Yes ... that's exactly where it comes from and it is ancient. That said, in Iron Mike's defense, it is unlikely he has read much military history and is probably not a plagarist!
With that, I'm reminded of this clip.. http://www.youtube.com/watch?v=8p8qLOKL87oN Would you say navigating markets with all kinds of cross-currents is somewhat like crossing that street? You can plan all you want - if it's biker i'm gonna do this, motor car that, if big bus willl stop, will only cross with bunch of other pedestrians...yada yada yada...but until you get in front of that traffic and safely navigate day in and day out, you're dead meat. Remember there are no replays, no hard right, no sims, no reloading account. So, when Mike says "How much can you endure, buddy?"...I know where he comes from. And, yet there are hundreds of people crossing that street everyday. Their secret? - Practice
I've never traded more than 6 contracts CL. I trade CL small size and reserve size for swing trades via options in the S&P, which is one of the technically "cleanest" instruments I've ever seen for multi-day and weekly swings.
Would you mind expanding on your style of trading options on the S&P? Same as intraday, just higher TF?
ok, thks. your scalps are really funding trades for larger swing trades ? I also swing trade and have 'funding' trades based on shorter term period which spans over day or 2. These shorter term trades are of lower win expectation so I do not feel like playing these big either, usually risk 1/10.
When you say HTF do you mean Higher Time Frame or did you mean to say HFT for High Frequency Traders? Also when you say "take you on" what do you mean and why would at (or even about) a 10 lot trigger that? Thanks.
See below. The day trading is my business, it's how I get the paycheck to pay the bills and save for "retirement" (not sure what that means, lol). The leveraged swing trading is reserved for high odds setups that happen only a few times a year. An example was when the S&P slightly overshot an upper trend/channel line on 9/19 (connect the highs from 5/22 and 8/2). The pullback in this long term uptrend had been quite deep in May/June and in August, so I bought Oct puts for a move back to 50-day EMA or better. There was confluence on this trade, meaning both the fundamentals and technicals supported a solid swing back to the 50-day EMA instead of a shallow pullback and further grind higher. Also, the odds of price running a whole lot higher without ever coming back to my break even point by 10/19 were minimal.
I'm guessing by "take you on" s/he's referring to that delightful evaporation of liquidity that occurs in CL when a new high or low in a strong trend breaks or when slow, low volume consolidation lures a bunch of inexperienced retail traders to the wrong side of the tracks and breaks the S/R level where all the stops are. I once got slipped over 20 ticks on a stop entry when that happened; it wouldn't be pretty if that was your stop loss with 10 or more contracts on.