Phantom likes to use tight stops apparently and adds to his position as the market tells him his position is correct at a ration of 3:2:1. Would this be a good idea with equities as it would be with futures? Do you use this strategy with success nitro? Interesting read by the way, thanks for the link.
This strategy is horrible if you add to positions. I'm now flat and done for the day After closing my opening orders the market was positive so I played the long side of those trades. I ignore the shorts so that the overall market trend will be in my direction JNW ave execution 23.28 EAT ave ex 31.1 PGO ave ex 5.75 CMH average ex 14.78 sold EAT and PGO for losses losing about .10 on EAT and about .04 on PGO but......... sold JNW some at .38....some at .50 some at .68 than the rest at .58 and sold my CMH at 14.95 15.04 and than 14.89 so I made about .35 on one about .18 on the other. CMH seemed to have a lot of resistance
I use Market Screen .com with filters for NYSE and multiple up days in a row /down days in a row Corey in this office use TC2000 and has a few screen he gets I found some free ones that aren't too bad on www.pcquote.com under screeners than with that scroll box -- in the middle scroll down to potential bullish reverals /LONG and potential bearish reversals /SHORT Robert Tharp
version, As Robert says, _HIS_ strategy is _ANTITREND_ (at least the short/intermediate trend.) Therefore, IMHO, and Roberts opinion as well, adding (pyramiding) into positions in _HIS_ strategy is a _BAD_ idea. However, if you are trading a system that is trading with the trend, there is something to be said for Phantom's strategy of adding to the position _WHEN_IT_IS_GOING_YOUR_WAY_, and paring out of a position when it is going _AGAINST_ you. I know of traders that think this is a horrible idea _EVEN_ in this case. They figure, if you are going to be in a position, why not load up from the beginning, and if wrong, remove it fast. Since we are trading, they argue, and we have such great commissions, just get back in if it looks like you were originally correct. This is not what the Phantom suggests of course - that's what makes a market... In regards to futures vs equities of Phantom's "money management" strategy of adding to positions, I see no reason why it should matter. Yes, I do add to positions when I am _Investing_, and I do use a 3:2:1 type of strategy. _HOWEVER_ I do _NOT_ _TRADE_ this way! nitro
Adding to a position today would have killed you. I'll post my trades for a few days to give everyone a taste to one of my systems The list for tomorrow SHort side Market MUST be negative to play short and they MUST go below closing price peel off positions as they work in your favor and do not add!!! 25% retracement of daily bars run is total profit target AOL CXR DAB ETM GCI JHZ NVS * this was on yesterday's list. It moved a point more extreme which means the new price is a point away and the trade becomes even more juicy NYT PDX SCM Long list not as many BLX COO SEI For the long list market MUST be positive and they must be above closing price. Position sizing rules still apply to these as the shorts. Robert Tharp
Robert, Thanks for the new offerings. Is there any particular reason why this system is only traded within the first hour of the day and not again? Do you live in Arizona and do you like to golf? nitro
Thanks for the links Rtharp. The screener you are using looks like a good deal for only $49. I used to use TC2000 a few years ago. Checked out the freebies today at PCQuote. The one you are using looks a lot better than the freebies.
Thanks for the informative post nitro. Even William O'Neil will let you add to postions as your stock goes up, so it must be okay! I wouldn't (and haven't) ever done this daytrading.
Gee whiz rtharp, what do you do with the rest of the day after spending so little time trading the market? How do you determine your entry positon sizing? Are you splitting your capital evenly with your positions?