tampa's Take Two

[09:05 (“...oh my God, look at the time! The market will be open soon, and I don’t have a thing to put on but this old short skirt – and I won’t be seen in public in that thing again!)

OK, so here’s the bottom line: No bravado, no mission statement, no promises. What happens, is what happens. (We should all know what I am supposed to be doing. If you don’t know, go back and read through the first journal – everyone else had to suffer through it.) If the mood strikes, I will still attempt to amuse you with real or imagined thoughts in between trades. But then again, I may not – it all depends.

With all of my heart, and all of my soul, I believe in my methods. (All I need to do now is convince myself of what I just said.) So with that, it’s on to Take Two...

 

Let’s talk about Keltner: You will hear a lot of talk about “Keltner Channels” in this journal, so for those unfamiliar with them, here is a brief explanation. The Average True Range added to and subtracted from a moving average. When prices trade outside of the channel with higher highs and higher lows, you have an impulse move.

While my trades will be made from a one-minute chart, the three-minute chart will be used to spot and identify the so-called impulse moves. Most days will see two or three such moves, with two or three pullbacks per move. However, there will be times when there are none – usually on days with monster gap openings.

As I have stated previously, there is nothing extra special or magical about Keltner. But I have found them to be an excellent visual aid for me and my puny little mind. My success rate increases dramatically when I force myself to wait – no matter how long it takes – for the appearance of the setup.

So to summarize: Trades will be taken on a pullback to the 20 period EMA on a one-minute chart, during an impulse move on the three-minute chart. The only other indicator/filter used is a one-minute TICK chart, where trades are passed on if the TICK is at or near an extreme (+/- 800). In that case a pullback to the zero line would be required for a valid signal.

And that covers it.

The only point that I am trying to make is that I am not proclaiming the Keltner Channel to be the latest greatest must have indicator that everyone should have in their toolbox. It is a visual aid for moi – period – but it is a vital tool in the method I am attempting to trade.

 

The reason so many people cannot find the Holy Grail is because it spends most of its time hanging out under its alias which is: PATIENCE. Learning to wait for your setup is the Holy Grail, imo.

 

I don’t know about this. One guy has been taken over by the spirit of a dead rat, after a failed cross-country Internet love went south. Another guy is torn between opening a sandwich shop, or plunging his brains out in the futures market. (And I thought that I was pretty good at drawing you in with absurdities. The moderators edit out any reference to you know who (if I tell you, they’ll dump it) and change the name of my journal! While the same you know who muses in another thread about illegal options trading.

No, I don’t think the time is right for this. I don’t think I’m up for it, or near the level of the new journal keepers.

Maybe some other time – this place is getting too weird, you know what I mean?