Value Based Position Trading

Discussion in 'Journals' started by JT47319, Jun 22, 2003.

  1. JT47319

    JT47319

    Method: To purchase securities/futures at the Point Of Control (ie the highest volume price in the given time frame) in an uptrending market as it retraces and pulls back to support.
    Rationale: The POC will oftentimes, even on an intraday timeframe, act as support/resistance. Value has been determined in the minds of the most market players where peak volume has located peak demand.
    Stop: One multiple of ATR (range determined by days used in overlay) below the POC or if fundamental/economic conditions change.
    Target: 1/2 at the Upper Value Area and another 1/2 TBD if the trend continues and breaksout.
    Timeframe: Intermediate, one day to several weeks. This is to be differentiated from my short term, intraday scalping strategy which remains the same and traded in a different account
     
  2. JT47319

    JT47319

    IBB
     
  3. JT47319

    JT47319

    Russell 2000 futures
    POC will be taken at 449.40 instead of 456 as the volume difference is pratically negligble.
     
  4. JT47319

    JT47319

    ES
     
  5. JT47319

    JT47319

    NQ
     
  6. in market profile

    have you ever heard of their cap flow software ?
     
  7. JT47319

    JT47319

    Last, but not least, YM. I may simply substitute ES for YM.
     
  8. JT47319

    JT47319

    I've heard of it and even read their little instruction manual online. But I think they've discountinued that software and gone with Aspen Res, which I've heard pretty decent things about though I haven't used it myself.
     
  9. JT47319

    JT47319

    Executive decision, not stepping in front of this > 3 TRIN selloff until more support can be shown. May swing EOD long if TRIN closes 2.6+. Statistically speaking, such readings show oversold and high proabibilty of bounce.
     
  10. JT47319

    JT47319

    IBB purchased at $67.60 as it showed good signs of a bounce from UVA and penetration of the POC. MVL starting to do a nice comeback, but still well below POC.

    Futures indices showing signs of strength after the selloff, but haven't established a swing position yet. Most are hovering below or just at the POC.

    May purchase e-mini gold on this pullback.
     
    #10     Jun 26, 2003