Well helooooooooo Xjoers :)))
Long time no speak, been busy doing my own stuff, setting up a good trading n analysis environment, spending prolly way to much time online chatting with professional traders, n generally avoiding the XJO thread while I figure out where my voice "belongs"...
For the mo tho... I still am full of myself enough to start my own thread n throw some stuff at ya...
It sometimes feels like I am talking to a lot of good people here, almost a conversation LOL so meh, even if tis but onesided, I do gain a lot from doing it :)
So back into the bosom of the XJO thread again :)))
Ahhhh Hotcopper, will I ever be able to let you go....
From Ze Blog
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Topic of the Day...
Trick Trades
I feel that trick trades are borderline grey area "immoral"
I define a trick trade as a trade based on setup which appears through forward observation to be consistant and low risk, yet the setup is not based on specific TA it is more a case of if price does this, this is the trade to take.
At this particular time in the life of the market, these trades appear to work well enough perceintage wise to make money and potentially define risk...
Here are two examples of Trick Trades
US Closing action as indication for following Day SPI action.
Setup:
At or Near the Closing bell of the SPX, if movement is Dynamic in a particular direction, take a position on the SPI directly opposite the closing direction of the SPX500.
Entry
Take position on SPI as soon as it opens.
Exit
Conservative - Gain of twenty points (where gain is on the position, so for a short... index drops 20 pts from open, for a long index rises 20 points from open)
Agressive - Close position at End of SPI cash session
Risk
Max: 20 points... stop loss initially 20 pts below opening price of SPI
Reward
Conservative - up to 20 points
Agressive - Best trade I have actually made was 75 points
Trick Trade 2... Still in development
Trade opposite the closing SPI Futures action.
The trading action referred to here is that which occurs on the current SPI contract between 16:10 after cash stocks auction close, and 16:30, the SPI cash close before the night session starts.
Setup
Dynamic price movement in a particular direction
Entry
Take a position on the SPI EITHER as close to 16:30 as possible, or on night session open, directly opposite the closing direction of the SPI.
Exit
Conservative - Gain of twenty points (where gain is on the position, so for a short... index drops 20 pts from open, for a long index rises 20 points from open)
Agressive - Close position at End of SPI night session
Risk
Potentially Great... I don't have this sussed out yet... see notes below
Reward
Conservative - up to 20 points
Notes:
This trade is a little scarey when being played at the time, as entry can be difficult with the futures price getting quite volatile and thin before futures close. Also, night session spreads can blow out, trying to figure out a reasonable exit on a wide spread can be tough
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So... hard justify for reasons stated at start of post... Sure I could pop out some pretty good sounding theories based on Mob Psychology n Large Position Traders butI do "feel" that such theories are kinda pseudoscience as ultimately unprovable.
Meh who knows... the above are working at the moment :)
So any of you lot got similar?
;)
(20min delay)