If You Can Draw A Straight Line . . .

Discussion in 'Journals' started by dbphoenix, Jun 28, 2013.

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  1. Considering I just read this section of the thread I should have worded my post better.
     
    #361     Jul 27, 2013
  2. niko

    niko

    Thanks, I will do that, ussually used 6x but it could be one of the reasons i ended up so setup oriented.

    I will also avoid getting sucked in by the smaller interval so I dont end up overtrading.
     
    #362     Jul 27, 2013
  3. Which tool are you guys alluding to with variable speed playback?
     
    #363     Jul 27, 2013
  4. niko

    niko

    I use ninjatrader
     
    #364     Jul 27, 2013
  5. dbphoenix

    dbphoenix

    It's not about trading, remember? It's about observing.

    What are they doing?

    Where are they doing it?

    Why are they doing it?

    How are they doing it?

    What were they doing before?
     
    #365     Jul 27, 2013
  6. niko

    niko

    Yep. Back to screen time mode.
     
    #366     Jul 27, 2013
  7. DB, Where do you generally place you initial stop? Just past the 50% pullback area?
     
    #367     Jul 28, 2013
  8. dbphoenix

    dbphoenix

    Think of going to some game with which you are unfamiliar: football, rugby, soccer, cricket, whatever. While you're watching the game, your chief thought is not when you should jump onto the field and begin playing. Your chief thought centers around the questions above, primarily What the Hell Are These People Doing?

    Same with studying charts.
     
    #368     Jul 28, 2013
    VPhantom likes this.
  9. dbphoenix

    dbphoenix

    I don't do that anymore. Apart from a catastrophe stop, placed in the event of a lost connection, power outage, nuclear war, I no longer recommend stops, primarily because they encourage the trader to relinquish too much authority and responsibility to the market rather than hang onto the reins and maintain control of his trade himself.

    Too many traders set their stops then sit back, waiting for fate to decide whether or not they make a profit. Unless they've been so conditioned to fear responses that they trail whatever profit they might have and choke off whatever profit they might have had because they are "stopped out".

    If the trade isn't doing what one expected it to do, get out. If one misread the signals and it winds up doing what he expected it to do in the first place, get back in. Stay a participant. Maintain control. Be responsible.
     
    #369     Jul 28, 2013
  10. Followup Q: Do you place a catastrophe stop routinely with each order?
     
    #370     Jul 28, 2013
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