NickW
Have noted your comments on RSI I did use this to good effect when I used the 14 & 21 period on a 15 minute chart but do not bother on CMC because of the effect on the price chart. When I sign up for a proper real time charting package then I will have a look although I am interested in CCI as it would appear many daytraders make good use of it.
The one thing I have noticed since working with CMC charts is that I have no appropriate filter to assist in taking position right at the point of reversals which of course a lower indicator helps. Currently by adopting the pivot method with close/moving averages and bands works rather well. So if I am doing ok now I would like to think moving over to better charting and a direct access dealer it will be much easier and maybe more profitable. As I said previously I adapted my charting selection to fit what worked best with the strategy I wanted to apply and the CMC data.
Trader 333
nice try not subscribing thanks for info.
JonnyT & Helenqu
The reason I mention esignal charts is for what they offer I thought the price compared to others I had checked were quite good, (the others such as realtick or IRD were over £100 - when US charts can be obtained very cheaply). Its not so much cost but quality of the product and support. I understand any support from sierra is abroad they have no contacts in the UK unlike ESIGNAL.
How reliable are the data feeds I have heard some negative
comments about both sierra and Mytrack. Do they offer a good range of facilities.
Helen maybe you would be kind enough to post one of your charts so I might view how good a display is offered.
Helen
Re stops concerning my deal today it got me thinking my whole process of taking small points with half of my stake is to ensure a profit the remainder is left to run with the current trend and take profit at a suitable range. Once 5 points have been locked in it then becomes very hard for this to turn into a loss as the points have to move against me by 6 and I stop before that happens.
To often in the past I called the direction right and got to 5, 10 or 15 points and held on looking for the big trend gain only to come away with titbits or a loss. I find this approach suits my sentiment better and it is simple to apply. It is for this reason that I recently decided to increase my deal size satisfied after considerable testing that I get it right more often than I get it wrong. The larger size deal just makes the gain a more worthwhile return for the effort put in and allows a reasonable sum to be left in the market. It ensures I do not look for to much in my trading, achievable targets rather than 'pie in the sky'.
I look for 3 deals in a few hours trading either the UK am start or around 1.30 to close. I normally get between 5 - 15 points per deal so from these so it can easily return in excess of £500 and often over £1k, which is more than enough and this is with CMC. As I said before I take 5 points but let the rest run until it starts to fade. Dependent on how strong the trend is I will monitor each increase of 5 points and if I think its got as far as it is likely to without retracing then I close at the next multiple of 5. 'Bird in the hand and all that.
Coming back to my stop level today it has shown me that it has some merit. While I would normally close using my normal approach I would have taken the hit which would then mean I would be looking to recover with the next deal. The 20 point stop allowed the deal enough scope to return a profit in this case otherwise the chance of a small loss on the next retracement. It basically gives the deal a chance to materialise, although it means you have to weather the storm for a while. It was not until after I posted earlier that I realised I had missed a good way to manage this deal. I mentioned earlier that the downside to this sort of stop was that you end up holding a position which is not doing you any good at the time. My focus is to always be in line with the price cycle this way you are ready for the next deal, by holding on you miss the next opportunity.
I do not know what the position would be with Interactive Brokers but as you are probably aware if you are in a sell and you place a buy order unfortunately unless you are working from more than 1 account it automatically closes your sell. (Can you have 1 contract open for a sell and then place an alternative order as a buy without it cancelling out your original contract). This means one option would be to reverse but you still take the hit. What I missed out on and may consider in future was that when the price turned back today at just over 3600 it was a clear signal from the system I use. What I could have considered doing was to place a further sell to get something from this move rather than just looking for it to retrace back to my original price to break even or get a small profit as I did this afternoon. This at least could give you an opportunity even if it does not reach you original position to reduce your overall loss position. Essentially you would then be trading within your stop, if I had adopted it today the second deal presented just over 15 points. So instead of taking an early hit in future I will apply a second entry if the stop is not reached but with a very tight stop.
