cj12's Dow Trades

[bracke]

rossored

I fully understand your pain tolerance at 50/60 points, however from personal experience I can say that it comes into play to often.

I certainly do not have the definitive answer to the problem. It seems to revolve around time to let the bet come to fruition and judgement of the entry level - yes I know thats what its all about!

As is usual the trick is to ensure that the number of points won is greater than the number of points lost. Stating the obvious once again!

The alternative is to enter the trade on a 20 point stoploss looking for a fast gain and close the trade or move the stoploss up. Using this method will result in a number of smaller losses which hopefully will be offset by large - 100point + gains

With regard to the trader with a 1000 point stoploss, to think that the index could move that far away from his position and still place the bet appears a little odd however he had his reasons. It would be interesting to know if he would do the same again or if not where does he place his stoploss now.

Regards

bracke

 

[ChowClown]

....has anyone tried the Parabolic SAR and ADX/DI combination? Parabolic SAR gives 'good' entry/exit signals, which are filtered against whipsaws by ADX/DI. Parabolic SAR plots a trailing stoploss (with an acceleration) once in trend.

 

[bracke]

ChowClown

No, have you. If yes, with what success. I have to admit that I would not know where to start.

Regards

bracke

 

[ChowClown]

bracke,

I'm working with parts of it on my own system, although it can be used in isolation. I like the stoploss component. If you've read the TrendSignal thread recently, it looks as though that system now incorporates a modified version. The attachment is a Word file with a description of ADX/DI and how it can be used with Parabolic SAR.

I trade EOD DOW and the setup has worked well, in fact the long I'm in from 25th March could well be stopped out soon, for around 300 points.

Each to their own.

 

[bracke]

ChowClown

Thank you for your reply and the attachment which I have printed out and will read later.

I have read the trendsignal thread and the conjecture that surrounds their system and its success levels.

What level of stoploss does the system generally give for the dow and does it vary a great deal?

Do you use a trailing stoploss and if so do you set it using this system?

Regards

bracke

 

[ChowClown]

bracke,

Wilder developed ParaSAR with an acceleration factor. When it signals an entry the initial stop will be at the last bar's high/low and should a trend develop, the stop 'accelerates' closer to the price action. For instance, the DOW is now at 10462 and ParaSAR stop 10420 (60 min chart).

 

[bracke]

ChowClown

More questions

1 If you are trading the monthly futures which chart time frame do you use?

2 Since you have been using the system what percent of bets have been stopped out?

3 How often do you change the stoploss once you have entered a bet. If the the stop 'accelerates' it must be a continuing need to adjust the stoploss

4 Once you have entered a trade do you have to move the stoploss in either direction depending on the signal or does the move go in one direction only?

Regards

bracke

 

[ChowClown]

bracke,

1/. I trade the quarterly contract with hrly and daily charts.

2/. All positions have been stopped out, by definition of ParaSAR, all for profit so far this year. I must stress I use my own system in conjunction with ParaSAR/ADX indicators, they simply help me with confirmation of my own entries and a trailing stoploss.

3/. It's a trailing stoploss, which I amend at the end of each session.

4/. Once a trade is entered with ParaSAR, that's it until the SAR comes in to play (Stop And Reverse), filtered by the ADX/DI rules.

Hope this helps.

 

[cj12]

Sorry late in my reply had a weeKend away.

As for my stops of 100-130 points on position trades. When the maker moves in my favour I move my stops. And no I did not turn a position trade in to a day trade you are all wrong on that, I give you the day before where I said I was going to short the market at 10553 then I also said the market will tank after that number was hit. That's exactly what it did.

And as for scalping which I am an expert in YOU DONT USE FIX STOPS that's an amateur way to trade. As some of you know, I used to trade in the s&p pit in the early 90's. The way I would trade in brief. is double up and buy more, some time tripling up and reversing. You need to know where to buy or sell, it's got to be on market extremes, not on any old number.

I had one guy who asked me if I could teach him to trade. I said no sorry, what I can do is, you tell me how you trade and I give you some of my methods to implement in to your trading. He is now making money on a constant basis. on is own trading
method but with a few of my ideas

10280 is still on target.

