Well if it works for him. Personally, unlike Donald Sew, I cannot justify following several indicators. My experience is that 3 or 4 will say one thing and 2 or 3 will say something else, and I end up hamstrung and indecisive.
I prefer to use 4 indicators, the PREM and TIKI along with the TICK and TRIN for correlation as secondary indicators. I am a daytrader, after all. I really don't give a rat's nose hair what the market does two days from now. If my read is incorrect, I reverse. If I'm wrong again, I am out.
In my experience, there are 3 kinds of people who trade these markets. People like TT who take a position, put in a stop, and raise the stop as the market moves in their favor.
The second type of trader is in and out perhaps 6 to 12 times a day.
The third group includes me. 1, 2, MAYBE once a month 3, trades in a day.
I see absolutely nothing wrong with someone in a buy and hold scenario, if that's what they want to do. I have a problem with owning S&P futures that gap down in the AM.....I feel I might as well own stocks if I were going to do that.
I see nothing wrong with the theory that someone should be in and out 6 to 12 times a day. I just don't think the manufacturers of Pepto-Bismol can keep me in supply.
Finally, until I see someone from one of those other two groups glomming my table at the "21" club, my intention is to keep it simple.
I hope whatever James has works for him but most spoo traders are not in the market more than an hour a day. So developing these forecasting tools is nice but much too much trouble for those of us that are just trying to get a quick hit and run, as it were. |
