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Strategies & Market Trends : E-Mini Pit -- Ignore unavailable to you. Want to Upgrade?

To: the-phoenix who wrote (5372)	8/16/2002 11:17:14 AM
From: Ramus	Read Replies (2) \| Respond to of 11288

Phoenix, does it show, LOL? Yes, I'm trying to do something along those lines. "Something" probably at my peril. Day before yesterday he had it to go long at 915. I went long earlier and it worked out. In his commentary yesterday he also sees 920 as a "go below then short" line but he set his stop two pts below that. So, we are both out at the moment. He didn't say where he would go long if he was stopped out on a down draft but looking at yesterdays chart and Ed's rules, he would go long on a new higher high... at about 935. Recently, I've back tested his method against all the ES data that I have. I basically found that if a guy simply followed his rules and daily exit entry lines, simply doing what he says to do, you could make large amounts of points. For example, from about 6/11 until 8/9 I saw about 600pts and only 3 or 4 stopped trades. BTW, I mentioned recently that I couldn't handle Eds method because he so often leaves a lot of points on the table. Sometimes this is true but about the time I said that I had noticed that on the SP he usually sets break even or 2 point stops. I've been reading Ed for about two years but I hadn't connected with that thought since I've been trading ES. I thought "hmmmm I can live with 2 pt stops, LOL".... So, that got me to wondering...how would this method actually work directly applied to trading the ES??? And like I said, what I found was really amazing. BTW, I should mention that the past two months have been great for this method. The previous three months were less so but the outcome was the same. I mean the same in that the points yielded compared to the pts spent on stop outs was above and beyond and it was still very profitable, no question. There were periods for a number of days at a time where there might be as many as 4 or 5 stopped trades in a row...a really whippy time. Still, these were surrounded by good point moves and I'm sure Ed never bats an eye during these times. So, I think I've found what I've been looking for, right under my nose all along. I don't have to wonder what the market is going to do....I only have to trade according to the plan. Like Boots would say, it's a system that controls me and not vis versa. And the part I like is that it is longer term not intraday and only requires that I make the trades so I don't really have to watch it like a hawk. Walt