another viscious whip saw

Discussion in 'Trading' started by NY_HOOD, Jul 31, 2007.

  1. cannot play the market with "kid gloves". hence yesterdays post about intraday trading being much tougher. thats why i am done by 10:00.
  2. S2007S


    get ready for the job report on friday.

  3. ?

    The past few days have been phenomenal for my PnL. Caught a few nice intraday swings today also. The trend was beautiful, smooth down.

    If you noticed the PnL thread, the profits of the traders who post there literally exploded. Traders I personally know also doing well.

    Maybe try reducing size .
  4. They have re-named this report to "Birth/Death adjustment to pump" report. Get it straight stupid! sheesh!

  5. Whipsaw???? Where? Today was a perfect stairstep down right to the 13200 Dow support line. :confused:

  6. Traders LIVE for these kinds of moves!

    Anyone with an "ounce" of charting ability and technical analysis experience is flat-out KILLING these kinds of days.

    Today was no exception.
  7. NY Hood, it sounds to me that you are not trading with wide enough stops. On volatile days you have to give it a lot of room and when you are wrong it definitely will cost you, but if you can read price you know in the end you will come out fine. Trade fewer contracts and widen those stops.
  8. bfft another crappy day

    thankfully I dont plan on selling soon

  9. Hmmm, not sure I agree. I believe stops should always be within rule based risk parameters related to account size. If stop needs to be widened outside of this range to remain out of the noise, do not take the trade.

    For example, my first ES sell signal was at 10:11 @ 1494.00. Stop was set above the previous swing high at 1496. Stop was lowered throughout the day at 1492, 1486.50, 1480, 1469, and position was covered at 1459. No stress trading with stops outside of the swing points and yet good risk/reward. If a trader is consistently getting stopped out, their entries in regard to stop placement is the issue. Widening stops increases risk, not lessens it. That's never a good thing. :)

    One of the mistakes I see traders do is moving their stop to breakeven too soon, which then gets hit, and the market then goes in their direction. The death of a thousand cuts, so to speak.

    Preservation of capital is paramount to maximizing profits. Widening stops due to poor entries goes against this fundamental hard rule.

  10. Crappy day?!?!?! There were opportunities GALORE, as a trader you cant ask for more.

    #10     Jul 31, 2007