Mr. Charts
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Best Thread How To Make Money Trading The Markets.
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Mr. Charts
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I said I'd talk about risk control and position size with the last half dozen trades when I had time, so here's the HAR trade post #452.
3 min candles
ATR 13
Bottom of candle 8c away
Worse case risk 13c
Let's say with this one your personal maximum risk on a trade is $100
100 / .13 = 769
Don't mess with odd numbers so trade 800
Maximum loss $104
Actual gain 62c x 800 = $496
Richard
3 min candles
ATR 13
Bottom of candle 8c away
Worse case risk 13c
Let's say with this one your personal maximum risk on a trade is $100
100 / .13 = 769
Don't mess with odd numbers so trade 800
Maximum loss $104
Actual gain 62c x 800 = $496
Richard
Mr. Charts
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CMI post #454
3 min candles
ATR 8
Bottom of candle 6c away
Worse case risk 8c
Let's say with this one your personal maximum risk on a trade is $200
200 / .08 = 2500
so trade 2500
Maximum loss $200
Actual gain 35c x 2500 = $875
3 min candles
ATR 8
Bottom of candle 6c away
Worse case risk 8c
Let's say with this one your personal maximum risk on a trade is $200
200 / .08 = 2500
so trade 2500
Maximum loss $200
Actual gain 35c x 2500 = $875
Mr. Charts
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JBHT post #466
1 min candles
ATR 4
Bottom of candle 2c away
Worse case risk 4c
Let's say with this one your personal maximum risk on a trade is $100
100 / .04 = 2500
so trade 2500
Maximum loss $100
Actual gain 31c x 2500 = $775
1 min candles
ATR 4
Bottom of candle 2c away
Worse case risk 4c
Let's say with this one your personal maximum risk on a trade is $100
100 / .04 = 2500
so trade 2500
Maximum loss $100
Actual gain 31c x 2500 = $775
Mr. Charts
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TEX post #467
1 min candles
ATR 12
Bottom of candle 9c away
Worse case risk 12c
Let's say with this one your personal maximum risk on a trade is $100
100 / .12 = 833
Don't mess with odd numbers so trade 800
Maximum loss $96
Actual gain 46c x 800 = $368
1 min candles
ATR 12
Bottom of candle 9c away
Worse case risk 12c
Let's say with this one your personal maximum risk on a trade is $100
100 / .12 = 833
Don't mess with odd numbers so trade 800
Maximum loss $96
Actual gain 46c x 800 = $368
Mr. Charts
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UPS post 468
3 min candles
ATR 20
Bottom of candle 9c away
Worse case risk 20c
Let's say with this one your personal maximum risk on a trade is $100
100 / .20 = 500
so trade 500
Maximum loss $100
Actual gain 64c x 500 = $320
3 min candles
ATR 20
Bottom of candle 9c away
Worse case risk 20c
Let's say with this one your personal maximum risk on a trade is $100
100 / .20 = 500
so trade 500
Maximum loss $100
Actual gain 64c x 500 = $320
Mr. Charts
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MON post #469
3 min candles
ATR 27
Bottom of candle 18c away
Worse case risk 27c
Let's say with this one your personal maximum risk on a trade is $200
200 / .27 = 740
Don't mess with odd numbers so trade 700
Maximum loss $189
Actual gain 114c x 700 = $798
3 min candles
ATR 27
Bottom of candle 18c away
Worse case risk 27c
Let's say with this one your personal maximum risk on a trade is $200
200 / .27 = 740
Don't mess with odd numbers so trade 700
Maximum loss $189
Actual gain 114c x 700 = $798
pedro01
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I have a lot of this automated.
I have a radar screen telling me which stocks are 'taking off' & I have some code that will manage the entries & exits. I however, have the final word on any particular buy or sell.
Looking at the news for candidates isn't automated, you have to decide what goes in the radar screen (although you could just put the top 500 most volatile with high volume).
