Placing limit orders

[JimboH]

Hi guys!

I'm not new trading but I'm still on a steep learning curve and have been wondering if there are any alternatives to projecting limit orders other than with Fibonacci?

I'm using limit orders for spreadbetting indices and I'm finding them quite useful at removing emotion from my trading.

Thanks!

 

[malaguti]

Hi guys!

I'm not new trading but I'm still on a steep learning curve and have been wondering if there are any alternatives to projecting limit orders other than with Fibonacci?

I'm using limit orders for spreadbetting indices and I'm finding them quite useful at removing emotion from my trading.

Thanks!

A limit order is simply an order to buy at a future price..what projection are you after? Do you mean a target for a future price?

 

[JimboH]

I mean a limit to close a trade, so if i was long the limit would be to go short at the same amount per point, and vice versa.

Yeah, i'd like to project a future price that would close a trade and lock in any profits ive made.

 

[malaguti]

Then in that case there are a few ways..
Elliot wave...just an extension of fibonacci to be honest. Rubbish I find.
Cyclic theory and the cross of the half span forward..very accurate for shorter cycle lengths..20 day cycle is pretty phenomenal I find. Longer time frames not so great..anything up to 80 days is pretty reliable
Point and figure..better and more accurate than anything else I've found, across any time frame also
Normal head and shoulders, double tops/bottoms etc..
then there's gartley.

Personallly, I like Cycles and P&F. together I have found them unbeatable
I know someone will pipe up about Elliott, this is just my preference of course.

Hope this helps.

 

[JimboH]

Nice one, thanks!

Yeah, I'm finding elliot waves a little unreliable at the moment.

I can't say i've heard of the cyclic theory before and I don't know much about point or figure either, but I'll get stuck in and start researching! Can you recommend any literature or websites that can help me out?

 

[malaguti]

Nice one, thanks!

Yeah, I'm finding elliot waves a little unreliable at the moment.

I can't say i've heard of the cyclic theory before and I don't know much about point or figure either, but I'll get stuck in and start researching! Can you recommend any literature or websites that can help me out?

Unreliable..its crap!
P&F literature.."the definitive guide to Point and Figure"..
Cycles..Hurt's "the profit magic of stock transaction timing"

Links to P&F, there is dentist's thread on these forums
http://www.trade2win.com/boards/technical-analysis/86964-learning-read-price-action-p-f-charts.html

Links to Cycles..you can try this..its about the FLD the Future line of demarcation..this is the half span of cycle you are trading.
Sentient Trader - FLD's - Future Lines of Demarcation

PM me if you need anything else or help on these..I may have a very bad pdf of Hursts book (awful title, nothing magic about the concept).

 

[JimboH]

haha.

I'll have a look at those soon as then and will do!

Thanks again for the help, should give me a bit of an edge in my trading now!

 

[malaguti]

haha.

I'll have a look at those soon as then and will do!

Thanks again for the help, should give me a bit of an edge in my trading now!

you are very welcome. Both techniques have given me a great edge, let alone their targets.
good luck