That doesn't mean he's betting against you. He just knows singing in the shower and singing for a living in front of 5k people are two very different things, soley because of emotions evoked in the latter circumstance. After all the effort you've put forth I'm sure he hopes for your success. Why wouldn't he, it would prove the theories are valid and worth his own pursuit in the endeavor.
nwbprop, thanks for the explanation. If you don't mind, let me take something you said one step further. I'm trying to understand why you would get out, if not reverse, if price didn't make it to the far side (meaning upper channel if long) of the channel. Is this to make sure you're only staying in for the strongest moves? If not making it suggests reversing, there must be more to it than that. This is a whole new way for me to look at this stuff, and I'm trying to make sense of it all. Jack would probably argue to just do it. Part of me seems to need to know why.
You got it. I don't know whether Jack discussed this but I noticed that when a slow channel has formed prior to a rocket signal, it can go one of two ways: - slow trend -> rocket signal -> BO to the away side. Trend is getting stronger so you enter. - slow trend -> rocket signal -> bounce off the away side -> traverse right -> resume trend. In which case you're better off waiting for the pull back. Otherwise your trade is in the red right from the start and you can get shaken out.
No offence taken, I was joking. Point taken - I know that what you said about live trading is true (I've experienced it myself). I just wanted to point out that I don't post my results to prove myself nor will I take any action to do so. People can use it as forward testing, and I am using it for discipline and feedback.
The point of having a true channel is for the price to traverse it. We want to get the whole trend in the bank. A signal that the trend is ending is when price fails to make it to the other side(upper channel if long) and volume pooping out. If the price fails to reach the upper channel, and volume poops out, then the trend has weakened and you are seeing the end of the trend. Jack suggests that when you see this, you should exit because you are at the end of the trend. He also suggests that you should simultaneously exit and "tack" on to the other side(short) because the long trend no longer has its umph. This will get you ready for a reverse IF it occurs. Usually, you get consolidation after a good rocket but if you tack on a short you will be on the right side anyway. hope this clears some things up. j
Jack, thank you for sharing your knowledge. I have been following your posts for a little while. I am very excited about what you are showing us have been trying to trade your technique. I am now doing Rockets and reversals out of failed rockets. I tried to pick up breakout trades out of vdu but have been getting burned. I could benifit from you looking at my trades. unfortunately i can't trade the E-minis yet so i have been trading the SPYs off of the esi3/esp3 charts to learn. since i am trading spys i trade 500 shares for rocket/reversal and 100 for anything else what i saw this morning started in a downside rocket got in anticipating a 1min macd xo (not really a jack rule) 2003-06-23 09:47:32 SLD SHRT 99.18 0.47 -500 washed on upmove 2003-06-23 09:52:03 BOT 99.17 0 0 reestablished on reentry to rocket 2003-06-23 09:53:20 SLD SHRT 99.15 2.33 -500 (marked) left side of channel for my own education 2003-06-23 10:18:58 BOT 98.72 0 -400 what i saw was a failure to traverse to the left side of the channel so i closed out and reversed for 100 shares 2003-06-23 10:42:12 BOT 98.54 0 0 2003-06-23 10:42:12 BOT 98.54 0 100 went into consolidation and tried to play the breakout 2003-06-23 10:54:10 BOT 98.65 0 200 volume did not sustain out 2003-06-23 10:55:36 SLD 98.6 0.47 100 washed out 2003-06-23 10:57:55 SLD 98.52 0.47 0 this was a better morning for me than usual (the rocket worked) but i usualy lose money when i wash. I also tend to have tried several trend channels before i find the real one whaich makes me hesitant to trust them. thank you for any advice you can give me Anyone else learning Jacks Method please help me if you think you can.
I have been following this thread since the beginning. I have read every detail and I have applied the strategy on paper. The key element was the Point 1,2,3 that finally gave me the confidence to start trading this method. I will give it a try from July 7th on and I will post my results and experience here. all the best, sunseeker
I have a couple questions for anyone trading Jack Hershey's system and would be interested in starting a dialog with any one trading it -when there is a rocket at sync (or if you miss your initial entry) what do you look for as an entry signal. I have been using the 1 min macd xo but I feel like I miss a large portion of the move waiting, -is it a bad idea to add to or establish a position at a point 3 -when the price action doesn't traverse to the left side of the channel what is the reversal signal? ie how do you know that it isn't going to make it as apposed to simple a (hiccup) DU? -we are not supposed to trade after 3 but i think that that is where the market has been having some of its bigger moves of late, how strictly do you adhear to this rule, it does not seem to be nearly as big as the morning 9:45 -when you are looking at the 5 min stochastics they project the rest of the period and change when time goes by. Is there a trick to figuring out if they will really cross, ie is there something else you are looking at, like the 1 min, if so what are you looking for