Daytrading the mini-Dow - Page 22

Quote:

Originally Posted by Stock King 

JLC, so you are a very quick scalper? How long are you usually in a trade? 

 

By looking at your charts you're using the 3min? 

 

Also, I see on the TOS platform it says "AT_LADDER BOT" what does that mean? 

Yeah 3min is my time frame of choice. My trade can be quick or slow depending on how price moves. Usually my target of 1:1 gets hit very quickly (within 2-4 bars). I have a rule to be flat before market close.

If I'm in a trade and nothing happens for 12-15min, then I'll exit.

That thing looks like a price ladder!

BOT is bought/buy

Slow mondays..

Ventured into crude today since /ES wasn't moving much.

Got a nice trade. Simple and effective breakout retrace.

+43 and 1:2

thanks!

here's something to note. these spikes have always served to be a high probability pivots from my previous observations...let's see how this one plays out

Here's another one that I just closed out.

Good for +54 and nearly 1:4 trade

Before that, I had a trade that was stopped out for -3 tick. Worth it though because it was that loss that signals me to trade the long trade later that gave me a nice profit.

I will save the /ES trade for recap later.

Recap of the day:

Very narrowed price action today. I was able to find one trade and took my +1.75pt. I didn't get my daily 2pt goal but given my wins from /CL today, I'll let it slide!

The trade I took was off price sitting on multiple flat MA's. Additionally, trend has been proven to be up by the higher highs/lows since the bottom of this morning. The MA's confluence with PPZ of the double top from this morning gave me conviction that this is firm support. The final factor that allowed me to take this trade was the time of the day...a crucial one IMO.

Later on the day, there was another trade that could have been taken to the down side...a CT trade. It was backed by resistance of daily S2, meaningless by itself but confluence with 38.2 fib retracement. Additionally, divergence could be seen on the TICK. I had my chart zoomed too far out at that time and I wasn't able to see the bar formation. I should've zoomed in closer because today's price action was so narrow, all bars are small...

Positives of the Day: Patience...it was a long and slow day with very little trade opportunities.

Negatives of the Day: Missed a trade

Note of the Day: /CL can be quite the money maker

Quote:

Originally Posted by NYC-Trader 

Great stuff JLC.  I had 2 trades today both trying out the /CL and ended up even.

 

What kind (what size) of stop-loss do you use when trading Oil Futures? Looks like from your previous post you ended the trade with a loss of 0.04. This had to be some kind of trailing stop right? I find that would be just way to tight to set a stop in the /CL.

 

Hope your success continues,

 

My stops vary depending the location of the trade. Basically I place it at levels where if price manages to reach, then I know I'm wrong.

First /CL trade had a stop of 20

Second was exactly as it showed, just 4. I can get stopped out but I'm ok with that because the plan was not to have price exceed that level. If I get stopped and PA develops, then I can reenter.

Third was 15

I never risk more than 1%. If it requires a risk of more than 1%, then I will skip the trade.

Just read this part in Pit Bull and I believe it deserves to be quoted here since it describes the way I tend to trade:

"Most books on trading say that you only have to be right
three or four times out of ten if you cut your losses quickly and
let your profits ride. That doesn't work for me. I cut my losses
quickly, but I take my winners just as quickly. I need to be right
seven or eight times out of ten."