CJ

 

[rossored]

actually, if you read the thread correctly, nobody actually accused you of doing anything, converting swings into daytrades or vice versa.

I actually said I admired your trades from the last few days, but I tell you something I dont admire, and thats arrogance - which you seem to have quite a lot of in that last post.

 

[chester]

Good to hear from you again CJ, I for one read your posts with great interest.
I can't read any arrogance in your last post, more someone who is happy to share their trading experiences.

 

[rglenn]

I can't see any arrogance either Chester.

I suppose just like trading people see what they want or hope to see and not what is actually there.

No doubt CJ's experience and bank balance tells the whole story and he has no need to prove it to anyone.

Thanks for the tips CJ. Much appreciated I have gleaned enough now to make my trading better.

Cheers

 

[darrenf]

chow clown

. I trade the quarterly contract with hrly and daily charts.

I was very interested to read this. I have been using ParSAR for a while on fx trades and would be interested to hear how you interact the daily and hourly charts.

Currently looking at interacting 8hrly chart for entries with 1 or 2 hr chart with SAR for exit on a number of fx pairs.

Would my understanding be correct that you take a signal/ entry from the daily and then use the hourly to trail the stop using SAR?
Alternatively, do you get general direction from daily and fine tune entries (and exits) with the hourly?

How does it tend to pan out with % winning trades, average risk:reward ratio?

I have also been using SAR as an entry signal, when the price goes through the SAR, in the direction of an EMA20. That seems to work OK too.

Sorry to go slightly off topic on your thread CJ!

Darren

 

[ChowClown]

darrenf,

I'll pm you later today.

 

[bracke]

ChowClown

Thank you for your reply which was very helpful.

rossored

I think your accusation of arrogance was a little on the strong side. cj's post suggested confidence in his own knowledge and ability, which from what I have seen appears to be justified.

Why not monitor his posts and see how successful he is, if he is successful perhaps he is entitled to a little arrogance.

But please let's avoid a slanging match by keeping to the facts and commenting on those.

Regards - unslangingly

bracke

 

[rossored]

Originally posted by cj12

And as for scalping which I am an expert in YOU DONT USE FIX STOPS that's an amateur way to trade.

CJ

If that isnt arrogance then I dont know what is, and its not "on the strong side", its just making a point mate. THe post came across to me as being slightly on the aggressive side (and I'm no the only one), because he had not read the replies right in the first place. Had he done so, he'd have seen that there was no critcism at all - just a comparison with my own trading style. I trade the Dow futures as many people know so I was simply drawing comparisons. I even pointed out that I admired his positions, but that was ignored too

I wont get drawn into a slanging match because there isnt one to get drawn into in the first place.

 

[cj12]

What's all the fuss? I did not mean to come over arrogance or aggressive. Yes, Im to the point but that's me. I don't have an ego or try to look smart. Having an ego in the market will cost you a lot of money.But I do have a winning attitude.Thats what counts.

And if anyone would like help in they trading.I will try to help you. No i dont want you money, dont need it.

The market has been slowly climbing back up the last 12 months or so, The rock is being shoved to the edge of the cliff again. That means a similar break is almost certain.Whats more the higher the index goes the worse the correction will be each time.

10280 target well we had a low of 10294 14 ticks OFF I did say target of 10280 when the dow was trading at 10550.

What i see today is to test yesterdays low. If that don't happen look to sell at 10430 next sell 10485. if we get there I will see how price acts around these numbers.

CJ

 

[rossored]

CJ, there is no fuss mate.

We all interpret things differently, and this medium that we choose to use for communication is often not the best.

Lets just get back to the trading, shall we?

RR

 

[morgan_edge]

Did you short at 10430 CJ? Ur the man. u got a crystal ball? give us some insight in to the way you trade. I like that you take your losses like a man too. Ur like T2Wins version of Swagger from tactical trader...but better IMHO.

Thx

 

[FetteredChinos]

he can actually spell though, and isn't quite so enthusiastic with his smileys either. Perhaps he has a cigar habit though?