Watching Paint Dry

[jpennybags 11]

It's a rainy day at my place today… rain is a good thing, but it always kind of puts me in a funk. I put on a short trade this morning and caught a decent move down, then the market went into stall mode… it's been a good day; no complaints. I'm curious what other folks do when watching the market is like watching paint dry…

 

My list (in no particular order):

 

1. Take a nap… one of my favorites (I'm over 40).

2. Clean house… I can clean for a bit, then return to the desk.

3. Listen to music, read, or watch something on television (still at the trading desk). I kind of like the old movies on TCM… "shown commercial free; as it was meant to be".

4. Close the books and shut it down for the day to do whatever strikes me.

5. Take 1/1 trades and nickel and dime my way to success. I like this one, but i keep myself on a very short leash.

6. Sim trade some new strategy that I've dreamed up.

7. I'm the chef of the house… prep for dinner.

 

Curious what others do...

[SIUYA 11]

 

1. Take a nap… one of my favorites (I'm over 40).

2. Clean house… I can clean for a bit, then return to the desk.

3. Listen to music, read, or watch something on television (still at the trading desk). I kind of like the old movies on TCM… "shown commercial free; as it was meant to be".

4. Close the books and shut it down for the day to do whatever strikes me.

5. Take 1/1 trades and nickel and dime my way to success. I like this one, but i keep myself on a very short leash.

6. Sim trade some new strategy that I've dreamed up.

7. I'm the chef of the house… prep for dinner.

 

Curious what others do...

 

1..Take a nap on any quiet day is always part of the agenda....I too am over 40, but used to do it when at work in my 20s as well. Always raised a few eyebrows, but 20min cat nap fantastic.

2...we have a cleaner and I hate that stuff apart from hanging out the panties

3...listen to music, surf the net, rarely watch tv - too distracting for me unless i switch off the computer all together.

4...Work on automation or ideas (most of the time)

Try to avoid the 5. Used to try it and found it created too many bad habits...see 4

6....see 4

7....I too am the chef, even though she is Italian she hates to cook.

 

Otherdays -- I just turn it off and go to lunch when I just dont feel the mojo.

I figure there is always something happening, but often you know its best not to even venture into the pond.

[karoshiman 10]

 

...

 

I put on a short trade this morning and caught a decent move down, then the market went into stall mode…

 

...

 

 

 

You didn't say whether you closed your profitable position or not.

 

If I am still in a position, I do the following:

 

1. Try to move the markets with my mind. It works sometimes...

 

I might briefly interrupt 1. for

 

2. Doing the laundry.

 

3. Reading some new posts on TL or surf news or other websites that come to my mind.

 

4. Exchanging emails with friends/relatives.

 

5. Working on trading ideas.

 

If I'm VERY confident about my position (no mind tricks necessary), I put in a very wide stop and my target and then go for a work-out.

 

When I have no open position and don't expect markets to move in the next few hours, I go directly to my work-out or do some shopping and get back for the closing session.

[gosu 10]

Been trading in the Pacific time zone the past few years. Barring illness, holiday breaks, appointments, I'm always at the screens for the open and AM. I take a meal break around 8:50. Most of the time it's at the screens but I do like to go out to a nearby Hof's Hut (drive) or IHOP (walk) if I see low volatility. The servers no longer ask what I do for a living after I told them I'm unemployed.

 

I'm also over 40 but taking a nap in the morning is just not my thing. The day goes by too fast for me to feel like I'm watching paint dry.

[jpennybags 11]

You didn't say whether you closed your profitable position or not.

 

Yea, I did close the position. If I had stuck with it I would have made more, but I'm not opposed to taking profits. The rest of the day didn't yield much, but I've been way wrong on that call before... no regrets.

[steve46 12]

I work the overnight market and parts of the RTH

 

I trade specific time periods because I have worked out (backtested) where the opportunities are likely to occur...

 

For the Globex market, the obvious opportunities are the opens of each market, and the time periods that setup the economic reports. To find these you simply use an economic calendar and look at the schedule of releases. Although each vendor likes to think that they know which of the reports has most impact, I would suggest you obtain some education so that you can determine this for yourself...

 

For the RTH session I prepare for the open starting one hour prior to the release of any critical economic report...I have a method for scanning previous price action to determine if "informed" participants are pre-positioning (thus believe that they know which way a report will go)....and if I see that I "go with" that pre-positioning move...I call it an "algorithmic setup" and since it looks the same to me I take that trade every time I see it...so far this year it is providing favorable entry (meaning I make money) about 80% of the time.

 

Once the RTH session opens I trade that open if I see an entry...If I have a position on I stay with it....if not I continue to monitor until about 8:30am PST....at that time you can see on a chart whether the market is going into lunchtime mode....If I see an opportunity I take it, if not I take a nap until about 10am....I get up and look at the screen.....it is pretty easy to tell whether participants are going to re-estabish a pre-existing trend at that point. If I don't see an opportunity, I go back to sleep until just before noon local time...I get up and trade the noon balloon, and opportunities that follow at 12:30 and 12:45....at the close of cash I watch to see how the market closes. If we have had a trending day, some percentage of participants will want to liquidate to close their books. That causes what I know to be an "equalization" trade...which is an easy couple of points....at that point I am done for the day.....

