JillyB
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The Dow is looking very bearish on CMC this morning. It's currently at 11,140/45 a point below last nights close.
However if it stays at this level my trading system says that as the close, low and open would all be very near, this would potentially act as support for an initial BUY trade, with a possible reversal later in the day. Something similar to yesterday I suppose.
Still it's only 10.30am and a lot can happen between now and the open that could change this.
It just goes to show, that looking at the chart I get a bearish feeling, however my trading plan says potential upward movement initially. This is why I sometimes find it difficult to 'Trade my Plan'. Yet, with all the days it has proved correct and my gut feeling wrong - I suppose should tell me something.
However if it stays at this level my trading system says that as the close, low and open would all be very near, this would potentially act as support for an initial BUY trade, with a possible reversal later in the day. Something similar to yesterday I suppose.
Still it's only 10.30am and a lot can happen between now and the open that could change this.
It just goes to show, that looking at the chart I get a bearish feeling, however my trading plan says potential upward movement initially. This is why I sometimes find it difficult to 'Trade my Plan'. Yet, with all the days it has proved correct and my gut feeling wrong - I suppose should tell me something.
Lightning McQueen
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Splitlink said:
Thanks Split
Yes I have looked at many posts these last two years on these boards about the spreadbetting versus direct access discussions and would like to commend yours and the blades stance against the sceptics. whatever suits the individual right
Also please keep in mind that I am still wrapped in cotton wool and playing in the sandpit with a demo account at the moment
but thanks for the encouragement.As Hung and JillyB have quite rightly pointed out things would be very different when its for real!
have a good trading day
Don
Last edited:
JillyB said:The Dow is looking very bearish on CMC this morning. It's currently at 11,140/45 a point below last nights close.
However if it stays at this level my trading system says that as the close, low and open would all be very near, this would potentially act as support for an initial BUY trade, with a possible reversal later in the day. Something similar to yesterday I suppose.
Still it's only 10.30am and a lot can happen between now and the open that could change this.
It just goes to show, that looking at the chart I get a bearish feeling, however my trading plan says potential upward movement initially. This is why I sometimes find it difficult to 'Trade my Plan'. Yet, with all the days it has proved correct and my gut feeling wrong - I suppose should tell me something.
Did you trade your plan, Jill?! The DOW went down some 25 points then moved up about 80 points from there. Had I gone long, I would have been stopped out in the first 30 minutes or so.
I noticed that RSI's been very effective with the DOW for the last few days. Whenever 14 period RSI reaches 85-90, a correction almost certainly follows. Too good to be true isn't it.
Have a good night!
Hung
JillyB
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hungvir said:
Hi Hung,
I've just added today's trade to my journal - it's the one entitled 'I'm Back'.
The entry point the trading plan gave me today was 4 points below the previous days low (CMC gave this as 11,132) so entry was at 11,128 for a BUY trade. The system gave the exit point as 11,181 (previous close +40 points). I chickened out at +10 points.
I know I shouldn't grumble - a profit is a profit and all that - but I need to stop being a coward and trust what my trading plan is telling me.
I have to admit that the spikes on CMC did seriously unnerve me today.
Any thoughts on how to overcome the pyscological barrier of letting the profits run?
For tomorrow , on the Dow, if you're interested, I've added the current potential trade to the journal as well. If the Dow varies much overnight, I will amend it.
Good night
Jilly
Hi Jill,
From my experience, if you move your stop to break even point first then you're in a better position to get fatter profit. From then on, I would just trail my stop sell order as succesive lows are formed.
And if you think about risk/reward, it does not make sense if you risk 20-30 points just to have a gain of 10. I also got carried away when day trading but money management is the key in this biz and we just can't afford to take our eyes off it.
Best,
Hung
From my experience, if you move your stop to break even point first then you're in a better position to get fatter profit. From then on, I would just trail my stop sell order as succesive lows are formed.
And if you think about risk/reward, it does not make sense if you risk 20-30 points just to have a gain of 10. I also got carried away when day trading but money management is the key in this biz and we just can't afford to take our eyes off it.
Best,
Hung
Throwing in the towel
So another spreadbetter quit the race.
May be there're people for whom trading is something that can't be mastered.
So another spreadbetter quit the race.
May be there're people for whom trading is something that can't be mastered.
hungvir said:
Surprisingly honest. It's the first time I've read the Finspreads diary as I believed it to be propaganda. I'll keep an eye on it from now on- for a while, at least! In fact, I stay away from most "helpful" pieces from the spreadbetters. All I want from the is a fair spread.
Still in CPI trade. It moved into profit yesterday.
Split
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