Chat Junkies

[atto 20]

I was thinking we could use a thread to easily share charts and make more detailed comments regarding something that was discussed. I've had a few chat discussions bleed into PMs because of the more "formal" setup, so we might be able to get some use out of this.

 

Inviting the regular chat crew, if I forgot you originally, whoops. Likewise, if you'd like to be removed, let me know.

Edited August 14, 2008 by atto

[atto 20]

Here's a longer term chart I posted this morning.

Edited August 14, 2008 by atto

[ochie 10]

Great idea atto. Little nuggets of info pop up all the time in the room. Now we can explore those in more detail.

[mong 10]

hey thats cool. private thread. thanks atto!!

[xracer 10]

I like this idea.

[Northern boy 10]

i was saying in a thread i started that the size of fractal waves (or minute bars) relative to the legs up or down directly relate to how frequently a trader's risk gets taken out before he gets reward. that's probably not what you're pointing out though eh Atto? what should i be interpreting?

[Northern boy 10]

...and this is a daily chart. me=idiot lol.

[atto 20]

(second time typing this, browser error..bleh)

 

In chat, the topic of position management can up. Specifically, fixed size exits vs market based exits. When I first started trading (past 1 car), I used an immediate scale out at x ticks ("locking in profits!"). The underlying reason was because I traded scared, and wanted to get size off ASAP. This is not a winning strategy. Soon after, I moved to all-in-all-out (realizing my fear, and simply removing the practice entirely). Phantom of the Pits changed my view on entries, so I started scaling in (for example, I may add to a winning position when I get another unique entry setup). Db helped me also view exits differently, suggesting that scaling out maximizes profits (for him). Trading isn't a game to be "right" or hit home runs, it's all about the P/L. I spent several hours going over previous trades, and realized that I would have profited more by scaling out at "exit setups". I've since moved to a scale in - scale out position management strategy, and am very content.

 

My exit position management is based on S/R and climaxes. I do not exit in anticipation of S/R, but will scale out (or exit completely) at a S/R confirmation where price does not move through. I also (aggressively) move my stops up just under previous s/r areas. Most significantly, I scale out on climaxes (which, if they present themselves, can give you very good exits).

 

I'll get an illustrative picture in here eventually graphically explaining what I'm talking about. Thoughts? I'm no expert, so please feel free to share what works for you.

[xracer 10]

I agree with POP's rule about pressing your winners. How many parts should you divide your max position by?

[atto 20]

Lame answer: whatever works for you. It probably depends on position size, and trading timeframe. I tend to group my contracts in 1/2's and 1/4's for exits and re-entries.

[stanlyd 10]

good idea atto.

I am driving from LA to NY. I am about halfway, so be back in room on Monday. Good luck and have fun. See you guys next week.

[mong 10]

good idea atto.

I am driving from LA to NY. I am about halfway, so be back in room on Monday. Good luck and have fun. See you guys next week.

 

nice stanlyd, how does the corn look?? take some nice photo's for us. c ya soon!!

[mong 10]

maybe something relevant here:

 

check it out.

 

http://members.aon.at/tips/moneyMan1.htm

 

 

reading for weekend anyway!!

 

cheers, marius. (aka mong)

[firewalker 10]

Hi fellow chatters... a lot of people felt that the market behaviour is somewhat different than at other times over the course of the past year, and several people mentioned having problems with S/R lately (see also wasp's thread about The Art of Support and Resistance), perhaps this is due to the fact that price, after breaking out of a R level, fails to hold above it but falls back immediately.

 

I think most of us would expect price to make a pullback and continue it's direction.

 

This is how I see it on the ES. Feel free to correct or comment in any way. The light blue dots indicate breakouts above R, the purple dots is where price falls back below it... perhaps this is where some parts of the problem lie...

 

[jasont 10]

Some interesting things I have found with this particular market is lower volume spanning across the day. Previously what I considered high volume has dropped significantly. I'm not sure what it can be attributed to, maybe it's the Summer doldrums many people keep mentioning, maybe its the bounce we are seeing in what many still believe to be a declining market.

 

Less interest in the buying side could arguably be seen in the way we have risen on this July-Now bounce. It is slow which is healthy for a longer term trend but we are seeing considerably smaller and smaller rallies on each bounce. In fact I might even suggest that the breaking of resistance and falling back into it without clearly taking off (like seen in your chart) would imply the lack of faith in buying right now.

[mong 10]

hi guys, you got 20mins to learn a new setup??

 

about breakout trading. something for you atto! ;-)

 

 

Range Break out video pt2

 

cheers, marius (aka mong)

[mong 10]

2 good sites here worth a look over

 

http://www.tradingpricepatterns.com/

 

http://thepatternsite.com/ (this site from tom Bulkowski)

 

gl.

:missy:

[mong 10]

great vid on money management and position sizing

 

https://admin.acrobat.com/_a812722289/p87113952/

 

enjoy!

[mong 10]

oh man. another good video.

 

great analysis. i really enjoyed this. very easy to listen to!

 

http://www.pfxglobal.com/forex-podcast/interest-rates-and-gdp-following-labor-day.html

 

 

:helloooo:

its going to be a new learning period for me. =) yea!!!

[mong 10]

geez. not much oneway trending today. !!

 

 

i found two great support area's, using this mis-understood-hindsight technique, where market reacted both times.

 

nice!!

[ochie 10]

Hello Chat Junkies,

 

If you set audible alerts in your trading, here's a site that creates quick .wav files for alerts in your own words.

 

http://www.research.att.com/~ttsweb/tts/demo.php

 

 

Good Trading,

[mong 10]

another video guys!

 

http://www.marketmastery.com/video_6pack_risk_shield/

 

 

also a live seminar tommorrow about:

Mind vs. Method:

Getting Subjectivity Out of Your System

 

not sure if the link will work so try it if you want.

http://click.exacttarget.com/?ju=fe3116707d64077c7c1576&ls=fdf412717065017f731d7875&m=ff2e1271746d&l=feba1c767c650074&s=fdf715727060007f7d167871&jb=ffcf14&t=

Edited September 16, 2008 by mong

[mong 10]

hi guys, this just recieved this coupon from a friend.

 

i think the offer is that they are NOT asking for [credit card details] for the next few days, upto sep 21. normally they probably do cause they offer a trial anyway!!

 

so i just signed up and its true. they didn't ask for those details. so i just put in some details and confirmed thier email. maybe some of you also want to participate.??

 

cheers, mong!

p.s. could be interesting. i always like to see how other professionals are "actually" doing things!!

 

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[xracer 10]

Hey Guys,

 

The menu bar seems to be missing the link to the chat room. Until it's fixed enter here:

 

http://www.traderslaboratory.com/tlchat/rooms.php

[mong 10]

hey guys, a trading friend of mine has started a blog on nq and es.

 

if you want to check it out its here.

 

http://www.happydaytrader.com/

 

 

 

his name is rajinder aka "profit"