Want to know how many are making money and how many are losing money. I do swing trading. My past performance was very good, but not lately. I do swing trading mostly, I hold positions few hours to few days. In the past two weeks, I felt it was particularly hard for my trading style. For instance, today(may 27th), I just could not trade at all, all I did was watching the market climbing higher and higher without volume. On May 25th, the market gaped down really hard (-3%), but made it back to positive, again, with no volume..... The percentage swing looked very much a reversal, but volume wasn't there... Do you guys feel the same way? hard to do swing trading in this market?
Well today it was actually very likely the market would rise after the open and would not fill gap. Previous 9 instances seemed to be all positive, if this analysis is correct.:eek:
1) Be willing to focus more on price and technical action instead of volume. With the approach of Summer, volume may decline more. 2) You may have a bullish bias in your trading and be shy from having been "bitten" recently.
1) ?....The numbers from 2008 may distort the "quality" of the trade. 2) There could also be some large, intra-day, drawdowns that occured on those days that aren't properly acknowledged in the "data". :eek:
i love your posts man the way you cut through BS and tell it like it is almost all your posts are like that NAZZDACK FOR PRESIDENT !!!!!!!!!
I agree with you Nazzdack is one of the better people on the forums. He helps people as best as he can. I do not always agree with him, but I have great respect for him.
Low volume means "retrace" ... Function of where in the cycle the market is, when the volume returns the market "resumes" or "reverses" (three Rs). The kind of swing trading you're talking about (holds of hours to days) is exactly at the confluence of the two type of market forces: internals (intra day) and externals (multi day). I believe it's better to stick to one of them, then if you do a proper analysis of the price and volume you can be very successful. Today was the third leg (resume) of the move started on the 25th (reverse), hence your feeling of uncomfortable "deja vue" ...
Freewilly, I am a retired, a full time swing trader and have been through markets like these many times. If you traded from March of 2009 to the beginning of April than you traded in volatility that was low to medium high and price was directional. We have now transitioned into congestion starting in April with high to extreme volatility and loss of price direction. These high to extreme volatility conditions are causing big price swings and many whipsaws with my automated swing trades in my daily and intraday systems. I have shut most of them down until volatility goes back in line in the summer doldrums coming up. If volatility stays high I will switch to my high volatility trading systems. This is normal for swing trading the markets.