The reason why I am so quick to stop is that for daytrading in particular many state that you should keep your losses down so do not let them build up and let your winning trades run.
regards Kevin
Have noted your comments on RSI I did use this to good effect when I used the 14 & 21 period on a 15 minute chart but do not bother on CMC because of the effect on the price chart. When I sign up for a proper real time charting package then I will have a look although I am interested in CCI as it would appear many daytraders make good use of it.
The one thing I have noticed since working with CMC charts is that I have no appropriate filter to assist in taking position right at the point of reversals which of course a lower indicator helps. Currently by adopting the pivot method with close/moving averages and bands works rather well. So if I am doing ok now I would like to think moving over to better charting and a direct access dealer it will be much easier and maybe more profitable. As I said previously I adapted my charting selection to fit what worked best with the strategy I wanted to apply and the CMC data.
Trader 333
nice try not subscribing thanks for info.
JonnyT & Helenqu
The reason I mention esignal charts is for what they offer I thought the price compared to others I had checked were quite good, (the others such as realtick or IRD were over £100 - when US charts can be obtained very cheaply). Its not so much cost but quality of the product and support. I understand any support from sierra is abroad they have no contacts in the UK unlike ESIGNAL.
How reliable are the data feeds I have heard some negative
comments about both sierra and Mytrack. Do they offer a good range of facilities.
Helen maybe you would be kind enough to post one of your charts so I might view how good a display is offered.
Helen
Re stops concerning my deal today it got me thinking my whole process of taking small points with half of my stake is to ensure a profit the remainder is left to run with the current trend and take profit at a suitable range. Once 5 points have been locked in it then becomes very hard for this to turn into a loss as the points have to move against me by 6 and I stop before that happens.
To often in the past I called the direction right and got to 5, 10 or 15 points and held on looking for the big trend gain only to come away with titbits or a loss. I find this approach suits my sentiment better and it is simple to apply. It is for this reason that I recently decided to increase my deal size satisfied after considerable testing that I get it right more often than I get it wrong. The larger size deal just makes the gain a more worthwhile return for the effort put in and allows a reasonable sum to be left in the market. It ensures I do not look for to much in my trading, achievable targets rather than 'pie in the sky'.
I look for 3 deals in a few hours trading either the UK am start or around 1.30 to close. I normally get between 5 - 15 points per deal so from these so it can easily return in excess of £500 and often over £1k, which is more than enough and this is with CMC. As I said before I take 5 points but let the rest run until it starts to fade. Dependent on how strong the trend is I will monitor each increase of 5 points and if I think its got as far as it is likely to without retracing then I close at the next multiple of 5. 'Bird in the hand and all that.
Coming back to my stop level today it has shown me that it has some merit. While I would normally close using my normal approach I would have taken the hit which would then mean I would be looking to recover with the next deal. The 20 point stop allowed the deal enough scope to return a profit in this case otherwise the chance of a small loss on the next retracement. It basically gives the deal a chance to materialise, although it means you have to weather the storm for a while. It was not until after I posted earlier that I realised I had missed a good way to manage this deal. I mentioned earlier that the downside to this sort of stop was that you end up holding a position which is not doing you any good at the time. My focus is to always be in line with the price cycle this way you are ready for the next deal, by holding on you miss the next opportunity.
I do not know what the position would be with Interactive Brokers but as you are probably aware if you are in a sell and you place a buy order unfortunately unless you are working from more than 1 account it automatically closes your sell. (Can you have 1 contract open for a sell and then place an alternative order as a buy without it cancelling out your original contract). This means one option would be to reverse but you still take the hit. What I missed out on and may consider in future was that when the price turned back today at just over 3600 it was a clear signal from the system I use. What I could have considered doing was to place a further sell to get something from this move rather than just looking for it to retrace back to my original price to break even or get a small profit as I did this afternoon. This at least could give you an opportunity even if it does not reach you original position to reduce your overall loss position. Essentially you would then be trading within your stop, if I had adopted it today the second deal presented just over 15 points. So instead of taking an early hit in future I will apply a second entry if the stop is not reached but with a very tight stop.
The reason why I am so quick to stop is that for daytrading in particular many state that you should keep your losses down so do not let them build up and let your winning trades run.
regards Kevin
