+1 It's not the journal or his trades...it's the way he goes about it. Sort of like, ''not what you said, but how you said it."
True. But: http://www.elitetrader.com/vb/showthread.php?s=&postid=3138717&highlight=gabfly1#post3138717
No. It is based on that he criticizes TA, although as I pointed out, TA could have saved this trade, and he could have reshorted at a higher price. The "breaking out of channel then former resistance becomes support" is one of the oldest things in TA, they teach it in traders' kindergarten....
I don't think he's a dickhead. He may be one, but I don't know. I spoke with him once on the phone many years ago (2003 or 2004). He may be a really nice guy IRL. However, on this board in the last few years he has come across as a pompous, histrionic, know-it-all. And I believe it is those personality traits that could be hindering his trading. In stark contrast, let us look at someone like lescor. You don't see too many haters on his thread do you?
To be fair, I don't think we should necessarily be telling each other specifically how we ought to trade. There are many different ways to make money. I don't think the specifics are important for the purposes of this discussion. However, there are relatively few ways in which to lose money meaningfully. And, as luck would have it, most people naturally gravitate to those latter approaches. I was merely pointing it out when I saw surf doing it. We don't all have to trade the same way. But we should all probably try to avoid the same general mistakes.
That strategy can blow out an account real fast. I dont think losing 10 handles on 3 minis will blow up his account initially. But...he does the same thing every time. At some point that strategy will empty his account. Big losers on bigger size vs smaller winners on smaller size is a disaster. It's a fact. This "trade" was never a winner....so yes, he was adding to a losing trade. The problem Surf has on here is he is critical of a lot of other strategies and tries to act like a know-it-all. Imply he has connections...blah blah blah. Surf seems like a good guy....but as far as a trader he has a lot of qualities of the worst out there. Probably why he isn't a trader in his real life.
To be fair, tho, we don't know if he nibbled, or if he backed up the truck. Averaging down was just a bad move, tho.
What I do not get, is that if the market is in a lateral, would it not make more sense to take the position when the market breaks out. Now there is volume analysis to tell if the lateral is accumulation or distribution, why not just wait for the break and confirmation?
He starts a position based on a tip...from his "sources"... The market pushes against and he averages down 3X...within small range... He increases position to "full size" at 6X...in front of friday payrolls...because of another tip...on interest rates... Market gives him an out on thursday...and instead of tightening ship or exiting a ghastly trade, he gloats. He can't predict, he can't time, he can't manage, he got what was coming to him. In addition, only the clueless increases to "maximum size" without the market going his way some. A simple trade tells a lot about his "strategy". No quarter asked nor given... Who's the idiot surferboy?.