The Daily Index Trader

[Astarte3141]

bollinger band, MA crossovers, and RSI are all excellent places to start, and to be honest there's no right answer, just your own discovery is best. But other good areas are stochastic crossover's, and also pivot point analysis can be really good intra-day.

Thanks Leonarda, I've said before that you sound like one of the wisest voices here. Can I just ask, do you make a decent return from your trading activities? I only ask because if not then I think there is probably little hope for the rest of us. If so, then I believe it is worth persevering.

 

[SteveBanks]

Thanks Leonarda, I've said before that you sound like one of the wisest voices here. Can I just ask, do you make a decent return from your trading activities? I only ask because if not then I think there is probably little hope for the rest of us. If so, then I believe it is worth persevering.

Hi Astarte,

a very successful trader once said that you could tell a trader who was overly concerned with technical analysis by the frayed collar and holes in his shoes. This is no reflection on you, leonarda. Your views are appreciated.

The point being that you can become so obsessed with stochastics, pivot points, fibonacci retracements etc. etc.. that you end up chasing your tail and getting nowhere. Apart from in a state confusion.

He went on to say that the simplest trading methods, ones that keep emotion out of the decision making process, are the best and most consistently profitable.

The one thing you can say for sure about DIT is that it is a simple trading method and it certainly takes emotion out of the process.

Whether it continues to produce profits as it has done is yet to be seen. It's only been a year so it's early days.

 

[Astarte3141]

Hi Astarte,

a very successful trader once said that you could tell a trader who was overly concerned with technical analysis by the frayed collar and holes in his shoes. This is no reflection on you, leonarda. Your views are appreciated.

The point being that you can become so obsessed with stochastics, pivot points, fibonacci retracements etc. etc.. that you end up chasing your tail and getting nowhere. Apart from in a state confusion.

He went on to say that the simplest trading methods, ones that keep emotion out of the decision making process, are the best and most consistently profitable.

The one thing you can say for sure about DIT is that it is a simple trading method and it certainly takes emotion out of the process.

Whether it continues to produce profits as it has done is yet to be seen. It's only been a year so it's early days.

Thanks to you too Steve. Wisdom from all directions. We must all find what works for ourselves I guess.

 

[leonarda]

Thanks Leonarda, I've said before that you sound like one of the wisest voices here. Can I just ask, do you make a decent return from your trading activities? I only ask because if not then I think there is probably little hope for the rest of us. If so, then I believe it is worth persevering.

well, by coincidence, today I am celebrating passing 100% gain on my account for the year, so things going quite well (at the moment!). I actually only trade part-time using a medium term momentum stock trading strategy (1-2month holding period typically). Involves 5 minutes end of day checking for exits, and perhaps one lunchtime a week when I enter trades, that's all, so not a great deal of effort. Although to be honest I have written a lot of software that does all the hard work...

 

[leonarda]

The point being that you can become so obsessed with stochastics, pivot points, fibonacci retracements etc. etc.. that you end up chasing your tail and getting nowhere. Apart from in a state confusion.

very true, and something I also believe. My methods are quite simple. So there maybe a huge choice of tools, but at the end of the day keep it simple and don't get carried away with the technology...

 

[SteveBanks]

well, by coincidence, today I am celebrating passing 100% gain on my account for the year, so things going quite well (at the moment!). I actually only trade part-time using a medium term momentum stock trading strategy (1-2month holding period typically). Involves 5 minutes end of day checking for exits, and perhaps one lunchtime a week when I enter trades, that's all, so not a great deal of effort. Although to be honest I have written a lot of software that does all the hard work...

Congratulations on your 100% day

I also look to have trades in my portfolio that I hold for medium to long term. Some for a few months, some for a year to 18 months or even longer, involving commodities, stocks and currencies. Using covered warrants as well as spread betting.

It takes no longer than 20 minutes a day to manage them and look for trading opportunities.

I was just fascinated to see if DIT would work.

 

[Richmond3]

Hi Leonarda, Baldeaglebloke and SteveBanks, your ideas and thoughts welcomed. I don't know if you can force open a trade on say DAX to go short and long with IG Index but I have opened an account now with them. If I can't I will open an account with City Index too. I am taking advantage of their Trade Sense education which may be a bit basic, but it allows you to trade from 10p initially.
DIT still stumps me as I don't know why it wins or loses, but in their trade sense stuff on line even they talk about risk/reward being between 1:1 and 1:2 as being the most sensible. I think Martin is getting pretty cheesed off with questions, and what he really wants to say is 'just follow my instructions, and don't think about how it works'. So all your ideas and suggestions make this more real. I bought this for set and forget and have learned a lot about how I behave when playing with real money.

A winner for me today on reduced risk by evaluator. By my rules I'm in again tomorrow unless my evaluator( Martin) says otherwise. Rich 3

 

[Ian HDIT]

Hi Ian,

did you enter the trades after all or stay out?

Hi Steve

I stayed out, I take it the past 2 days have been winners? Sods law maybe I am a jinx, I will be back in tomorrow. Still hoping that DIT will deliver the goods, certainly willing to give it further time.