 

Because I restrict my attention to specific time periods there is no element of "watching paint dry"...either I see opportunity and act on it (during specific time periods) or I leave the screen..

 

I realize that most folks would be skeptical of claims that a person could get it right 80% of the time...so I post this snip of my most recent trades...naturally my hit rate fluctuates....usually somewhere between 68% to 85% or so when I am on a hot streak..

 

Once more and for the record, I am NOT teaching any more (please do not pm me)

 

Good luck folks

Steve

Edited April 4, 2012 by steve46

[BlueHorseshoe 10]

even though she is Italian she hates to cook.

 

I used to place great faith in your comments, but now I realise you are nothing other than an outright liar who makes implausible statements and contradicts himself completely

[BlueHorseshoe 10]

If we have had a trending day, some percentage of participants will want to liquidate to close their books. That causes what I know to be an "equalization" trade...

 

Do you find that this holds true? My assumption would be that the vast majority of trading volume (and certainly the vast majority of traders who were smart enough to be on the right side of a decent move) would come from institutions who will most likely exit using an automated process within seconds of the close. So to me the idea of a 'liquidation move' into the close of any tradeable duration doesn't make sense . . . I would be interested to hear more about your experiences trading this.

 

Bluehorseshoe

[steve46 12]

Do you find that this holds true? My assumption would be that the vast majority of trading volume (and certainly the vast majority of traders who were smart enough to be on the right side of a decent move) would come from institutions who will most likely exit using an automated process within seconds of the close. So to me the idea of a 'liquidation move' into the close of any tradeable duration doesn't make sense . . . I would be interested to hear more about your experiences trading this.

 

Bluehorseshoe

 

This is one of the times when "size matters". In order to get in or out (in seconds) you have to have sufficient liquidity at the price(s) you are looking for. I have been out of the game now for a while, however one thing is clear, if you have to get out at or near a specific price or range of prices, you have to plan ahead and you MIGHT have to get in or out when liquidity is available rather than exactly when you want to....In actuality my experience is very specialized and somewhat limited....I worked a high touch desk so I had to make sure (as much as I could) that I got out pretty near to my target....If for example my target got hit early (rather than a "few seconds" before the close) then THAT area is where I would start to scale out...

 

In markets as active as the US futures index, there are a range of strategies being executed at any one time....today sellers wanted out 10 minutes before close of cash....I noticed that they did not finish until after close of cash and that selling continued for almost an hour into the Globex open...

 

Good luck in the markets folks

Steve

Edited April 5, 2012 by steve46

[xkr1962 10]

I used to use the time to watch the priceaction closely in order to learn how to up my game.

 

I am happy where I am at now so place the trades, generally off a 15 minute chart and walk away.

 

Waiting for the perfect set-ups is where the discipline is really required IMHO.

[Mysticforex 13]

Up at 2 am EST. I like the London Open. Scan news, forums, etc while I have some breakfast. If I see something I like and don't miss an opportunity, enter a trade. If I miss it, oh well. I don't chase trades anymore. Around 5 am take a nap ( I too am over 40 ). Back up at 6 am to let the dogs (3) out, and send the wife off to work. Back at the screen at 8 am, watch NY open. Take a trade or not. Done trading for the day at 10 am. Run an errand or two, then ride my motorcycle for a few hours.

[BlueHorseshoe 10]

This is one of the times when "size matters". In order to get in or out (in seconds) you have to have sufficient liquidity at the price(s) you are looking for. I have been out of the game now for a while, however one thing is clear, if you have to get out at or near a specific price or range of prices, you have to plan ahead and you MIGHT have to get in or out when liquidity is available rather than exactly when you want to....In actuality my experience is very specialized and somewhat limited....I worked a high touch desk so I had to make sure (as much as I could) that I got out pretty near to my target....If for example my target got hit early (rather than a "few seconds" before the close) then THAT area is where I would start to scale out...

 

In markets as active as the US futures index, there are a range of strategies being executed at any one time....today sellers wanted out 10 minutes before close of cash....I noticed that they did not finish until after close of cash and that selling continued for almost an hour into the Globex open...

 

Good luck in the markets folks

Steve

 

 

Thanks for an interesting and useful reply, Steve. It's a while since I looked at activity around the close in any detail, so your response has re-ignited my interest in this.

 

Cheers,

 

Bluehorseshoe

[FXGirl 10]

I, too, am over forty and live in So Calif, so I rarely get up for the open of anything thing. Yoga first, then the charts. If there is a lull and I'm feeling bored, or if I feel drowsy, I get on the rowing machine and pull hard for 10 minutes. (Rowing machine is right next to my desk). That gets the brain working again. If that doesn't work, there are always the "oldies but goodies" and I get up and dance - more fun, but not as good for the back and shoulders.

 

I hate house work, so that is never an option (luckily, someone else takes care of that for me); love cooking but I get too involved; occassionally watch Netfix on one of the screens, but that can get dangerous so I don't do that often. I must admit that I got totally sidelined one day reading "The Hunger Games" - at least I wasn't in a trade!

