This just shows the range of "traders" we have on this site. Pure gambling......please. Listen to the pit, watch the ticks, if you missed the downside and did not chase, buy the bounce! The bounce was REAL easy to see and the spoo feed even called the bounce for you "looks like an erroneous sell program, look for the bounce" We really need to seperate ET forums for different styles.
NO THEY DON'T.... and I'd appreciate if you kept it to yourself... I've tried before but my crys fall on deaf ears. Besides most of the people whining about it, or making excuses like, about how impossible it was to... or how risky it was to... or whatever the *uck... are in Complete DENIAL. I thought I was the King of that shit a few years ago, but I've heard it all on this board now. My Psycho problems are dwarfed in comparison.. Yes, today was a complete *uckarow for those who went long(at the top) and for those whos trades got busted after market. To those traders, I'm truely sorry. The game is not fair. However, if you were Johnny-on-the-Spot, and realized from a technical stand point that this was actually as free as a trade gets then you would've loaded the freak'n boat! When's the last time you saw the e-mini Nq market drop more than 25pts. solid without a bounce. I can't remember when. The point, it doesn't happen often. Like somebody on this board says, you've got to be in to win! Kills me that some people are still using Limit orders to "Get into" a move. Kinda like sitting on the beach in your swimming trunks fully intending to swim, just waiting for the ocean to come to you.... I guess once in a while it will happen. Oh, and yes, I sold the damn long from the bottom way too early, but I was down some pts. from earlier trades, and I simply needed to "Lock in" some profits. However, that just goes to show you, follow your indicators, like a pilot's instruments, they seldom malfunction. -momo
Oh, and to those who are wondering what, when, where, how... Know your support levels. Don't have to be a rocket scientist. Doesn't have to be DEAD ON! Although, that does help. BTW, anyone see the nice pattern that we could play come Monday? Nowadays, I always seem to have my Bear Suit ready to wear! LOL! Happy 4th to all. -momo
LOL. Well, if it was really an erroneous sell program on the ES, then your trade would have been busted and you'd probably be left with an open position that you didn't want. Remember that ES pop at EOD a few months ago - where the trades were busted and many people who shorted the pop were left with losing long positions when their sell was busted but their cover wasn't? You could have said the same thing you said above about that event also.
I was just about to delete or edit my post. You are right, but I don't trade or watch the minis. I was refering to stocks....the sellers and the obvious consolidation with the bounce.
I am going to side with the skeptics on this issue...The moment this happened, I have serious doubts that Gordon Gekko would be saying "oh great this is a wonderful opportunity to go long"...My bet is he was saying "holy shit, what the hell is happening..what is the news" like most people who saw that thing spike 12 handles lower in a minute...That was a pure price vacuum, not unlike some of the globex vacuums that existed 3-4 years ago when the market would cascade lower and before you even knew it, it was trading unchanged again... The only way that I could possibly see someone playing a strategy that caught the outliers (and Bone actually mentioned this idea about 4-5 months ago) would be to wake up every day, determine a volatility threshold and simply place bracketed orders at the extremes of price, in the hope of catching a spike and reversion trade every few months...I am sure someone who is clever and has some good ideas has done this with the es, nq, maybe some other futures markets...But to think that you could react manually in that short window of opportunity is just dangerous thinking...
If it wasn't for the ease of getting trades busted on the eminis - I'd be more agreeable to trading these sorts of spikes. As nitro noted above, maybe it's possible to take advantage of these emini spikes by trading QQQ's or SPY's instead. I assume those are not nearly as easy to bust, but I don't know that. Is that the case?
Don't know about the QQQ's or SPY's, never traded them and don't ever plan to. As usual.....everyone is always comparing apples to oranges. Sorry about that. For my example, you had MRK who started at .93 when the sh*t hit the fan. You were able to get in fairly easy ECN's or even chase NYSE at .70...gapped to .35. Sat there and was very obvious he was going to bounce. Could have bought as many shares as you wanted at the .40 with all the late sellers....next print was .75 This happened on tons of listed stocks...was a very easy move to trade.
There is no living to be made off "catch the bottom of a spike". Just concentrate on the base hits during the day and keep your focus. Don't let your greed grab you when you see what looks like a rocket you can ride after the down spike. Seeing a spike like today and suddenly changing up your trading style to try for some quick profits is a recipe for disaster (emotional plays). Now if anyone was short the ES today, from a trend channel break from the previous day when the down spike hit, then you made some nice quick coin today. It sure was a nice profit wasn't it!!!