daniel33. I too rely on bars' highs and lows to read trends, but where the bars close seems of little importance, except that it is a visible recent price point when looking at the letest closed bar. When I reviewed the thread I missed your question and Anekdoten's reply.
"Your trading is probably lots of small losses and some huge winners mine is the opposite. Tons of small to medium winners and very very few large losses" It was worth repeating. Just think about what you're saying here. With Aneke's trading model it's impossible to lose, whereas with yours (um, assumming you have a "trading model" ) the risk of ruin is always right around the corner ... a) Aneke has started a thread in which he has been roundly complimented by a small cadre of traders trying to help the beginners cut through about 3 years of of a very painful learning curve. He uses a money management technique which requires a talent that you (and most people) don't have, it's counter intuitive and takes more than the ability to read price action to implement. b) You started a thread in which you half-assedly talked about your trading method, and were roundly ridiculed when giving your version of money management, point-in-fact, austinp said after reading your posts it was time to take a vacation from Elite Trader as it had reached a new low. While I can't agree with him about taking a vacation from ET, I most definitely can agree with his other comments on your "trading holy grail" . Here's a good idea average down king, quit while you're ahead ... For everyone else. Good trading, JJ
It has been my exp. over the last 2 years of full time day trading, that higher time frame charts have more power than say a 144 tick chart. It is a well known fact that institutions trade off of higher time frame charts. Big money trades primarily off of charts such as 30 min, 60 min, 90, daily, weekly, etc. Us day trader use sub 10 minute charts and lower. Our trades our white noise to big money, plain and simple. You need to wait for the close of candle on whatever time frame you are watching because fade traders fake out break out ppl by stop running during a candle only to fade it back into the wedge/triangle. It's a common trick. Just watch it going forward for yourself. As I said I don't trade breakout, but when I see a clearly defined wedge on a 10 minute chart I out of the market until the candle close below, and the only exception is when I see a crystal clear break away of price action where the market keeps going and doesn't pull back. Sorry I don't have the time to mark a chart and point it out. Maybe Anek can post one. I really don't want to highjack this thread. Just thought I would offer help where I could.