Actually i think of buying the dips as buy low.. and selling the highs as selling high. Isnt that what were are supposed to do. Assuming your bias is negative and u think the market will go down... umm.. arent i doing the right thing?? Just because the market has been in an uptrend past year doesnt mean we still will go up much from here. If you think market is going down.. are u supposed to buy when it rallies and sell when it goes down?? Thats not how pros trade. --MIKE
Yea I will take it overnight.. and i dont use fixed stop because i change bias when tape changes. But i have a mental loss of not losing more than %1 of my total trading account.. whatever that is. --MIKE
Quote from Trend Fader: "I dont use fixed stop losses.. instead I get out when my bias changes. For most traders this is an easy way to blow up as they remain stubborn and average into losers and blow up. But if you are level headed and accept being wrong and taking losses.. its an excellent way to trade." FALSE!
Why is it false. I never risk %1 of my account on any given position or bias?? I just dont have an exact point at where i exit. Because i am constantly scaling. Waggie i thought u were a pro.
Im not really understanding anyone on this damn thread. TrandFader knows what hes doing and know how to do damage control. Ive seen him take large positions on a bias and it go against him, but he will still walk away with a scartch or a tiny lose.... to me that is a good trader.... he knows his risk tolerance and how to use risk managemnt. Even if the market end up rallying the end of this week i guarantee he will walk away with a limited loss and admit he was wrong.
If you have a $30,000 trading account and you "scale" into the IWM Index (which is in the 118 handle), then a 1% stop loss of your account is $300.00 I'm sorry, but trading 250 shares in a "top-picking" method on an index that has an average range of roughly 1.5% is not my idea of a prudent way of making money, nor an "excellent way to trade." To say that your trades "last for a few days" in an index and market atmosphere that has been nearly straight-up, conflicts with your statement that you stop yourself out at 1% of your capital. If you do actually stop yourself out at a 1% loss of your capital, the DAILY RANGE of the IWM would for all practical intent, stop you out on a daily basis!
Well i guess his acct must be more then 30,000 either way who cares what he trades and does... if the market drops he will make money, and if it rallys he wont. The bottom line is he trades for a living and has for years so he must know what hes doing i guess The truth is its human personality that if you dont make money trading you rag on other traders. ive seen your thread waggie and taking .5 gains in the future and 2-3 point loses wont make you money in the long run...but oh wait...didnt you trade with PT jones at one time