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Strategies & Market Trends : Befriend the Trend Trading
SPY 689.230.0%Jan 23 4:00 PM EST

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To: Ken Adams who wrote (14492)1/7/2001 7:31:34 PM
From: ru2  Read Replies (2) of 39683
 
Ken, if I understand Kynt's method correctly you can't just look at the one chart and decide how well the method works.
Since you are only trading one side of the market based on the 50 ma it is no longer swing trading in the sense of going long and short on each trade. Where your money is when you are laying out is part of the equation. If Beas gives a short signal based on the 8/5 signal that you don't take, but your money is in another stock that does well in the same time period you may do better than taking both the long and short signals of a single stock. I think you need to compare a basket of stocks using the 8/5 method to the same basket of stocks using the 8/5/50 method. I was using 8/5/30 for a while though I was also using fib retrace and trend lines also. It worked but I am looking for a more mechanical method that gives my emotions less room for causing trouble. The method Kynt's using makes sense to me except his experience with stops is different than mine. I have found that they stop profits as often as they stop losses. I think there are some things I need to learn about stop management.

Ru2
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