I would cover here with 4 pts gain, making my kind of trading of the strategy this week: -3,-3, 4, 0, 3, 4 (noting that the 0 trade went in the money by 3 pts twice...)
it's kind of interesting to me that volente noted 6 to 6.5 pts on profits, and the first leg down from the AH H today was 6 points. Now is Now, did you wait for a failure swing to put on that short?
I'll help you out here....I'll stop posting in this journal. R10 is not a technique I trade with. Nor do I use moving averages. That said, I don't think it can be said too many times....there is an inherent conflict between the R10 methodology and moving averages. And there has been nothing said in this thread that has explained away that conflict. Good luck to those trading with this strategy. OldTrader
yes...it is based purely on price performance with a given parameter...it simply prevents me getting caught on a "rocket" or "falling knife" that doesn't know how to stop. It is unlikely that many of my trades will ever see a 10 point profit,but 3 + is fine... Incidently , just got stopped on s/l adjusted 73.25...net + 2.5 profit for trade.
My trade has come "late" SELL 76.50 S/L 79.50...just as Pekelo is probably taking some profits gets out , I'm going in... This trade also highlights the implicit vulnerabilty of the system, but for me to get knocked out the price performance has do a complete reversal....there is nothing that says it won't... Like any trade, we have limited control of the outcome.
Taking 4 pts gains at 75.5... The reason for getting out is what I call the FMB, future middle bounce, when price bounces from the middle value. It could still go through it later, but that is a good point to take profits...