| Edisto |
|
Gold User, Member, TeleChart
|
| Registered User |
|
|
|
|
| Unsure |
|
| Thursday, October 7, 2004 |
| Sunday, March 8, 2009 6:13:26 PM |
11
[0.00% of all post / 0.00 posts per day] |
|
OK check my logic here:
If we assume that C is the LAST day of the 9 day previous period and this close tells us to put it on the watch list. Then the period that we are closing out would be C through C8. Have played with several formulas and cannot duplicate the event dates noted in the chart. Will try more later.
BGS
|
|
First let me thank Sam for contributing, cannot say I have spent much time looking at 9 day bars, been a thought provoking couple of hours. I would tend to agree that clarity is not the strong suite of this particular report. Perhaps if we break the rules down in pseudo code, we can make sense of them. One point, given that a bar is a rolling 9 day period, backtesting this would be difficult. What you see today, would not be what you saw on that day in a live scenario.
Watch List Rule: If only the previous two 9 day period closes are down, then add to the watch list during the current 9 day period. Watch period for a given stock only lasts for a rolling 9 day period.
Buy Criteria: If the stock declines 2% from the close of the previous period, then go long.
Sell Criteria #1: Upon the start of the next (new) 9 day period, close the position if the stock opens above your purchase price. (It would appear that it is that day and that day only)
Sell Criteria #2: Assuming that criteria in #1 is not met, then hold for 9 more days and close the position on the first day open of the next 9 day period.
One other point on clarity, the chart's columns are not real clear. I take it to mean .....
Date on screen - means the day it was added to the watch list
Closing price MOS 2% - This would be the basis for adding to the watch list. Essentially the close from the previous period.
Trigger Price - This is the entry price based upon a 2% decline from "Closing price MOS 2%"
First open if above cost - sell criteria #1 price
Second open - sell criteria #2 price.
If there is a NA under trigger price, it was on the watch list and a position was never taken. If there is a price, then that is the entry price. The sell price is in one of the last two columns which are mutually exclusive.
One comment on the lack of price stop .... wow!! All sorts of things can happen in the potentiall time stop holding period of 11~19 days. This was a quick post, please excuse the misspelled words that I am sure are in here.
Thoughts .... ?
BGS
|
BB,
On the longer chart the 01/02 double top is going to present significant resistance, so upside could be limited here. The current run from 05 to 06 will have to catch its breath before breaking thorough. Granted these are nothing more than my humble opinions.
Glad to hear you had a great ride!
BGS
|
Brexx,
The sloppy cup and handle in May, I would think, needed to consolidate longer before it would be a valid pattern. Perhaps that is why it broke down. Agree with Diceman on the S?R landscape.
BGS
|
You are right, interesting chart. Think it will top out here soon, or comence a heavy retracement. If not ... All Aboard!
BGS
|
PV78:
Trading is a business where you are competing against some of the smartest minds in the world. Stop and think about that for a moment and really understand the implications of that. Given that, are your expectations of yourself realistic?
You do not mention having a defined, documented trading plan. That is imperative, and will help you remove the ambiguity of emotional decisions we all make. You should define things like the timeframe you are trading, your risk management strategy, your overall strategy from an entry and exit point, etc .... . There are several examples available on the Internet.
There are many smart people, and regular Joe's who have made, will make, and are making money in the market. In other words, there are many ways to make money in the market, but 1 sure fire way to loose it all .... you absolutely must manage risk at the trade level, return level, and overall account level. The goal is to preserve captial first, because without it, there is no trading.
One parting comment........ you speak of being long and being short .... they are not the same. Pick a position, and learn that, make money at it consistently, then think about learning the other direction. If you were a physician would you start your schooling by doing a heart transplant on a live patient or work with a cadaver.
Best of luck,
BGS
|
|
Have been using MB among several other brokers for about a year, not problems, very satisfied. Each have their own advantages. The one anoying feature with MB that I will comment on is the basis that shows up in multi day trades (within the platform) does not carry over correctly. So each day you are looking at an adjusted basis for the day. More of an annoyance than anything.
|
|