Posted by: nocona
In reply to: kenwong who wrote msg# 2687 Date:9/5/2005 8:34:39 PM
Post #of 2903
Kenwong:
QQQQ / RSI 5 Hourly System informatiom:
When the RSI 5 of an Hourly bar closes below 26 BUY QQQQ
When the RSI 5 of an Hourly bar closes above 70 SELL QQQQ
When the RSI 5 of an Hourly bar closes above 74 SHORT QQQQ
When the RSI 5 of an Hourly bar closes below 30 COVER QQQQ
Make your trade at the end of an Hourly bar
Use a 2% stop loss. Set the stop loss when you make your trade
and use it where ever it occurs even if it occurs in mid hour.
Use a Live Chart where the 1st bar is a full hour (9:30 ET to 10:30 ET)
Since 5-24-05 there have been 29 trades with 25 gains, 3 losses and 1 even for a collective gain of + 20.77% w/o margin and a cummulative gain of +50.61% with max margin
Since I have used Rydex 2X funds a lot, I feel perfectly comfortable using max margin.
If you use options, invest only 10% of allocated money in options and invest 90% in QQQQ
Use slightly in the money near term options