Rule of 10 Journal

If you believe it then you will see it

 

I seemed to have made an error, we were actually 2 for 3 at this point here and not 2 for 4 as I originally stated. Thank you for catching my error newbie463.

Since we are papertrading, I am using .25 on stop outs for slippage and commissions (and 0 on wins). With a lot of expected stop outs, I think this is fair. If I was trading this system, I would use actual results.

 

I had the points right, but not the amount of trades. Sorry
2 for 4
+13.50

 

Fixing the last error here.
This is 2 for 5
+10.25 pts total

 

Over the weekend, I got really sick and didn't even look at a computer on Monday. In the context that we are using an automated system, we had the following trades.

Remember that on Friday we had 2 stop outs in a row. When this happens, we suspend trades for 24 hours (in this case since it was Friday, until Monday) and we would not start trading until 1:35PM EST (time of 2nd entry).

There was a really good r10 long Monday morning, but according to our simple rule we were out of the market at that time.

Our first trade setup was a long at 1302.50 or short at 1317. We took the long at approximately 2:35PM EST and stopped out at approx 3:30pm.

Our second trade setup was a short at 1307.50 or long at 1296.50. The trade short was executed at approximately 7:35AM EST (Tuesday) and closed out at target at approximately 10:25AM EST.

2 for 6 (1st trade)
+7

3 for 7 (2nd trade)
+17

 

Our next trading setup we are looking for currently is a long at 1290.50 (stop 1287.50) or a short at 1305.25 (stop 1308.25).

This is the setup currently, however these numbers can change based on reactions to highs or lows as we are currently near the current reaction low for the setup short at 1305.25...

I will try to do a better job of posting, unfortunately I was very sick this weekend and didn't even look at a computer on Monday.

 

this is where it gets tough (at least for me). I'm using the reaction high of 1297, so we move buy limit to 1287 from previous 1290.50.

 

Long 1287.00
Target 1297.00
Stop 1284.00

 

Hey volente, didn't you mention a "rule of 20" in the YM journal back in the day?

 

Could you explain why you're using a "reaction high of 1297"?

What I see on the chart is a move up to 1299.00 around 2:30PM EST.

I see one 5 minute bar that moves from 1295.50 to 1297.25 around 3PM EST. Is that the "reaction high" you refer to? If so, that is a very small reaction. Why would you use that?

It seems to be working for the moment by the way. I just don't get why you used it?

OldTrader