whatever you say Boss! ok --- replaced several more previous position price levels and my basis is now up to 1249.00 --- a run to 1242.50 will have me all cleaned out of the lower positions.
OK. Help me understand things a little further. Let's take an example close to the one in reality: Let's say you define a range on the ES between 1230 and 1240. Current price is around 1235. Account1 starts accumulating 1234.75 - 1230 SELL SHORT which comes out to about 15 positions, *IF* the current price starts going down. Account2 starts accumulating 1235.25 - 1240 BUY LONG which comes out to about 15 positions, *IF* the current price starts going up. Am I following so far? So let's say Day 1, hour1: price goes from 1235 to 1236 range; you have now accumulated a % of your BUY LONG position at 1235.25, 1235.50, 1235.75, and 1236. hour2: price goes from 1236 to 1234 range; you have now started to accumulate a % of your SELL SHORT position at 1234.75, 1234.50, 1234.25, and 1234. hour3: price goes from 1234 to 1237 range; when price hits 1235.50 (*your first .25 profit of your BUY LONG), you SELL your 1 BUY LONG, profitting, but how do you get rid of your SHORTs in this case? this is my missing link to understanding your idealology. excuse my ignorance, please!
i think you are confused about something here --- i am only playing the SHORT side with this swing trade. the only longs i have are buy's to cover --- that is it. my "ratio trading" is where i trade both sides all the time --- not this swing trade short. this is a separate trade attempting to gain a position short after an extensive multi-day price run. all i am doing now is, as price moves higher i put on short positions in a size bigger then the previous lower price levels --- if price action pulls back i buy to cover at +1 tick my smaller sized and lower priced position {that position was then replaced by a new position at a higher price with a slightly bigger position size}. when i get a pull back that is down 10.25 points from my current cost basis i will cover 1/8th of the position --- then all other 1/8 position covers will be just above key market profile support levels.
guys what Macro does... is really an amazing thing... the key it to have a good approximation of the top or bottom. that key may seem completely stupid to pursue but... if you've seen what I've seen... it can be done better than 80% of the time. Calling short term tops and bottoms that is. Macro called a swing play in advance... do that a few times a month and you are doing good... Do that a few times a day and you are missing out if you don't research how he does it. one word... Market Profile good day
thank you sir --- you are right about market profile. ok --- i am all out and covered for my previous lower positions ---- the 1242.50 push has me clean and only holding the higher positions from today ---- that worked out nice today. my full swing trade cost basis is now at 1250 {close enough to call it that} and i am in the money about 7 points at this point. when price trades through 1239.50 i will cover 1/8th of my position. i have covered all my side positions i was holding from earlier today and that is "reserves" that i will use if needed later.
Isn't that two words? Just kidding.... Could you please educate us on what you mean by 'market profile; as it related to swing trading? thanks
hahaha 2 words Market Profile... who said you had to count to make money... as long as the money doesn't run out in my lifetime! the key to it all: www.ioamt.com sign up for the free 30 day trial. For the first 10 day... this is KEY... first 10 days do not say a word... just listen and try to comprehend. The rest of the 20 days enjoy your new insight and be a astonished as I am. Your risk? TIME. Your payout? Ability to make more than a point (ES) a day, perhaps for the rest of you trading career.
ok putting positions on at 1254 and i will try for 54.50's --- looking for the 1255 area to be tested. just added some 53.50's ---- missed at 54.50 so far.
Don't pick tops.. refer to post #3 in thread. Your method of scaling in, I thought about it actually, Its only used with big players who need the liquidity to scale in before it actually moves big time. People who are not trading 1000s of lots do not need to do this dangerous strategy. If It was going down tomorrow hypotehtically, You would have been scaling in XX contracts and replacing and adding for the last 10 days . I would have just shorted XX contracts tomorrow and be in the money. Simple? Keep it simple. Don't use scaling as a crutch for bad timing. this is advice not cristicm.