 

[SteveBanks]

Hi Steve

I stayed out, I take it the past 2 days have been winners? Sods law maybe I am a jinx, I will be back in tomorrow. Still hoping that DIT will deliver the goods, certainly willing to give it further time.

Good luck tomorrow. We are certainly due a good run

 

[Baldeaglebloke]

Hi Leonarda, Baldeaglebloke and SteveBanks, your ideas and thoughts welcomed. I don't know if you can force open a trade on say DAX to go short and long with IG Index but I have opened an account now with them. If I can't I will open an account with City Index too. I am taking advantage of their Trade Sense education which may be a bit basic, but it allows you to trade from 10p initially.
DIT still stumps me as I don't know why it wins or loses, but in their trade sense stuff on line even they talk about risk/reward being between 1:1 and 1:2 as being the most sensible. I think Martin is getting pretty cheesed off with questions, and what he really wants to say is 'just follow my instructions, and don't think about how it works'. So all your ideas and suggestions make this more real. I bought this for set and forget and have learned a lot about how I behave when playing with real money.

A winner for me today on reduced risk by evaluator. By my rules I'm in again tomorrow unless my evaluator( Martin) says otherwise. Rich 3

Not sure why you'd want to open a long and a short on the same index as when one loses you are in the other and you've lost the spread. Why not work out what the stop would be and either add or subtract that to open an OCO order so you only have one spread - not sure whether IG does OCO's but Cap Spreads does - then run the trade from there. Cheers

 

[Richmond3]

Not sure why you'd want to open a long and a short on the same index as when one loses you are in the other and you've lost the spread. Why not work out what the stop would be and either add or subtract that to open an OCO order so you only have one spread - not sure whether IG does OCO's but Cap Spreads does - then run the trade from there. Cheers

Hi Baldeaglebloke, I'm not sure I follow this due to my lack of experience, as I thought the idea from your post was to go long with IG Index and go short with City Index on the DAX. I think I mean an OCO when I talked about a 'force open' with 1 SB platform to go both long and short, but when I get some time I will talk to IG first as they seem to have knowledgeable staff on their books . I will bear Capital Spreads in mind too. It is an interesting concept and can make the RR 1:1 or better. Thanks, Rich 3

 

[GlynJ]

Not sure why you'd want to open a long and a short on the same index as when one loses you are in the other and you've lost the spread. Why not work out what the stop would be and either add or subtract that to open an OCO order so you only have one spread - not sure whether IG does OCO's but Cap Spreads does - then run the trade from there. Cheers

Gekko also do oco orders so you can go short or long on the same index, so you can replicate the DIT trade (on the same index).
What i'm battling with is is this a step forward or are there advantages to:
a. sticking to Martin's rules exactly.
b. using the Dax and Cac or two closely corrulated instruments.

Apologies for repetition as Iv'e mentioned this before.

Rgds, Glyn.

 

[Baldeaglebloke]

Gekko also do oco orders so you can go short or long on the same index, so you can replicate the DIT trade (on the same index).
What i'm battling with is is this a step forward or are there advantages to:
a. sticking to Martin's rules exactly.
b. using the Dax and Cac or two closely corrulated instruments.

Apologies for repetition as Iv'e mentioned this before.

Rgds, Glyn.

Now that's the question and if anyone knows the answer then the holy grail is in sight:cheesy:

 

[Ross Spur]

Good luck tomorrow. We are certainly due a good run

That's not necessarily true. There are systems that can be backtested to death and show great results, but they may never work again when forward tested.

btw, the DIT site includes this:

<<I’m going to show you my entire, warts-and-all trading history – a week-by-week account – so you can see EXACTLY how much money there is to be made with Daily Index Trader. If you'd like to see a full week-by-week trading record, click here. >>

Oddly, the record stops at about the time the system went on sale, which also happens to have been when the losses started, I believe. Has anyone worked out what the current figure would be?

 

[Ross Spur]

Now that's the question and if anyone knows the answer then the holy grail is in sight:cheesy:

Try www.holygrail.con.

Why would anyone want to go short and long on the same market, unless it was to give a broker/SB a guaranteed double profit from the spread?

 

[pseudo straddle]

Why would anyone want to go short and long on the same market, unless it was to give a broker/SB a guaranteed double profit from the spread?

to try for a breakout -

set up two trades as per the cherry picked image below and when one gets triggered, cancel the other and away you go!

 

[Ross Spur]

to try for a breakout -

set up two trades as per the cherry picked image below and when one gets triggered, cancel the other and away you go!

But why not just try to catch the breakout with one trade?

 

[GlynJ]

But why not just try to catch the breakout with one trade?

Hi,
The advantage was that you can set and forget with an oco, so you would only pay one spread.


Glyn.

 

[Ross Spur]

Hi,
The advantage was that you can set and forget with an oco, so you would only pay one spread.


Glyn.

Hi Glyn
I think the original post suggested opening two opposing bets in the same market through different platforms, which still seems crazy to me!

 

[SteveBanks]

Good morning all,

we now have a PRIVATE FORUM set up.

Those who wish to become members please send me a private message with last Friday's password for the DIT web site.

We can now have some interesting discussion and more detailed exchanges of trade details.

S