Hi Claude,
Yes, you have to listen to your system, no matter what. It its the system that needs work, then tweak it. I started playing with FAS/FAZ when they first came out, and have now moved on to all the other ETF's. I trade with a 5 minute chart - I take the signals, but occasionally they do fail, not very often, but if I make a trade and it moves against me I get out, and I may end up buying again higher, but that means I have another verification that gives me more confidence. Use mental stops and good money management. Because the moves are exagerated, you can sometimes make 2 or more trades a day, so if the etf closes up 8%, I may end the day up 20% or more. |
