HERE is how to make money consistently trading the open

Discussion in 'Strategy Development' started by Quantfisher, Mar 28, 2017.

  1. There is no wind up. Just facts. Statistically speaking, the naysayers here are the same content marketer trying to keep retail traders befuddled so they keep coming back to this site.

    The point of the stop loss level(s) is to define a reasonable amount of wiggle room in either direction, within 30 minutes of the open, before the market's main trend for the day which you are trying to catch.
    #41     Mar 29, 2017
    MACD likes this.
  2. I've received numerous PM's and emails regarding this approach. Keep in mind a couple things:

    1. Your profit target and stop loss levels (exits) are FIXED, but your entries are not.
    2. You only need one account to trade with but a good visual is thinking in terms of a long only and short only account in which you are simultaneously long and short.
    #42     Mar 29, 2017
  3. JackRab


    Nitwits? People that don't have a brain for themselves?
    With this method you'd be f#$%ed in Hong Kong markets...
    #43     Mar 29, 2017
  4. algofy


    Anybody else think quantfisher is surf?
    #44     Mar 29, 2017
    nakachalet, eusdaiki and Chubbly like this.
  5. JackRab


    I don't think surf trades the open like that... or that he believes in stoplosses...
    And surf doesn't speak statistically :D
    #45     Mar 29, 2017
    Chubbly and algofy like this.
  6. Mysteron


    Had a quick look at the Larry Pesavento stuff and decided it was bollox. Its not like you, if you are who are who you sound like to quote such stuff. Obviously any time at which there is a burst of volatity can be traded, therefore its best to determine when those times will occur and be prepared. For example the DAX opens at 7am UK time but there is a burst of activity at 8am when the UK markets open. Shown here is the mean range every 15 minutes from 7:30am to 11am. I don't really care what the ADR is for the DAX, more important is knowing the typical range during the trading period and that momentum is more easily observed during that time. Intraday chart is a must as trading what price is actually doing is the only way.
    #46     Mar 30, 2017
    eusdaiki likes this.
  7. JackRab


    That burst is not because the UK opens but because the single stocks open trading an hour after the DAX futures open...
    #47     Mar 30, 2017
    nakachalet likes this.
  8. upload_2017-4-1_9-5-42.png

    I proved years ago with the BUY ZONE, that trading stocks from the open price was a profitable strategy.

    hiop is daily high - daily open
    oplo is daily open - daily low

    The above display is for LONG trades open - high.

    The frequency distribution columns 0_9, 10_19, etc... so how many times over the last 100 days hiop fell into each range.

    The column 50 shows how many time hiop was .50 or more.
    The column 100 shows how many time hiop was 1.00 or more.

    Columns 50 and 100 show if you pick the right stocks to trade using this method, you make money. Entry is in the BUY ZONE of daily open + .10 and daily open + .19.

    Let's use FANG as an example.

    6 days out of the last 100, FANG failed to reach daily open + .10. No trade. Leaving 94 days.

    4 days out of the last 100, FANG only went to daily open +.10 to daily open + .19. We shall deem those losing trades. Leaving 90 days.

    Out of those 90 days, FANG went to daily open + .50 or better 82 times and daily open + 1.00 or better 63 times.

    The outcome over the long haul should be obvious to the reader.

    I call any stock that hits daily open + .50 over 79 times (80 or better) a "cow" as in "cash cow".

    Rather than using the same method on just any stock, I filter for the best performers and only trade those.

    1000 shares times $0.10 + $100. You can print $100 bills at the open using this method.

    View attachment 172300
    Last edited: Apr 1, 2017
    #48     Apr 1, 2017
  9. #49     Apr 1, 2017
  10. Bob111


    I hate this fucked up site after Barrons update. I cant post shit from my tablet.....anyway..I'm no expert in trading...but.. in my limited experience ;) buying stock at open is a hardest fucking possible thing You can Iimagine. Specially under current market structure on retail account.l try to make it won't get any fills on winners. And losers will be all yours. may theorizes all day long and show your stats, calcs or whatever..but until you show or share your actual returns /experience its all worthless talk. remember this proverb..everyone is a genius in a bull market... Stories..theories..statistically speaking..
    #50     Apr 1, 2017
    MrScalper likes this.