Edited by NAV, 14 September 2017 - 09:55 AM.
SPX technicals
#1
Posted 14 September 2017 - 09:54 AM
#2
Posted 14 September 2017 - 10:52 AM
My trailing STOP has now moved to SPX 2494.8.
28 SPX points in profits locked !
Edited by NAV, 14 September 2017 - 10:54 AM.
#3
Posted 14 September 2017 - 02:43 PM
Someone popping in once a month and simply saying short the rally's or vise/versa does not compare with putting it out there with exact numbers does it?
Edited by NAV, 14 September 2017 - 02:50 PM.
#4
Posted 15 September 2017 - 07:14 AM
Nice, great example of what this site is supposed to be,,,,calling trades, right or wrong! Thanks for your input!! Our kids are the same age mines 17 now, time does fly!!
#5
Posted 15 September 2017 - 07:53 AM
Our kids are the same age mines 17 now, time does fly!!
Time to pay ransom to the biggest racket in America - American universities !
#6
Posted 16 September 2017 - 08:53 PM
Would it be possible to go broke, trading the hourly chop in June getting repeatedly stopped out ?
I see the value in price following until we run into a month or two of chop, then I see no way not to lose.
#7
Posted 16 September 2017 - 10:51 PM
Would it be possible to go broke, trading the hourly chop in June getting repeatedly stopped out ?
I see the value in price following until we run into a month or two of chop, then I see no way not to lose.
How can anybody who follows proper money management go broke in a month ? Yes, you can have one or two bad months in a year when the prices get too choppy. If somebody goes broke in a month, they are not traders but riverboat gamblers leveraging up and getting a high. These kind of individuals are a financial threat to their families and their families should confiscate their laptops/tablets/phone and restrain them from their gambling addictions.
There's a big difference between trading and gambling - in one word money management a.k.a sizing.
#8
Posted 17 September 2017 - 07:47 AM
Well, going broke may have been extreme but one has to use a decent amount of leverage if they plan on
making much of anything in a 5-10 year time frame. I mean, a 125K account is only about 500 SPY and going by the
2% position plan is only 10 shares per trade. Most people are not going to have even 125K to trade with outside a 401k or
something anyway. I think options will work but if you do a stop and reverse and then another whipsaw right after then that
would be at least a 50% loss or more on the position. In the past I used to buy a bunch of cheaper just out of the money
in the direction of what appeared to be a turn and buy a fraction of that in the money the other way as a hedge and try to
hold through any immediate single or double whipsaw which worked better unless the market stalled in a narrow sideways
range for a week or more. And if it went the wrong way I didn't make anything or took a small loss but better than a 50%+ loss.
But yes, I know what you are saying about position sizing, it's much safer to just use the same amount per trade, but I think
compounding that plus half the gains from each trade could work also.
#9
Posted 17 September 2017 - 11:28 AM
Well, going broke may have been extreme but one has to use a decent amount of leverage if they plan on
making much of anything in a 5-10 year time frame. I mean, a 125K account is only about 500 SPY and going by the
2% position plan is only 10 shares per trade. Most people are not going to have even 125K to trade with outside a 401k or
something anyway. I think options will work but if you do a stop and reverse and then another whipsaw right after then that
would be at least a 50% loss or more on the position. In the past I used to buy a bunch of cheaper just out of the money
in the direction of what appeared to be a turn and buy a fraction of that in the money the other way as a hedge and try to
hold through any immediate single or double whipsaw which worked better unless the market stalled in a narrow sideways
range for a week or more. And if it went the wrong way I didn't make anything or took a small loss but better than a 50%+ loss.
But yes, I know what you are saying about position sizing, it's much safer to just use the same amount per trade, but I think
compounding that plus half the gains from each trade could work also.
I can't speak for others. But my max leverage is 2x. I trade not more than 6-8 trades a month on the SPX 2X ETFs. Even if i get 6 consecutive losses, given my STOP size of 6-8 points, my max loss would be around 40 points. That's about 1.5% loss on my entire account. With 2X leverage, it comes to about 3%.
Now i am a conservative trader. The more aggressive types might trade 5X leverage with futures or options. I used to do that a few years back. But even then it would be about 8% loss, which is not catastrophic. Anybody trading beyond 5X leverage are walking on thin ice. They are bound to blow up their accounts sooner or later.
I usually get about 2-3 lousy months in a year, which end up in small losses, 2-3 months which are wildly profitable where i make most of my money and the rest are moderately profitable or breakeven kind of months. Those who look for profits every day and every month will get frustrated in this business. One has to cultivate a lot of patience and mental game to be in this business. Technical analysis alone is not sufficient. I am typing all this cuz you painted a bleak picture of trading, which it is not.
P.S - Options is the worst instrument to trade on this planet IMO, if you are a directional trader.
#10
Posted 18 September 2017 - 07:31 AM
Well, going broke may have been extreme but one has to use a decent amount of leverage if they plan on
making much of anything in a 5-10 year time frame. I mean, a 125K account is only about 500 SPY and going by the
2% position plan is only 10 shares per trade. Most people are not going to have even 125K to trade with outside a 401k or
something anyway. I think options will work but if you do a stop and reverse and then another whipsaw right after then that
would be at least a 50% loss or more on the position. In the past I used to buy a bunch of cheaper just out of the money
in the direction of what appeared to be a turn and buy a fraction of that in the money the other way as a hedge and try to
hold through any immediate single or double whipsaw which worked better unless the market stalled in a narrow sideways
range for a week or more. And if it went the wrong way I didn't make anything or took a small loss but better than a 50%+ loss.
But yes, I know what you are saying about position sizing, it's much safer to just use the same amount per trade, but I think
compounding that plus half the gains from each trade could work also.
I can't speak for others. But my max leverage is 2x. I trade not more than 6-8 trades a month on the SPX 2X ETFs. Even if i get 6 consecutive losses, given my STOP size of 6-8 points, my max loss would be around 40 points. That's about 1.5% loss on my entire account. With 2X leverage, it comes to about 3%.
Now i am a conservative trader. The more aggressive types might trade 5X leverage with futures or options. I used to do that a few years back. But even then it would be about 8% loss, which is not catastrophic. Anybody trading beyond 5X leverage are walking on thin ice. They are bound to blow up their accounts sooner or later.
I usually get about 2-3 lousy months in a year, which end up in small losses, 2-3 months which are wildly profitable where i make most of my money and the rest are moderately profitable or breakeven kind of months. Those who look for profits every day and every month will get frustrated in this business. One has to cultivate a lot of patience and mental game to be in this business. Technical analysis alone is not sufficient. I am typing all this cuz you painted a bleak picture of trading, which it is not.
P.S - Options is the worst instrument to trade on this planet IMO, if you are a directional trader.
But best if your an option seller lol!!