Big Mike's Trading Blog

Day trading futures, discussing money management and trade management techniques, and more

Friday's chart

I didn't take any trades today, deciding ahead of time this week has been great and Friday is likely to be a slow day where I would lose money.

Of course, the market decided otherwise.

So I didn't trade, but here is my 4 range chart showing some nice movements and two clear signals from my Symmetry indicator (which is looking at ECO2 and Mike Trend).


If you used the ECO2 exit I described in my video, you would have got 3 points on the short and broke even on the long.  However, my old rules were to use the stop/reversal marker (the hash mark under price bars).  If price closed below that marker, trend reverses, and that would be my stop.  I think I might re-examine and go back to that method, it worked fine for me for a long time.  ECO2 is a great entry signal still.

So if you used the stop reversal, the short would have netted 1.75, and the long 2.00.   Some days it pays to have runners, and some days it pays to have fixed targets of say 4 or 5 points.  In both of these trades, a fixed target of 5 points would have worked, leaving 10 points net for the day.

That is where multiple contracts really help.  One contract to 1st base, then a 2nd contract for say +4 or +5 points, and a third for a runner "until it ends".


Have a great weekend!

Mike

10 comments:

Anonymous said...

Hi Mike,

Wanted to congratulate on your New blog! I am following your system with quite an interest and downloaded your indicators, thank you very much for sharing ideas and indicators with us.

I wanted to ask you where one might get the indicator that shows the remaining range? I am trading of 8 Range Chart and that indicator would be quite useful to have... Is it somthing that you created or can be found on ninjatrader forums?

Kind Regards,

David

Big Mike said...

Hi David,

Thank you, the blog is still new but I am working hard. Please help spread the word, tell others!

RangeCounter is built-in to Ninja. If you still have difficulty finding it, let me know.

I have modified all versions (BarTimer, RangeCounter, VolumeCounter, TickCounter) because I want them to be silent if on the wrong chart type. By default it will complain.

Each of my templates includes ALL of them, so I can quickly switch between charts and it be there.

Mike

Anonymous said...

Hi Mike,

Thank you for your assistance, I was not aware that it was a build in indicator, I found all of them, once again thank you for your help.... Have a great weekend!!!

Looking forward to more postings


David

Anonymous said...

Hi Mike,

I was wondering if you've got a strategy to help keep you out of "choppy" periods where you might get stopped out quickly. I'm trying out eotpro's high level chop indicator. It's new so I don't have an opinion on it yet but I wanted to hear from you on what you use. Obviously, you can make a good amount of money on a trend and then give it all back in chop.

TC

Big Mike said...

Hi TC,

A few days ago I looked at EOT's volume splitter. Seems interesting. But I've not looked at the rest of their package.

Chop is a killer. The market is non-trending the majority of the time, so you have to be equipped to deal with chop, or it will tear you to pieces.

The poor man's squeeze detector is when the Keltner Channel is inside the Bollinger Bands. That means squeeze and chop.

There are a lot of people that have special chart templates for squeeze/chop and trade differently when the market is in it. I have a template and a system that works pretty well, but I prefer to just avoid chop.

Experience will teach you to identify chop and stay away. Even the best traders will make 1 trade "in chop" before they realize they are in chop.

Some of the things I do personally is avoid over trading, and try to trade on the side of the overall trend. I've recently highlited examples on my blog of only trading on the "right" side of a 45MA, for instance (only long above, short below). This will help you stay away from chop.

Mike

Anonymous said...

Thanks, Mike..

I appreciate your feedback. I do use the Rsqueeze indicator that I found on the web.

I'm also trying out the EOT Volume Splitter. I think it has some good potential if the settings are right. Following those who are trading 100 or 200 at one time seems to make some sense. I'll be interested more feedback from you on that as you test it more.

TC

Big Mike said...

Hi TC,

I am not testing or using EOT stuff. So *we* will be in interested in more feedback from *you* as you test it :)

There is an active thread on the NinjaTrader forums regarding EOT Volume Splitter, and trying to make a freeware version of it here:
http://www.ninjatrader-support2.com/vb/showthread.php?p=92735

Mike

Anonymous said...

Hey Mike,

I was wondering if you can assist in finding the Midas indicator for NT. I saw you contributing to the thread and thought I ask you first hand if you know where I could find it!

Also,
I used EOT for a month...its a great service if you want to quickly scalp a point here and there most of the time you are sitting on your hands to get into a trade regardless of how well the market is trending or not....so you miss out on good runs b/c you are waiting for their indicator to says to get in

Big Mike said...

This is where I downloaded Midas/i_Midas originally:
http://www.ninjatrader.com/SC/September2008SC.zip

Let me know if you have problems.

Regarding EOT: Remember, if you can successfully get 2 points a day, you can be set for life, just throw more contracts at it. And I find my best trading days are the ones where I take only a very small number of trades, say 2 or 3, and I am done.

Mike

Anonymous said...

yes i agree on the 2 pt daily is a good day!

in regards to Midas, I am trying to use it on the 5 min chart but it is not working...something i am doing wrong? does it work on shorter date parameters?

Post a Comment

Note: Only a member of this blog may post a comment.

Platforms/Indicators

BMT - Traders Hideout

BMT - Programmers

BMT - Psychology

BMT - Journals