To trend or counter trend.

Discussion in 'Index Futures' started by trader2419, Feb 22, 2009.

  1. JScott

    JScott

    The reason most people find it difficult to trade from both directions is because they don't alter their targets for each scenario.

    If you only use one timeframe, then "counter-trend" movements, by definition, have less reward for the same risk (your risk really shouldn't change just because it's trend or counter-trend). Exits should be taken sooner in a counter-trend scenario. And if you aren't tracking these trades to ensure a positive expectancy, then you're not playing the game like you should.

    If you are fading a move on a higher-timeframe, then you can get the reward where it needs to be and can have more confidence to hold for a larger target.

    Keep trading.
     
    #11     Mar 11, 2009
  2. buy only when you know its going up and sell only when you know its right to sell

    this way you is be super rich in no time

    and you can then be moderator on ET :)
     
    #12     Mar 11, 2009
  3. ventus

    ventus

    why not trade both? afterall, countertrend and trend are just two sides of the same coin.
     
    #13     Mar 12, 2009
  4. If your countertrend stop is hit, turn around and trade with the trend.
     
    #14     Mar 12, 2009