Well, I tried to trade on screen the way I normally trade just to give you an idea.
Perhaps you did not follow it but that's the recent concept of this thread.
I really did make those trades.
Anyway, the "true trend" is something that you have to detach yourself from. If the market is trending up but you think it should be down then you will have a problem.
I think that's what the conceptual problem is for the day trader. Exempting the problems of internal thoughts about where the market "should" go versus where it does go. The successful day trader has an idea where it "should" go but trades where it IS going, if possible.
Anyway, your author seems t be very good at what s/he is doing but there are so many caveats.....
<So my question to you is first, what do you do to seperate the "true" trends from price action that is likely not to end up as a trend? Also, is it possible for a trader to demonstrate a workable degree of accuracy using the above price and time technique. This is not to say that there will be times this approach will not work. I am sure he has a method to exit a losing trade.>
I think you must compartmentalize the trend in terms of the boundaries you have placed on it. That is to say, you have decided to trade the trend intraday. So, the trend could change depending on 1, 2, 3, 4, 5, 6, 18, minute ticks and so forth.
What is going to be your boundaries?
This fellow mentions shorter tick frames. Using shorter ticks your losses will be less and so will be your profits. It's a tough call, Bob. My experience is that it's not where you enter but where you exit.
How do I tell someone where to exit?
Good question.
I think I know? But I can't tellya. Not because I don't wish to, just because it's not one of those things that accepts a yes or no answer.
EDIT
If you checked out my posts today, I said this morning I was taking a break and coming back to sell the rally. Then I said when I would sell it and covered as I went along. I did not do so bad, did I?
I did not write a book about it but at least you saw me do it. |