[Obsidian 10]

It's a rainy day at my place today… rain is a good thing, but it always kind of puts me in a funk. I put on a short trade this morning and caught a decent move down, then the market went into stall mode… it's been a good day; no complaints. I'm curious what other folks do when watching the market is like watching paint dry…

 

My list (in no particular order):

 

1. Take a nap… one of my favorites (I'm over 40).

2. Clean house… I can clean for a bit, then return to the desk.

3. Listen to music, read, or watch something on television (still at the trading desk). I kind of like the old movies on TCM… "shown commercial free; as it was meant to be".

4. Close the books and shut it down for the day to do whatever strikes me.

5. Take 1/1 trades and nickel and dime my way to success. I like this one, but i keep myself on a very short leash.

6. Sim trade some new strategy that I've dreamed up.

7. I'm the chef of the house… prep for dinner.

 

Curious what others do...

 

1. Take a nap ! (in front of the screen)

[karoshiman 10]

1. Take a nap ! (in front of the screen)

 

 

... while still holding the mouse in your hand and being ready to fire in a millisecond!

[SIUYA 11]

... while still holding the mouse in your hand and being ready to fire in a millisecond!

 

while letting your subconscious intuition monitor the trading..........

[jpennybags 11]

1. Take a nap ! (in front of the screen)

 

My desk is located next to a south facing window. During the winter months I have the shades open. With the sunlight streaming in it's a warm place. I put my feet up, and turn my back to the window... always good for a 20 minute snooze.

[karoshiman 10]

while letting your subconscious intuition monitor the trading..........

 

:o

 

I guess the expert day trader FXgirl described in the conscious/subconscious thread did it the same way. Now we know the real way to riches! Take a nap more often...

[FXGirl 10]

I heard a story about Thomas Edison: He use to fall asleep in a chair, one arm handing down, a metal dish clutched in his hand. When he was asleep enough that his hand relaxed, the dish clattered to the floor and woke him up. Sometimes he awoke with a great inspiration or solution to a problem he had been working on.

 

So maybe a nap is just the thing.

[MightyMouse 12]

I haven't slept during the day since I was about 3 or 4 years old.

I am function 18-20 hours a day every day. I am pissed off when Friday night comes and delighted when Sunday evening comes.

 

I don't wait for paint to dry. There is always something else to paint.

 

Yoga or meditation is great when your mind fills up with shit. Only idle mindlessness fills your mind up with shit. Occupy your mind and you won't need meditation.

[steve46 12]

I believe it was Blue Horseshoe who asked about this trade....I learned it by several names "equalizer", and "close-out" and "marktomarket".....the pattern for this one is what I call "reverse basing"....a basing pattern occurs when price makes a ledge and somewhere past the midpoint you see a lone spike and then price resumes its "ledgemaking"....generally speaking your entry is anytime after that spike and your direction should be opposite that spike...in this case the spike was "up" so the trade is by definition a short entry......the pattern initiates at 12:40 and the move begins at 12:57....There is more to it than that but that is all that I am willing to discuss...

 

Also folks please be advised that I am not going to be posting much anymore.....I started a newsletter advisory for my institutional clients....and I just don' have enough time to do everything I would like to do......tried to start a newsletter for retail traders a while back but it didn't fly....as I said previously I understand the suspicion and skepticism that surrounds vendors on this site...I am with you on that...too bad...some of us actually know what we are doing....but by the time YOU find out, its too late....oh well.

 

Best of luck in the markets...

[jpennybags 11]

"I am pissed off when Friday night comes and delighted when Sunday evening comes".

 

I would also express a bit of sadness when the Friday close rolls around… no more trading for 2 whole days. Time for family, friends, and other interests. Not a bad trade, but I wake up Sunday morning wishing it was Monday already.

[Obsidian 10]

I prefer spending time with wife and son as I can always find time for the next trade

[Mysticforex 13]

 

Also folks please be advised that I am not going to be posting much anymore.....I started a newsletter advisory for my institutional clients....and I just don' have enough time to do everything I would like to do......tried to start a newsletter for retail traders a while back but it didn't fly....as I said previously I understand the suspicion and skepticism that surrounds vendors on this site...I am with you on that...too bad...some of us actually know what we are doing....but by the time YOU find out, its too late....oh well.

 

Best of luck in the markets...

 

Thank You Steve... for all the insights you shared, that retail traders like myself don't have access to.

I hope the TL community realizes what a "Gift" it was having someone like you posting here.

 

The very best of luck to you in all your endeavors .

[MadMarketScientist 11]

Also folks please be advised that I am not going to be posting much anymore.....I started a newsletter advisory for my institutional clients....and I just don' have enough time to do everything I would like to do......tried to start a newsletter for retail traders a while back but it didn't fly....as I said previously I understand the suspicion and skepticism that surrounds vendors on this site...I am with you on that...too bad...some of us actually know what we are doing....but by the time YOU find out, its too late....oh well.

 

Best of luck in the markets...

 

Best of luck steve46, your posts will be missed! Don't stay away too long.

 

MMS