David Knight -Journal

[David Knight]

Pre Market

Bears got a pasting, which is why I hate being short. Now sitting on a loss of currently 10 points as futures grind down from a h/h earlier.

Yesterday futures were at cash eq of around 2422 but cash low was 2428

Haven't changed my basic stance (looking short) yet but it's even more difficult to stay with the plan than it was before.

Again, that is the character of this cycle (unless it has ended, since that 79/74 points symmetry is still in place..

 

[David Knight]

COVER @ 2444

-6.5

Running+25.5

Will short higher 52

 

[David Knight]

SHORT 2446
will add higher

 

[David Knight]

Adding @51

Av 2448.5

 

[David Knight]

ADD @ 2462

av 2453

 

[David Knight]

Covered at 2469
-16

Running +9.5

 

[David Knight]

Hard to be bearish now. Last 2 days plus the open look impulsive, not corrective. Breadth appears to be improving, so this correction might be over.

looking for longs.

 

[David Knight]

Lots of confusion out there. I see a lot of people getting bullish - could it be that it will be the bulls turn to get roasted next?

According to some Elliott wavers this is a typical 4th wave confusion situation. All Elliott is a confusion situation for me so I don't Know..

And when I don't know I don't trade.

PLAN

Not worth trying to over think it. A trade opportunity will present itself soon.
Flat for now.

 

[itspossible]

I like the way you keep things tight.
You are in control.No wishing,hoping,praying etc.
Whats your occupation ?

 

[David Knight]

2473.85 Looks to be the low today. (and yes, it's exactly to the tick if correct)

From post#2-
'Often when a correction is over we see impulsive price moves'.

Designed to leave without you on board

I got left behind

Trading related q's only in this thread please

 

[David Knight]

I like the way you keep things tight.
You are in control.No wishing,hoping,praying etc.
Whats your occupation ?

Thanks. Will pm you.

 

[David Knight]

2473.85 Looks to be the low today. (and yes, it's exactly to the tick if correct)

From post#2-
'Often when a correction is over we see impulsive price moves'.

Designed to leave without you on board

I got left behind

Trading related q's only in this thread please

DOW possible high today 22,023.32

SPX possible high 2,479.30

I'm skeptical though in light of the strength in adv/decl

 

[David Knight]

Looking to buy Lower around gap fill


The high is (?) in today at 2,471.97

 

[darktone]

Have you ever tried scaling size to mange your your position David? Short 44 / 51 / 62, offer one or two back. Short 64 / 70 / 75 etc etc. Need to be playing more than 3 units to go that way tho really tbh. Whats the max number of contracts youd swing?

Good thread btw
Cheers D

 

[David Knight]

Low could be here 21,806.86 for Dow

Problem is SPX has not closed the gap..

.Buy at 2465 st 1pt under low @1463.12

 

[David Knight]

low could be here 21,806.86 for dow

problem is spx has not closed the gap..

.buy at 2465 st 1pt under low @1463.12

out -2462

-3

Running +6.5

 

[David Knight]

Have you ever tried scaling size to mange your your position David? Short 44 / 51 / 62, offer one or two back. Short 64 / 70 / 75 etc etc. Need to be playing more than 3 units to go that way tho really tbh. Whats the max number of contracts youd swing?

Good thread btw
Cheers D

Thanks

The best way to answer this is-

I'm Ok to add in the way I've shown so far in the journal but that I don't want to be managing a losing position If I no longer have belief that the trading idea was correct.

Once I think I'm wrong I will only delay getting out if I think I can limit the damage otherwise I'd rather get out and start again.

What you're suggesting, (and I don't want to be rude or critical of someone else's approach) is down the road of refusing to accept loss/being wrong.

You may get out of it, particularly on the long side, rather than short as per your example. but it' a bad habit that will really hurt you in the long run imo.

 

[David Knight]

LONG 2452

I'm basing this on Dow poss low at 21,727.18

 

[David Knight]

The spx low has now dropped 0.6 ticks to
2,449.81

And Dow low is still 21,727.18


So , as long as neither one of these prices gets takn out, I will hold all day if I can

 

[David Knight]

The spx low has now dropped 0.6 ticks to
2,449.81

And Dow low is still 21,727.18


So , as long as neither one of these prices gets takn out, I will hold all day if I can

Covered @ 48 -4
Running 2.5

Not high prob trades once you get outside the 1st 60-90 minutes But considering the open gap above and gap close below it was worth a try.