Techniques For Day Trading Stocks - Scalping With @volpri's Method

Discussion in 'Journals' started by ironchef, Feb 20, 2025.

  1. volpri

    volpri

    #61     Feb 22, 2025
    PPC likes this.
  2. ironchef

    ironchef

    Because it worked great when it worked. And I was chasing BO, based on 50 days of data.

    The famous ET saying: It works great until it doesn't work.
     
    #62     Feb 22, 2025
    PPC likes this.
  3. PPC

    PPC


    Because most of the things he does are the opposite of what the best traders would do :)

    upload_2025-2-22_23-48-43.png
     
    #63     Feb 22, 2025
    comagnum likes this.
  4. ironchef

    ironchef

    Frankly I am used to big swings in options, on the buy side, the premium I paid is the stop, i.e., all of the invested capital.

    To put things in perspective, a $2K a day loss, out of the trading capital of $50K is not that significant in the grand scheme of things.

    For options, daily swings could sometimes be 10-20% of $50K but I am aiming for a R:R of > 10 there.
     
    #64     Feb 22, 2025
  5. ironchef

    ironchef

    Only when I day trade. :p
     
    #65     Feb 22, 2025
  6. volpri

    volpri

    @ironchef what are you testing? It looks like to me you are two things.

    1) no SL

    2) averaging down

    I ask because 99.999% I in my scalping I have a SL in place. And while I utilize averaging down that averaging down is not without proper context.

    Using no SLs and averaging down indiscriminately just to see if probing will pull a position out of a loss ...well both are recipes for disaster.

    In addition not being able to short means that trying to use in a SIM (Sim it takes a lot of practice to get good at this) trading concepts I discuss in my journal then a scalper is put in a position that reduces the effectiveness of the techniques.

    A scalper like myself WILL get it wrong at times and he has to have an "out" and an option to recover a loss quickly. If one can only trade long then he, after taking a loss, is hamstrung to WAITING for another long opportunity to come along to then size up to recover from a loss. If the general trend is down then that opportunity make not come for the rest of the session UNLESS one is really good a spotting and executing long multiple opportunities in downtrends AFTER allowing a previous SL to execute.
     
    #66     Feb 22, 2025
    Sprout likes this.
  7. Sprout

    Sprout

    I was referring to the aspect of playing the market like a video game, taking frequent trades with no standard SL/TP and judging the effectiveness of the strategy by evaluating your trading results. Those results being such a small sample.


    What perplexity has to say:
    https://www.perplexity.ai/search/in-trading-what-is-the-distinc-1x7RQi7hRRq0ja8kxK2Ebg

    What Grok has to say: (more option centric)
    https://x.com/i/grok/share/aK0E3wRl9kKsvXs6RYrAe4GB1
     
    #67     Feb 22, 2025
    ironchef likes this.
  8. volpri

    volpri

    LOL that famous ET saying is true for ALL strategies at all times and will always be true! A scalper has to protect his account and himself from himself. PRUDENT RISK MANAGEMENT. If I recall correctly there is an entire thread on ET dedicated to that one concept.
     
    #68     Feb 22, 2025
  9. volpri

    volpri

    Scalping and big swings occurring over multiple days are two different things. There is a way to mix the two but it requires getting really good at scalping.

    From what you say you must be looking at BOs in a far different way than the intraday BOs that I discuss in my journal.
     
    #69     Feb 22, 2025
  10. ironchef

    ironchef

    Yes, I was experimenting, changing some of your methods just to see how they might play out.

    On Friday for example, if I could short, I would have rode the short from near open to close with "averaging". That is from reading @Laissez Faire. :D
     
    #70     Feb 22, 2025