Monday, November 20, 2006

Daytrading the S&P500 futures and having an edge

For years now I have used symmetry to find a measured pullback in the direction of the tradable trend....once symmetry is determined it just a matter of using your toys to find a safe entry for the trade. Most people work on the indicator first or even worse......ONLY work with a indicator.

I have been asked in the blog if anyone can make money at this business and the short answer is "YES". But having said that, you have to have a trading plan that is based on a money management plan.....most don't.

Now if you are watching the secret sauce along with symmetry...then you know you just need a measured using either a stoch or the CCI (50/6) you can find this measured pullback.

Then you use the idea of allowing the price....YES I SAID PRICE to take out the high of the setup bar without taking out the low to drag you into the trade......the rest is up to you to manage the trade.....

Again most traders can't stand winners and click back out as soon as they see a profit instead of using defined rules to trail a stop. But the same trader can hold onto a loser until hell freezes over..........Wonder WHY??????

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