Over the years, experience has shown me that of all the culling parameters, cycling ranks as the most important. Once I profitably trade an equity, I only remove it from The Final Universe for Failure to Maintain Rank. The idea behind this Rule stems from "If I can profitably trade an equity once, then I can anticipate repeating the process with stocks that continue to cycle." I also noticed over time that I received numerous trade signals from stocks, which at one time, fell above the 80 -90 percentile rank for EPS and RS, but no longer held such high rankings. Many of these signals traded profitably as well. Therefore, I determined number of cycles (maintaining rank) to have far more importance than anything else. Thanks. I may check in on these stocks tomorrow during the day. I had a commitment which required my presence offline and away from my trading station. I prefer not to hold shares unless I have some method of monitoring their progress. Unfortunately for me, the commitment canceled and I no longer had the anticipated conflict. No worries. Another opportunity should come along very soon. Thanks for sharing your experiences. I appreciate your (and everyone's) contributions to the discussion. As we can see from the several data sources discussed, slight variances often exist between data vendors. Often discussed in the Original Journal, such variances don't normally come into play unless we receive a signal so close to our cutoff timeframe (like KNDL today). Again, thanks for sharing, and continued success to you in the future. - Spydertrader
Great stuff Gentlemen! I've been reading both journals and I'm beginning right now to read the recommended reading.(2 weeks of intensive reading, not missing a word, I swear! , did I pass the test? ) Keep up the great work! Never seen a better Journal on ET so far. I've been trading full time for a living since 2001. Looking forward to join the club in a few days and contribute with my ideas. I'm from Italy , currently living in Thailand. ------------------------------ Spydertrader, you are the man! you know that right ? See u all soon and have a great day! Ciao
I wonder if Jack and spydertrader having so many followers now, and the Final Universe stocks having relatively low liquidity, isn't there the risk that this trading system becomes a "trigger" competition? I mean that the trading volume and the price performance of the Final Universe stocks in DU mode might be affected by the large number of followers.
Mr.Hershey needs posters.The desperate losers who post here do so without self censorship because they don't/can't know any different (I didn't say better).Why does Mr.H post on this forum when he's been told there are others where he can moderate his own threads and be 'safe' from the flamers he protests to dislike?Because after 30minutes posts here are undeletable.Why is he doing what he's doing?I personally think it's with good intentions.(In his photo he has the aspect of Bigfoot rather than Mr Simpson)?
Welcome to the discussion, and I look forward to your future contributions to the thread. After reading through the Original Journal, you no doubt have experienced the benefit of internalizing the information compiled within the many pages. Believe it or not, I have reviewed the entire Journal myself on more than one occasion over the past year. I find doing so helps to reinforce the many lessons I learned along the way. Several traders posted similar concerns in the Original Journal, and while I understand the concern, significant reasons exist to show how an increased following benefits, rather than, hinders price improvement. For example, a large number of traders currently follow a similar methodology - William O'Neil's CANSLIM Method. Occasionally, stocks on the CANSLIM.net 'recommended list' coincided with our own Daily Watch List of Dry Up stocks. When such an 'alignment of planets' occurred, we would often see huge spikes in both volume and price - often making 10% gains within a single trading day. The large number of followers of the CANSLIM Method significantly outnumber those that Follow the methods we discuss daily. In fact, Jack Hershey himself now leads a Investors Business Daily Discussion Group in Arizona. In addition, Jack's posts indicate he trades off his Daily Hotlist and List of Tenured Stocks, and not as we do, off a Final Universe. Also, as we noticed with our discussion with respect to the time KNDL reached Low Band Dry Up Volume threshold, latency and subtle variances between datasources contribute to signal differences reaching various traders and slightly different times. Such differences create an avalanche effect in orders or a 'self reinforcing philosophy' as an ever increasing number of traders interpret the buy signals. Further, each trader using a different iteration of the Hershey Methodology trades under a different agenda than another. The CANSLIM folks trade on a much longer time frame. Jack uses a 6 to 8 day hold time. I use a 4 day maximum hold, while others may only trade the methods intraday. Whatever the goal, this sudden increase in trading volume alerts other traders, who may have never heard of Jack Hershey or Spydertrader's Journal, toward an opportunity for profit. Once any of these equities make it onto the main stream radar, huge volume and price changes occur (See TASR, HANS and FORD from the last Journal). Lastly, even if we all followed the exact same methodology, human nature being what it is, a certain number of individuals will think themselves slightly more crafty than the rest, and try to 'front run' the volume signals, and establish a position before the rest of us. Over time, this spreads out the volume across various price points. As you can see from the numerous examples cited above, the increase in traders following the methods listed here (and elsewhere) improves the rate of return, rather than, increases the level of competition for fills. While certainly an increase in demand exists, we should view the increase in a positive light. After all, a rising tide lifts all boats - irrespective of size. I hope you found the above useful. - Spydertrader
Perhaps, you should provide additional clarification on your position. Based on your previous contributions to this thread and others, I'm certain you did not intend to characterize the contributors to this thread as "desperate losers." Nor do I think by posting here you intended to include yourself among "the desperate losers that post here." However, someone might misinterpret your intended message. With regards to why Jack does what he does, and posts specifically on ET, I could provide opinion, but better to ask the man himself for a more factual answer. Jack did tell me once about his motivation for sharing his methods. He wanted to assist in the generation of wealth. Jack felt than when people have more money than they need, they use the excess to (in his words) "Do good works" such as assisting the less fortunate. - Spydertrader
Took a shot and bought some NGPS @ 30.65. Stochastics is iffy and oscillates around 80. S&P is choppy.
sold my KNDL this morning 24.98 X 200. Bought some NGPS 30.68 X 200 turned around and sold again at 30.42. NFLX did not make a signal by 11:30 by my data. Overall Lost $31.00 today. Have a great weekend everyone. G87