The Time & Sales analysis that Mr Charts mentioned is also not in the code as he hasn't put how he does that here.
oildaytrader
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Mr charts
What is your maximum drawdown on this system in points?
All systems will fail when market conditions change. Markets are dynamic and markets change .How does the system cope if volatility increases ?Does the system will fail ,if stops will get hit much more frequently ? .If market conditions become consistently choppy,does the system fail?.
In your case you have 10 other set ups (systems), if this one was not showing good set up,you would trade the others i.e retracements , reversals etc.The traders of this single system would be handicapped or wouldn't they?
O D T
What is your maximum drawdown on this system in points?
All systems will fail when market conditions change. Markets are dynamic and markets change .How does the system cope if volatility increases ?Does the system will fail ,if stops will get hit much more frequently ? .If market conditions become consistently choppy,does the system fail?.
In your case you have 10 other set ups (systems), if this one was not showing good set up,you would trade the others i.e retracements , reversals etc.The traders of this single system would be handicapped or wouldn't they?
O D T
Hello my friend, I have just inherited over 1 million dollars from my late uncle but because I am illegitemate heir I need to transfer this money into somebody else's bank account or the government will take it all as a Barsstard tax. If you give me your bank details we can split the money between us. Oh, and if you please send me £25 so that I can set up the bank transfer in your name. OK?
pedro01
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Look - just start with no money. If you compound your gains, there's no reason you couldn't triple your empty account in weeks.
I don't think that our Nigerian friend is with us any more.
The wrath and indignation of T2W fell upon him.
He deserves a free go for his cheek but he'd better off asking an SB company, the guys on here are a bunch of tightwads
It's nice to know that Mr Charts fame is reaching to the darkest continent.
I was wrong, he's still here. Post 492. Why is that?
The wrath and indignation of T2W fell upon him.
He deserves a free go for his cheek but he'd better off asking an SB company, the guys on here are a bunch of tightwads
It's nice to know that Mr Charts fame is reaching to the darkest continent.
I was wrong, he's still here. Post 492. Why is that?
tenbobtrader
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Hi Mr Charts
read all this carefully worded thread Richard
some very good posts, your willingness to help new/old traders find their feet in a dificult game is to be applauded
BUT ~
you are a vender
looks like your fishing for punters which is fair enough I guess, you have declared your status
"I'm not going to go into detail publicly about how I do this, but a lot of the time level 2 is just noise/insignificant. There are times when it is priceless because it tells you what is highly likely to happen BEFORE it does.That becomes extremely difficult on very fast moving stocks, it becomes unreadable as you infer. However, on other stocks it is very readable at key points and that is when it is priceless for keeping you out of, just as an example, breakouts which then go on to fail. It's not infallible, but it gives me a huge edge.
Yes, it certainly is possible to trade the chart patterns only and make a profit, but the success rate won't be as high or the profits so substantial
I view charts as being two dimensional; the third dimension is level 2 T&S; not always necessary, but sometimes a huge help.
Hope that helps,
Richard
__________________
Mr. Charts
Full time US Share Trader"
"Hello shopsmart,
I read news stories pre-market and use scanners before and during market hours to find stocks which might create the set ups I use - of which this thread is about one only.
I also use level 2 T&S to provide a trigger for the trade. You can manage without level 2 t&S but it gives me a huge edge; it sometimes, not always, gives me key evidence as to whether a trade will work or not.
Richard.
