Bruce -
First I should point out that I am not a SOES trader, but as I understand, there really is no one thing that makes for a bad SOES market. I have head bad markets decribed as "jiggy" or choppy. It usually is not a lack of volume or MM's going after traders. I think MM's have are a lot more interested in making money than hurting SOES traders.
It basically comes down to a market that does the opposite of what you expect. I know that sounds trite, but it is true. When certain indications are present, there is a high percentage probability that a particular stock will move a certain way... when it is a "bad" market, stocks seem to have a mind of their own. Lots of small movements, sideways movements, etc. The best advice I have heard in regards to surviving a bad market is to simply ALLOW the market to give you good trades... you must be able to recognize them and react quickly. But do not try and TAKE from the market. A stock is going to move regardless of how you trade, so being aggressive will not work in the long run. If the market is bad and opportunities for good trades are very rare, then don't trade. If you are aggressive and try to take from the market in a less than ideal situation, you will bleed cash! |
