trading system

[elovemer]

a note about the long before the close....
.....i was looking for a 10 point drop to go long .... i took the long even though it was not a buy under the previous low

....the note about this is.... often times ES, spx, spy .... will make a higher low while the dow YM, DIA, DJX will put in a low below the previous low

to me, this is confirming the long on ES , even though the spx did not actually make a lower low

 

[elovemer]

as for the short first on friday, that was also a range 10 play

see what Taylor says about 10 point moves.... he does mention it

 

[rajo222]

as for the short first on friday, that was also a range 10 play

see what Taylor says about 10 point moves.... he does mention it

great stuff elovemer!!

 

[elovemer]

love the taylor system.... no indicators needed

 

[elovemer]

did not hold over the weekend. looking for buy day action.
monday is buy day ....

 

[elovemer]

buying near the close is not recommended by taylor, but it is what it is
.......... it did close about half way up on friday

 

[elovemer]

sell over came during globex .... so buy day action can come now
.... below tuesday low

.... i like to use cash index because then the low of the day includes the gap
.... range 10

wednesday.... the count is sell day

 

[elovemer]

...low made first was before noon on 10 point move
after noon, is a low made last
....if you take a long on low made last, you are going against taylor's rules
i have a rule of my own... if there is a close at the low, look to go long during globex session below the trading hours low.... as globex starts a new session

.... otherwise, wait for next trading hours session for a long below current day's low
...this kind of day is the kind of day that could begin a down swing, and it is the kind of session where you don't want to get caught holding without a stop or a plan

if a down swing is starting, just keep on top of the buys below previous lows .... you will be surprised how well it works even in a down trend
.... currently the low to watch for a buy below during globex is the friday low

 

[elovemer]

1505 high
1495 ..... range 10 for a buy under friday low

 

[rajo222]

1505 high
1495 ..... range 10 for a buy under friday low

Nice call on the 95 buy day -- does that make today a sell day?

 

[elovemer]

...the count stays the same
.... whether you take sell day action is not determined by the count but by what happens

by my count ... i have friday as buy day

 

[elovemer]

.....price rarely breaks thru the 10 point to go to 20 point during trading hours .... unless it reverses the move the next day
...so far buy day is a low made first

according to the action.... it is sell day action after the buy point thursday which was SSD

 

[elovemer]

wednesday was a buy under low of tuesday
thursday was a buy under low of wednesday
.... monday is SD by count .... action profile could be a short on monday
... look for resistance at the low of tuesday

 

[rajo222]

wednesday was a buy under low of tuesday
thursday was a buy under low of wednesday
.... monday is SD by count .... action profile could be a short on monday
... look for resistance at the low of tuesday

Beauty on the count! Well done!!

 

[elovemer]

.....the count is not so important.
for example, if volatility increases, highs and lows will be hit faster. that means action is taken more often instead of waiting for the count.
... monday short ..... closed at the low of the day ... which was below the low of thursday
short should be closed
..... long play 10 points below the previous low with thursday low as target to close... during globex
my rules say when it closes at the low.... it is a long play during globex
and if it bounces before the close, it is a long play the next trading session below the low

it looks like we are starting a down swing.... i find that buy below works very well even in a down swing
.... the sells above are harder to gauge because of non participation but it seems like people always continue to try to buy lows

 

[Trader333]

elovemer,

How have you found this approach is performing overall ?

 

[elovemer]

i am not automated, so performance is mostly dependent upon following the rules
....taking profit is the most important rule.... over stop placement
overall performance depends completely upon trade management, as with any system
......don't have other systems to compare it to.
.... above taking profit, taking partial profit is important for trading both long and short
....for backtesting, targets are more important than the entries
... targets of more than 10 points almost always..... happen over more than 1 day as opposed to intraday

elovemer,
How have you found this approach is performing overall ?

 

[elovemer]

...close out at previous low

an objective is a high or a low

.....the count is not so important.
for example,

..... long play 10 points below the previous low with thursday low as target to close... during globex

my rulestry to buy lows

 

[Trader333]

I am not sure automation is possible from what I have read in the book although I know there is a site that provides the studies for TS or other platforms. I was just curious how you were finding it as you have spent quite some time working with it.

 

[elovemer]

i don't know how you define ... quite some time
....it is the best system i have found.
... i think the entries are not hard to program, the exits would be more difficult
.......only programming the entries would not be automation

I am not sure automation is possible from what I have read in the book although I know there is a site that provides the studies for TS or other platforms. I was just curious how you were finding it as you have spent quite some time working with it.