__________________
Mr. Charts
Full time US Share Trader"
without any indication to your use of T&S it appears like you are fishing for punters = pay me and I will show you how to make a decending 20ma system work for you
you could have stopped the thread after 3-4 pages with all detail contained if your motif was not a fishing expedition imho
"any trading system that is not 100% undeniably controlled by some mechanical means or fixed rule in every single aspect of its existence is judgemental in some way, no matter how small"
"any system with a judgemental component will work better for the system developer than for some random person who buys it and puts it into action. The only way to profit from a system in the same way as the developer is to take the same signals that the developer takes, and exit when the developer exits"
regards any questions raised by other posters that were not in agreement with you or part method posted on thread ....... just general questions really, nothing very aggressive or unreasonable imho
many times others answered on your behalf in an aggressive endorsing manner, imho killing any debate regards the validity of the (PART) method posted on this thread, you then later endorse the answer when the gunfire is judged to have subsided or that is how it appears
one poster in particular is one of your happy clients, he appears to be a reasonably hard working chap and yet even he concedes he cannot manage to turn a consistent profit with your method
performance issues he blames on his own short falls
imho it is not his shortfalls but a reflection on yours and this half posted method on a thread started by a vendor
you have some 12 setups you use and your obviously very busy with other stuff, if your going to post a method to help new traders it should be complete imho, it does not need to be great but it should be complete
I accept you made it clear in your 1st post regards T&S part of method and discretion used by yourself not being part of the thread and I can understand why, perhaps you did not consider any problems regards the omission of T&S
the fact remains that the method can"t be properly back and forward tested by any traders without it
you state your a full time trader for 10 yrs, you must be aware a half method is no method at all Richard
perhaps you could if you get some spare time post exact guidance to entry criterior without T&S
strongly trending 1-3 min tf is open to misinterpretation judging by some of the posted charts by others
your criterior for not entering
your definition of S & R nearby (reason given for no valid entry) ............. pdh & low or other S&R definition you consider ?
perhaps a 1-10 bullet list might help , the thread is 60 ish pages long
Hard Hat on
latter
Andy
read all this carefully worded thread Richard
some very good posts, your willingness to help new/old traders find their feet in a dificult game is to be applauded
BUT ~
you are a vender
looks like your fishing for punters which is fair enough I guess, you have declared your status
"I'm not going to go into detail publicly about how I do this, but a lot of the time level 2 is just noise/insignificant. There are times when it is priceless because it tells you what is highly likely to happen BEFORE it does.That becomes extremely difficult on very fast moving stocks, it becomes unreadable as you infer. However, on other stocks it is very readable at key points and that is when it is priceless for keeping you out of, just as an example, breakouts which then go on to fail. It's not infallible, but it gives me a huge edge.
Yes, it certainly is possible to trade the chart patterns only and make a profit, but the success rate won't be as high or the profits so substantial
I view charts as being two dimensional; the third dimension is level 2 T&S; not always necessary, but sometimes a huge help.
Hope that helps,
Richard
__________________
Mr. Charts
Full time US Share Trader"
"Hello shopsmart,
I read news stories pre-market and use scanners before and during market hours to find stocks which might create the set ups I use - of which this thread is about one only.
I also use level 2 T&S to provide a trigger for the trade. You can manage without level 2 t&S but it gives me a huge edge; it sometimes, not always, gives me key evidence as to whether a trade will work or not.
Richard.
__________________
Mr. Charts
Full time US Share Trader"
without any indication to your use of T&S it appears like you are fishing for punters = pay me and I will show you how to make a decending 20ma system work for you
you could have stopped the thread after 3-4 pages with all detail contained if your motif was not a fishing expedition imho
"any trading system that is not 100% undeniably controlled by some mechanical means or fixed rule in every single aspect of its existence is judgemental in some way, no matter how small"
"any system with a judgemental component will work better for the system developer than for some random person who buys it and puts it into action. The only way to profit from a system in the same way as the developer is to take the same signals that the developer takes, and exit when the developer exits"
regards any questions raised by other posters that were not in agreement with you or part method posted on thread ....... just general questions really, nothing very aggressive or unreasonable imho
many times others answered on your behalf in an aggressive endorsing manner, imho killing any debate regards the validity of the (PART) method posted on this thread, you then later endorse the answer when the gunfire is judged to have subsided or that is how it appears
one poster in particular is one of your happy clients, he appears to be a reasonably hard working chap and yet even he concedes he cannot manage to turn a consistent profit with your method
performance issues he blames on his own short falls
imho it is not his shortfalls but a reflection on yours and this half posted method on a thread started by a vendor
you have some 12 setups you use and your obviously very busy with other stuff, if your going to post a method to help new traders it should be complete imho, it does not need to be great but it should be complete
I accept you made it clear in your 1st post regards T&S part of method and discretion used by yourself not being part of the thread and I can understand why, perhaps you did not consider any problems regards the omission of T&S
the fact remains that the method can"t be properly back and forward tested by any traders without it
you state your a full time trader for 10 yrs, you must be aware a half method is no method at all Richard
perhaps you could if you get some spare time post exact guidance to entry criterior without T&S
strongly trending 1-3 min tf is open to misinterpretation judging by some of the posted charts by others
your criterior for not entering
your definition of S & R nearby (reason given for no valid entry) ............. pdh & low or other S&R definition you consider ?
