Ed Downs's actual entries are normally about 10 points past what he actually posts on the internet - just something to bear in mind. He runs a 10-point stop loss, so today (as a lot of days) he would be getting stopped out.
The important thing to remember is to trade what you see, not what somebody tells you.
A lot of days, if you went with his entries you would do very well, as his aim is to be in on the larger, more profitable moves. Unfortunately, this also means that on days like today you will get whipsawed in and out of trades more times than you can imagine.
Thanks for your posting. I have been watching his levels over the past few weeks and noticed all the whippyness around his levels.
He has written a set of trading rules which are very straight forward and his daily chart analysis highlights any thing that I may have missed. I suppose the problem is not always the plan but how each individual applies the rules. Trading psycology is as always key. I am still looking for trading nirvana but finding it is going to take deep pockets and alot of study.
Yes, it does take deep pockets and a lot of study - I speak from experience.
If you're not doing so already, Chartman's daily postings on the Dow are invaluable.
Other sources I've recently been made aware via other members of the website are www.tacticaltrader.com - look for links posted by Tom Hougaard, which he posts most days around 1pm - and so far he seems to have a rather good grasp of the US markets.
Yes I have watched him a few times and always found what he says interesting. The one thing I have to do is assess targets for possible moves. As I am new to this game, I find that my stops are too tight. This is because I got burnt when I first started trading in Jan. As usual, I thought I knew it all from my experience of paper trading. It is incredible how a big loss injects you with a good dose of reality. Since then, I have immersed myself in books. I have also went to a course in LA as I wanted to meet some hardened Level 2 day traders. I always got the same message, it is not easy and forget about making money, just concentrate on those losses. I think I am getting there but I suppose the more you learn, the more you realise how little you know.
Do you ever watch Chris Locke watch Chris Locke on CNBC on Wednesday mornings at about 8.30. He is another interesting character.