Emini S&P 500 Day Trading Journal

[MadMarketScientist 11]

While I find a lot of these posts cryptic and maybe they could be more informative (how about a chart?) I still think that anyone who has the nerve to even post their trades has some guts/confidence.

 

Most hide and criticize and I understand to a point -- but still, putting it out there is putting it out there for the world to see.

 

Especially in an area where people probably exaggerate their ability and performance to no end.

 

MMS

[bigsnack 10]

While I find a lot of these posts cryptic and maybe they could be more informative (how about a chart?) I still think that anyone who has the nerve to even post their trades has some guts/confidence.

 

Most hide and criticize and I understand to a point -- but still, putting it out there is putting it out there for the world to see.

 

Especially in an area where people probably exaggerate their ability and performance to no end.

 

MMS

 

You are totally right. I'm not out to slam anyone, it just seems like there's an easier way to make 50 bucks in a plummeting downtrend besides averaging down and taking profit at the peak of a pullback.

[MadMarketScientist 11]

Now there I'm with you when we're discussing straight strategy.

 

I find when I trade that way I get super hot for a while but then hit a few losers in a row and suddenly all that work gets wiped out...

 

 

MMS

[emg 12]

Those who risk 1000's to make 10's of dollars feel the need to post their trades.

 

 

like i said many times, $100K per contract to day trade the es. The reason is using the $100K as an insurance.

 

Imagine owning and driving a car without an insurance. Is that a lot of heat? Imagine you are involved in a deadly accident and at fault? Imagine u have no insurance.

 

Definition of an insurance: the action, process, or means of insuring or the state of being insured usually against loss or damage by a contingent event (as death, fire, accident, or sickness)

 

Having a car insurance help driver keep their mind in peace and be able to minimize loss when or if accident happen.

 

Unfortunately, trading does not have insurance. To keep traders mind in peace is to create their own insurance policy. My insurance policy is when day trading the es is $100K per contract. That will minimize my loss during unforeseen crash.

 

Imagine insurance does not exist. Imagine everybody is driving a car without an insurance. Imagine everybody owns a house without insurance. 99.9% of homeowners, car owners lose. or bankrupt if unforeseen events happen whether they are at fault of not.

 

More than 90% of small traders lose. They just lose!

 

Good Luck to your trading.

Edited March 31, 2011 by emg

[daVinciLite 10]

emg,

 

I appreciate you tenacity of posting your trades here for everyone to see. I am tempted to do the same.

 

May I try to explain why many people here have expressed concern for you risk management strategy? If you win nine out of ten times, that would be a wonderful win rate of 90%. But the problem is with the other 10%. If you win nine times you only make nine points, but if you loose just once you will give back all of your winnings and then some - as much as 10% of your account in your case. Can you see that the math is against you?

 

You have taught me that risk/reward is all we traders have and can be the most important thing in trading.

[SunTrader 10]

And the reason why they lose is either risking too much or making too little.

 

Manage risk ......... plus cut losses short, let winners run.

[daVinciLite 10]

emg,

 

I appreciate you tenacity of posting your trades here for everyone to see. I am tempted to do the same.

 

May I try to explain why many people here have expressed concern for you risk management strategy? If you win nine out of ten times, that would be a wonderful win rate of 90%. But the problem is with the other 10%. If you win nine times you only make nine points, but if you loose just once you will give back all of your winnings and then some - as much as 10% of your account in your case. Can you see that the math is against you?

 

You have taught me that risk/reward is all we traders have and can be the most important thing in trading.

 

I stand corrected. Looks like you are going one to one now. That 10% number was in the beginning of your posts.

[emg 12]

Good Morning Traders!

[emg 12]

emg,

 

I appreciate you tenacity of posting your trades here for everyone to see. I am tempted to do the same.

 

May I try to explain why many people here have expressed concern for you risk management strategy? If you win nine out of ten times, that would be a wonderful win rate of 90%. But the problem is with the other 10%. If you win nine times you only make nine points, but if you loose just once you will give back all of your winnings and then some - as much as 10% of your account in your case. Can you see that the math is against you?

 

You have taught me that risk/reward is all we traders have and can be the most important thing in trading.

