Entry and exir points am i getting this right?

Discussion in 'Strategy Building' started by mute9003, Apr 29, 2022.

  1. mute9003


    So it maybe clicked finally
    Just wanted to double ckeck with yall

    When looking for setups i want confirmation such as the begining of an up trend before i enter
    And set stop loss right below in case it is just a small retracement or bull trap aon the way down?
    But im still a bit confused at which point exactly the buy entry should be? Like how far does it need to move in the uptrend for it to be worthy of my majestic entry execution?

    And when selling i want to wait for the aecond candle to not break out above the last or sell on the first red candle at the top? Or wait for trend reversal confirmation like what? I donno that part.
    murray t turtle likes this.
  2. tomorton


    First off maybe you might clarify your thinking at as to long entry set-ups. Nobody can reliably pick the beginning of an uptrend. But everyone can reliably pick the beginning of the continuation of an uptrend - this is well known from at least a century ago as the basic advice to "Buy the pull-backs".

    That said, there's a range of tactics for selecting a suitable long entry order price such as -
    order set on the close of a lower range bar in an uptrend at its high triggered by the first bar to breach the high
    order set slightly above the high
    order set a multiple (or fraction) of ATR above the high
    order set at e.g. 0.5 x the bar range above the high
    order set at a fixed amount of say 20 pips above the high

    Which method you select depends partly on personal traits. You might be happier with earlier and lower entries at the expense of more numerous failures. Or you might want to vary the entry price selection according to the various TA features seen in the set-up. You might even want to wait for the trigger bar to close before making a decision, or even for the succeeding bar to print.

    No single tactic is universally right or wrong.
    murray t turtle likes this.
  3. %%
    WE CAN clear up some of our confusion today\NO such thing as an ''exact buy point'' [ONLY in hindsight.] You want me to be polite or tell you the truth?? Bottom pickers will be cotton pickers.
    Forget about bull traps, unless some one cant read a 200 day moving average.
    SH is in a good uptrend strangely its above 200dma.
    SPY is in a good downtrend below 200dma. My comments apply only to ETFS + stock related ETFs.
    Another good way to lose money\ keep buying +selling longs in a bear trend ; even though planned buys every month for 40 years can make you a milionaire.
    You post is dated APR 29\ care to guess which one is doing better as of APR 29, SH or SPY?? Care to guess which one ;SH or SPY has done better year to date??
  4. deaddog


    The thing here is that had you become a millionaire after 40 years of dollar cost averaging in Jan of this year you'd now have only 830k. Gotta have a method of protecting your capital.
    murray t turtle likes this.
  5. tomorton


    "cotton pickers"
    murray t turtle likes this.
  6. %%
    good thing i took money out in DEC to buy an auto.
    By the way ,dd/closer to $900 ,000\if one sold on close below 200day moving average on SPY:caution::caution: More agressive,+ more money in your example/ is sell any time frame dip below 200dma
  7. deaddog


    But But But That's not DCAing for 40 years. Thats exercising some risk control that I think is the way to go.
    Yay Turtle man you knew it all along. you just have trouble expressing yourself LOL
    Ya gotta try to make your posts more understandable. People don't know what your trying to say. (Less%% and :caution::caution:) Give normal punctuation a try.