Monday, August 8, 2011

Hold signal & Stops...

Not much to say today. For future reference, stops will now be used as follows:

When long TNA and the system flips from healthy to unhealthy.

When short TNA and the system flips from unhealthy to healthy.

These kinds of stops could've prevented a modest loss from becoming a huge loss. Apologies to all who follow my signals/system.

10 comments:

  1. Chris, what projections are you looking at for the market??

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  2. J-Trader, what to do now? deep in water. thanks.

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  3. I think for a lot of newcomers, all they have seen is the "buy the dip" market of the past 2 years. Every time they have put in stops, they have hit and the market rallied without them. I know that's what has happened to me in the past 2 years and that's why I have stopped using stops as well. It's only by sheer luck and cowardice that I sold out of all my positions on 7/25.

    I know you talked about the stops whiplashing you in and out so perhaps it would be a good compromise to lighten up 50% and let the other half ride on a trailing stop.

    Best of luck to you and your followers.

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  4. Within 72 Hours, I say there will be some major market intervention that will stop this madness. Fed cannot lower interest rates anymore. Fed also cant print more money in the market since its already played that card twice, inflating the dollar. Greece halted short selling. We might be looking at the same prospective truthfully. We would defiantly halt in the financial sector. There are zero buyers in the market right now, which in this situation, they will be forced to halt short selling to stop market tanking for the sake of the economy. Support on Emini futures at 1050.00ish

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  5. Eminis plummeting, now at 1080. This is getting insane. This is why I am a daytrader and rarely have overnights.

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  6. ... he said, just 40 minutes before the bottom was put in. ES just turned positive. Its candle is now looking like a great big dagger of a doji. I know, we got fooled a few times before, but this one may be it.

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  7. See what the Fed does at 2:15. Talk on the street is the FOMC numbers could be QE3 like announcement.

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  8. RUT is 17% away from the 200 day moving average. Assuming that is the upside target (i know that's a stretch), 3x 17% is 51%, which puts TNA at ~63. And that is only if we go straight up. Even if the RUT went to new yearly highs, TNA would go to ~77. Ah, the beauty of leverage decay. :-/

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