 

You will have to create your system on managing loss. Managing loss equal profit target. My profit target is 1pt. Therefore, 1pt profit target equal 2 ticks loss based on add to average. I rarely add and don't remember when was the last time i lose. But, the es rarely hit my entry price meaning too many no trade days.

 

Adding involves substantial risk which is why my insurance policy is $100K per contract day trading in the es only. More than 90% of small traders blow their accounts by adding to average. The reason is, they do not know how to add. Many add to average 1-3 ticks against which is ridiculous because u are adding more risk by increasing leverage for no reason. The purpose of adding is to move your average price close to the market price. From there, u take small loss. Adding 1-3 ticks against is not the way to go because that will only move your average price 1 tick. You want to be able to move your average price 3-5pts during medium trend day and 5-10pts during big trend day. To do that, you need a sufficient funds and start 1 contract.

 

Trading is all about managing loss, not to focus on profit. If one can focus on managing loss that will cut the greed. When i am in a trade knowing my profit target is 1pt, i am focusing on managing my loss if the market goes against me and not hoping and praying the market hits my 1pt profit. This explain why i am still in the game for more than 10 yrs and counting.

 

Good luck on your trading

[emg 12]

plan on going short 1335.50

[daVinciLite 10]

Looks like todays low is in at 1325.75. That was yesterdays high and a key volume point of control. Long was a no brainer there. 1335.50 looks like a good short. It is the 2-17-11 high.

 

Hopefully we will get to 1335 late in the day. Would not like to fade this strong market early in the day.

[emg 12]

plan on going short 1335.50

 

order pending...........

[daVinciLite 10]

Looks like the sellers from yesterday are holding their ground. May not get to 1335 today. They need to cover - which they have not done yet.

 

Thanks for the response. I have no problems in adding to a looser if you have a reason. I have not done it yet because my capital base is to small right now.

[daVinciLite 10]

Looks like the sellers from yesterday are holding their ground. May not get to 1335 today. They need to cover - which they have not done yet.

 

Thanks for the response. I have no problems in adding to a looser if you have a reason. I have not done it yet because my capital base is to small right now.

 

Actually meant to say that the shorts from yesterday have just been squeezed out. Shorts from a few days back are still in the market and are defending this area.

[emg 12]

Good Morning Traders!

[emg 12]

plan on going long 1317.00

[daVinciLite 10]

You will have to create your system on managing loss. Managing loss equal profit target. My profit target is 1pt. Therefore, 1pt profit target equal 2 ticks loss based on add to average. I rarely add and don't remember when was the last time i lose. But, the es rarely hit my entry price meaning too many no trade days.

 

Adding involves substantial risk which is why my insurance policy is $100K per contract day trading in the es only. More than 90% of small traders blow their accounts by adding to average. The reason is, they do not know how to add. Many add to average 1-3 ticks against which is ridiculous because u are adding more risk by increasing leverage for no reason. The purpose of adding is to move your average price close to the market price. From there, u take small loss. Adding 1-3 ticks against is not the way to go because that will only move your average price 1 tick. You want to be able to move your average price 3-5pts during medium trend day and 5-10pts during big trend day. To do that, you need a sufficient funds and start 1 contract.

 

Trading is all about managing loss, not to focus on profit. If one can focus on managing loss that will cut the greed. When i am in a trade knowing my profit target is 1pt, i am focusing on managing my loss if the market goes against me and not hoping and praying the market hits my 1pt profit. This explain why i am still in the game for more than 10 yrs and counting.

 

Good luck on your trading

 

I read your entire thread. Your risk strategy now makes perfect sense to me. Thanks for sharing it.

 

It is rare to ever learn anything of value on a forum.

 

DVL

[emg 12]

Good Morning Traders!

[emg 12]

plan on going short 1338.00

[daVinciLite 10]

Will look for shorts below 1333.

[emg 12]

Good Morning Traders!

[emg 12]

plan on going long 1319.25

[daVinciLite 10]

Market was held in upper range this early morning to get the suckers long. Looking for test of recent lows.

[emg 12]

feel free to post your ES trades! This thread is for es traders and anybody wants to learn more about es instrument

[daVinciLite 10]

The Euro is making new highs. Dam europeans. If this keeps up there is not much chance of going lower.