Saturday, July 7, 2007

Method update:

I'm changing a bit my trading method, I've tested a new rule and it will help me earn money in days where the market is going a bit sideways at times, tested on friday I could of gotten 52 points with 15 trades all day.

It goes like this :

As usual I buy and sell on support and resistance, if I'm riding a trend and he is breaking I'm just quiting with the profit of the trend.

1. Stop loss stays at -10 points.

2. Profit taking is the following :

A. The usual trend breaking profit taking (Ex. YM went from 13517 to 13526, and then the trend broke down at 13524 and I take 7 points profit).

B. And this is the improvement, If I'm at 10 points gain, and the market goes against me, I take 5 points gain home, and if the market keep going my way I buy back 10 points more than my entry. I'll explain it with screen shots of trades the following days.

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