You know , if you're good enough to make $ trading for a 1/4 point, then you're wasting your time not playing for a better move. That's like taking a job at a hot dog stand instead of a high paying one, because you like hot dogs. Noise scalping is stressful ,and commision intensive. Only worth doing when you can PICK OFF SUCKERS (SLOW HANDS) IN A MARKET. You think there are many suckers in the ES? And if there are, you aren't the one picking them off.
I must confess I have more trouble when I am trying to watch the book. Sometimes it is very helpful when you see a level start to trade out but for me I just start second guessing myself. For me I am better off just watching a filtered time and sales and certain charts. I think John47 is pretty much right. I have traded down to a one minute and three minute chart but I have found that for me the 5 and 15 minute are a better combination. I also use a 6000 contracts volume chart and on certain days depending on how much chop we are experiencing will even go down to a 233 tick chart.
saxon22 What books have you read and what ones are you considering reading? Nutsneal Sorry I am leaving town for the weekend. I will check back Monday.
It SEEMS to work best with 1 min chart and a tick chart, especially during the lunch hour. Disclaimer: I have only tried it on a sim.
It seems that the markets wiggles a lot within 1/4 to 1/2 range, so I was under the impression that it would be possible to shave a 1/4 with relative ease. As you correctly stated "Noise scalping is stressful ,and commission intensive. Only worth doing when you can" ... pull it off. I could live with the stress, I could not however live with large losses, and that ultimately will probably keep me away from pursuing this type of strategy.
These are the books that I have purchased: 1 "A Beginner's Guide To Day Trading Online" Toni Turner; Paperback; $4.95 2 "Study Guide for Come Into My Trading Room: A Complete Guide to Trading" Alexander Elder; Paperback; $16.63 3 "The Disciplined Trader: Developing Winning Attitudes" Mark Douglas; Hardcover; $20.70 4 "A Beginner's Guide to Short-Term Trading: How to Maximize Profits in 3 Days to 3 Weeks" Toni Turner; Paperback; $4.99 5 "Technical Analysis of the Financial Markets: A Comprehensive Guide to Trading Methods and Applications (New York Institute of Finance S.)" John J. Murphy; Hardcover; 6 "Trading in the Zone: Master the Market with Confidence, Discipline and a Winning Attitude" Mark Douglas; Hardcover; $26.00 7 "Stock Patterns for Day Trading" Barry Rudd; Hardcover; $38.74 8 "How To Get Started In Electronic Day Trading" David S. Nassar; Paperback; $4.20 9 "Reminiscences of a Stock Operator (Wiley Investment Classics)" Edwin Lefèvre; Paperback; $10.94 10 "Pit Bull: Lessons from Wall Street's Champion Day Trader" Martin Schwartz; Paperback; $9.83 11 "Stock Trading Wizard : Advanced Short-Term Trading Strategies for Swing and Day Trading" Tony Oz; Hardcover; $69.95 12 "The New Market Wizards: Conversations with America's Top Traders" Jack D. Schwager; Paperback; $6.89 I have completed the following: 1,4,8,12 I am in the middle of :7, 11 Since we are on the subject of books: any recommendations????? Any recommendations to get a better grip on scalping the ES?