I hope you guys all got the sarcasm in that previous post. There is only one way to trade with Fibonaccis, and it is the way I am doing it in this thread. It has nothing to do with predictive power, magic percentages, or sea shells. Sorry to burst your bubble
I am still puzzled how exactly do u hedge your system... could you shed some light? on position sizing and where exactly to take the opposite swing? Also, without any hedge.. I am thinking a few megaphone patterns with LL, then HH, then LL again, and HH again, would give u multiple losses.. JMO
There are a few ways that vary a bit based on when you enter. I'm in the process of writing all of this out. If you set the stop loss as the 100% line, then yeah that would be multiple losses. As I mentioned in this thread, for my current SPY position I wasn't planning on closing it out if it went below that line, and then when that happened, I didn't close it out. In fact, my next add position is below the 100% line. It depends on how you want to size your positions, your account size, your timeframe, etc.
yup, but isn't the 100% line an ultimate cut loss level? otherwise this would be a typical martingale strat? then you would need very very low leverage if u were long during the flash crash for example.. eagerly waiting your pdf/book at some point.. this thread's gone quiet!!
100% was the cutoff when I was doing it intraday. The leverage is so high that you have to do it that way.