Downsides of Woodies Room

Discussion in 'Educational Resources' started by master_of_spark, Mar 16, 2004.

  1. I've been following Woodies room for about 3 or 4 weeks, been trading total of about 4 years.

    One thing I like about Woodies room is they were some of the earliest to identify the Russell 2000, Bonds, Dow and Euro FX as the more profitable markets to trade over the ES and Naz, with ES and Naz having reduced ranges and poor "follow through" often.

    That said, I would agree with the elite trader who said:

    Woodie loves making calls after the fact. He'll alert you to a "possible" set-up, and then take credit for having "made the call", if it goes well. If it doesn't go well, it's never discussed again.

    (Yes, the failures are rarely discussed or counted).

    Heaven forbid anyone mentions another indicator! He will be threatened with expulsion instantly! This is where the cult aspect comes in again. (Yes, the room is full of holier than thou purists who like to flame those who mention other methods).

    Yesterday, after elite traders started posting about Woodie, he told all room members to go over and read the stuff being posted so as to "defend him". It was really obvious.

    Other downsides:

    The CCI is just another oscillator --- albiet, maybe one of the better ones I've ever used, as combined with Woodies methods it can get you into more trades, often winners, more freqently than other methods, and yes, I have made money using it.

    One of the glaring weaknesses of Woodies methods is that it fails to take into account market internals --- that is --- when the markets are strongly bearish or strongly bullish, those market internals are not used by Woodie to "filter" the CCI trades, I have watched as experienced room members lost money going against strong market internals.