Of course traders hardly suffer the chop from brokers , but frequently from the market. I had a trader mention the same thing , but later realized , he never traded but sold education , for the following reason http://www.futuresmag.com/2013/04/23/everything-you-know-about-breakout-trading-wrong
It's all about timing, no matter how you cut it. The time when you enter a trade and when you exit a trade and when you had enough. The profit/loss is dependent on timing, and of course the quality of the underlying, and the depth of your pockets. Over simplified but think about it.
Timing is timing , it has nothing to do with the size of your pockets . If you are going to trade trends, no matter what the time frame, you are likely to encounter three major problems: false starts, early shakeouts and late exits. Recognizing False Breakouts And Whipsaws False Starts Also known as whipsaws, false starts occur when your setup gives a positive signal, immediately followed by a reversal. You are no sooner stopped out of your position when the setup gives another buy signal. This is frustrating; and expensive. Many traders lose heart and fail to take the second entry, only to find that the trend spikes sharply upward, leaving them ready to throw their PC (or themselves) through the window. Shake-Outs If you move your stops up to below the low of each subsequent correction, there are going to be times when you are shaken out; no matter how strong the trend. It is just in the nature of the beast. Even if you are more cautious in ratcheting up your stops, applying some kind of filter, there are still going to be times when you are stopped out. And they are going to be expensive -- because of the filter. Shakeouts are covered in more detail elsewhere in the Trading Guide. Even the strongest trends attempt to shake you out. I am reminded of riding a rodeo bull. It will head off at breakneck speed while you hang on for all you are worth. Just when you feel that you have adjusted to the speed, it will reverse direction. If you are not prepared for this you are going to eat dirt! Another trick is to turn and turn and turn, until again your body senses the rhythm, then, just as suddenly, it will reverse direction. Or the bull will fake to go one way and then take off in the opposite direction. http://www.incrediblecharts.com/technical/trading_trends.php Recognizing False Breakouts And Whipsaws http://www.tradingday.com/c/tatuto/recognizingfalsebreakoutsandwhipsaws.html http://forex-strategies-revealed.com/advanced/true-false-trendline-breakouts
Whatever. When the markets head south.... they head south. Get short across the board Trading Education Buyer.... President Elect Trump is spelled UNCERTAINTY. Sh*ts gonna hit the fan in a big way. IWM is a prime short. Give it a few days........... Use puts, and go deep out of the money. You can send me a check later.
If you think you have the golden rule, go for it. With deep pockets, you can dollar cost average any blue chip as long as you got in at the right time and decent price. There you go 1. time, 2. Quality and 3. Cost . And when you think you have it right, sell a put OTM to enter a long position (assignment) and sell put to exit a long position (assignment). Nothing else really matters. Doesn't matter how hard you stomp your feet and quote any theory...
For you....... yeah ,,,,, Only because I like ya cause you're crazy. You know Zandy is rarely wrong. Watch the news tonight.............All will be well. Sell the news.
I get your point , it is not about timing an individual trade , the current trade , more like timing multiple trades /multiple investing and averaging down.It works for some , good idea. You enter a set of trades with the correct timing , I see your trading intelligence but unclear communication . As an example you have to be prepared to buy S a nd P at 2150 /2100/2050 *2 /2000*2 and average down So you say , market timing on current trade is impossible
I can't give it away but you're on the right track. As you know the market is not a lottery. Think blue chip ex-dividend dates, over sold. And what i mention before ...