HSI Journal

This is just my opinion.

If you don't have any indicators now, don't add them, because anything you can read from an indicator you can read from a chart:
- stochs just say how high is the close vs the channel for the last x periods
- macd's just say is price going further this x periods than it did in the x periods, y periods back.

So, if you've got it without indicators then just keep getting better at what you do.

Also, regarding your entry/exit plan: don't try to do something new, instead try to quantify and write down what you're doing now when you trade well. I think that this will help you identify your best trades and increase your ability to repeat them. ETs example where the macd had turned down might come down to asking a question about price and how its looking to avoid getting shaken out.

I don't know if these are the right suggestions for you but they might be

 

One more trade yesterday:

2008-01-21 14:57:54: B (1) at 24023.0, 2008-01-21 15:01:56: S (1) at 24084.0, P/L = 59.8


Hi neverknow,

Thank you very much for your advice! Your suggestion is what I want to follow. Thanks again.

I watched the HSI¡¦s open for a few minutes, I thought I shouldn¡¦t trade today since the price jump was too big and price movement was too fast. However, I didn¡¦t control myself well and went long. It was immediately a losing trade. One minute later I was stopped out with 118.2 points loss. That was my first mistake today. 5 minutes later I violated my rule and re-entered long. As usual, it resulted another losing trade. Then, I made an even bigger mistake. I didn¡¦t get out the bad trade before the AM close. The HSI gapped down 300 points after the lunch break, I hold my losing trade for more than 20 minutes after open and got out with 100 points gain. Even I didn¡¦t lose on my last trade, it was a really bad trade. I did many things wrong today!!!

I¡¦ll stop trading tomorrow.

Trades:
2008-01-22 11:53:56: B (1) at 22167.0, 2008-01-22 11:54:50: S (1) at 22050.0, P/L = -118.2
2008-01-22 12:00:29: B (1) at 22103.0, 2008-01-22 14:52:37: S (1) at 22229.0, P/L = 124.8


Total P/L = 6.6, P/L Per Trade = 3.3, Total Commission = 2.4

 

It¡¦s shameful to say it again that I violated my promise that I won¡¦t trade today. To be honest, I still post here my today¡¦s two trades. I lacked discipline in past and still lack discipline now. I only hope that I¡¦ll gain more discipline in the near future. Otherwise, I know that I¡¦ll blow out my account sooner or later.

I have been struggling to try control my emotion during trading. I did a little better this year than last year. If you have any suggestions or comments about how to train a new trader to be more discipline, please give me your advice. Thank you very much in advance!

Trades:
2008-01-23 09:47:33: S (1) at 23240.0, 2008-01-23 10:59:49: B (1) at 23170.0, P/L = 68.8
2008-01-23 11:01:40: S (1) at 23059.0, 2008-01-23 11:06:40: B (1) at 22985.0, P/L = 72.8


Total P/L = 141.6, P/L Per Trade = 70.8, Total Commission = 2.4

 

Maybe you can get somebody to monitor your P/L and in the appropriate situation step in to ask you stop trading? Just a suggestion

 

Hi doubletrouble,

Thanks for your suggestion.

I don¡¦t think my normal setups for the HSI would work for those high volatile days. So I traded the way I used to trade an half year ago. P/L per trade was much bigger at that time.

I lost about 550 points on my last trade yesterday. When the HSI was up almost 2000 points, I went short. It ended up almost 600 points after I shorted. I clearly saw its strength, but refused to get out with a moderate loss!

I made one trade today. Luckily, it was a winning trade. I got back about 550 points. I broke even on those two trades.

 

like that 1000 points smack down today? and that 500 points pull back in 5 second. LOL

 

Again, I think it is very key with the HSI that you have a sound exit and money management strategy.
We really need to get out when we get that signal. Don't let your losses run. If the HSI decides to jerk you around, get out if it goes against you. There is always that feeling that it may turn right back around... try to ignore this feeling as much as possible.
Bottom line:
Cut your losses short. Ride your wins (depending on your strategy). This will help you be a more profitable trader with this HSI beast.
Good trading.

 

Hi SuperLimitUser,

I was up about 600 points in the AM session on Jan 24. I was long before that 1000 points smack down, my stop order didn’t get me out. I manually exited with an 800 points loss. The worse thing was that my stop was filled when the swift 700 points’ bounce started. My loss became bigger and bigger. At that point, I thought that I’ll blow out my account today. Fortunately, the bounce faded very quickly. Once I saw the weakness again, I shorted one contract more and hold my short to the end of the PM session. Luckily, I ended up with about 800 points’ gain.
After I finished trading that day, I realized that it was a pure luck and thing could be much worse if I keep taking so much risk.

Hi Iceburry,

Thanks a lot for your advice! I have been struggling to find a set of money management rules which fit my own risk tolerance and the market.
“There is always that feeling that it may turn right back around... try to ignore this feeling as much as possible”. Exactly, this feeling keep me from cutting my loss short. I often second-guess my feeling when I should get out my bad trade.
I’ll start to work on the issue next month.

 

This thread seems to be going quiet now... Has everyone lost interest?

 

He is probably taking an early leave for the Chinese New Year.