perhaps a 1-10 bullet list might help , the thread is 60 ish pages long
Hard Hat on
latter
Andy
Mr. Charts
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The method described here works very well and people should test it for themselves.
It can be used without level 2 as already stated, though the latter gives an additional strong edge.
To be blunt, if you wish to conduct attacks then it's an open thread but I see no reason why I should continue helping people and read comments like yours.
It makes no difference whatsoever to me whether I post here or not.
Shame a thread which I know has helped a lot of people has to end on such sourness.........
It can be used without level 2 as already stated, though the latter gives an additional strong edge.
To be blunt, if you wish to conduct attacks then it's an open thread but I see no reason why I should continue helping people and read comments like yours.
It makes no difference whatsoever to me whether I post here or not.
Shame a thread which I know has helped a lot of people has to end on such sourness.........
timsk
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Tenbob,
You don't mention who this poster is - but I assume it's me as I fit the general description. I have some rhetorical questions for anyone subscribed to this thread who has an interest in learning from Richard who is one of the best and most experienced traders on T2W.
1. Who is better placed to know how well I understood and applied Richard's methodology - me or Tenbobtrader?
I trust that all of you answered correctly, except Tenbob, obviously. Now, next question . . .
2. If I openly admit on a public forum (i.e. this thread) that a particular style of trading doesn't suit me or work for me - would you be happy to take my word for it? Of course you would - why wouldn't you? 'Me' is emphasized because, as most of us know, trading is a very personal experience and what works for one person doesn't always work for the next person. There's absolutely nothing wrong with Richard's methodology, it's just not right for me. Simples!
:cheesy:
Tenbob', please refrain from using my posts and comments and twisting them in such a way as to suggest that:
A) I don't know my own mind and . . .
B) to attempt to undermine and derail one of the best threads on T2W.
It's offensive, totally negative and completely unnecessary.
Tim.
Technically Fundamental
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sandpiper
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Er... rhetorical I know, but I don't understand. Perhaps you could clarify?
1) You understood and applied the methodology perfectly. It clearly works but you decide "it's not for me". If so, on what basis would you decide that it didn't work for you. If you wanted to add to other people's understanding then being more explicit about this aspect would help. Simply saying that something doesn't suit you really doesn't tell anyone anything. Or does it?
2) You didn't understand the methodology sufficiently to be able to apply it correctly. Fair enough, but then you would hardly be in a position to state that "there is nothing wrong with the methodology". Or would you?
3) You understood the methodology perfectly but couldn't apply it. This implies that the successfull application of the methodology requires other skills, characteristics, qualities that you don't possess. That is of course fine. But then you can't really judge whether the methodology works or not if you don't have the wherewithall to make it work? Or can you? I guess it would also be helpful to others looking to make use of Richards services if you or he could then say what additional qualities were needed.
If I had questions or points to make to Richard I wouldn't have made them in quite that fashion for sure, but offensive? Ying and Yang mate surely? If a vendor (no matter what their elevated status) cannot be subjected to reasonable questioning then it's a bit rich isn't it? Necessary? Well clearly Tenbob felt that it was. Negative? Depends on your perspective I guess.
