Marc:
Re above, Trade Balance continues to improve, but very little comming thru Matricies, even with RRR set to 0. What's going on??
Regards, Jon
Probably the software is keeping us out of trouble
cjrsouth Wrote:Marc: Re above, Trade Balance continues to improve, but very little coming thru Matricies, even with RRR set to 0. What's going on?? Regards, Jon
Jon, We now need a pullback or at least a brief period of time for market to pause to generate
new energy, new buy setups. The more strength that can build from the brief trend up, this
three-day rally, better position, swing, even day-trades can, will develop from it.
-marc
Marc:
Thanks for your commentary on markets & some of your DTmethodology. Could you add some perspective to what we are viewing on DT Matrix screen results, which right now show very little names, even with "All" selected???
Regards, Jon
To be quite honest, being a short week after a couple holiday weekends, and a few days off, I am scrambling immensely to catch up with work and cramming all this extra analysis in as well. The last two nights, for example, I haven't got to bed until 2 or 3 am. (If you look below and notice the time, my last post here was done after midnight. It was the first time I could find time yesterday/today to respond. We have had only our fourth trading day of the new year. There was no momentum last month. Now we are starting off with momentum and seeing some conviction. This is very encouraging for the near-term. We did have some setups prior to Tuesday's strong opens. I did not get into many because of the gaps. I took BOOM because of the obvious momentum, consistent buying all day Tuesday, and I needed a trade to get into. We did not have Trade Balance blue in many of the rooms so we could not focus with confidence yet on the rooms between SD and DD/DC, until now. Now we have that blue filled in not only in the overall and nasdaq market, but when you scan individual Trade Balances they are filling up blue too. The next pullback/pause will now generate better trades. Yes, I would like to have a trade pop up on the Matrix myself. When I cannot find quality after the first hours open, I might consider going to the TB and scan for my own ideas looking at stocks within the strongest groups. A second idea is to find out what stocks are moving today or in the news, and enter their symbol into the Profile to check for any trade ideas. Another trick is to look for the strongest trading stocks moving today and then enter those symbols into the Profile or TB to track for day-trade pullbacks and smaller room setups. Everyone knows I like longer-term type trades and focus on those setups, but when nothing of quality shows up, I shift to shorter rooms and will now take trades there if they represent good quality. Another thing is, in my humble opinion, you might now need to consider taking some trades with lower RF values now, IF you can still identify most all other conditions supporting it, but I would then add my own additional technical analysis to it to build more confidence. Things such as an Advanced GET MOB, Ellipse, Retracement, or trendline application could very quickly be added to an eSignal chart to help you gain some additional support/resistance confidence for those more questionable setups. If you are a conservative trader who waits for only the best setups, you have no choice but to wait a little longer. If you are willing to, or able to emotionally shift into a more aggressive mode, you can be willing to lower your standards during periods of consistent overall market waves of strength coming, and pick the next best ideas you can. You just make some money management adjustments to help you better manage your new postions based on the higher potential risk. It is, for example, why I only took 100 shares of BOOM instead of a normal 1,000. When you want to participate in market short-term like what we are seeing, this is the only way I have been able to figure out what to do. Other than that, you wait patiently still for the next organized pause of pullback, you take this time to identify where you would like to put your money if the opportunity avails itself to you, then act this next time and don't hesistate like we do when there was no trending behavior like, for example, what we saw lost month or two. Think of this as like a surfer out in Hawaii preparing to surf. Sometimes those guys sit a long time before the big waves start to show up. They might take some small rides on weaker waves into shore just to keep warm and loosened up, but once the big waves start to come they typically will continue for a while. That is when they get more selective and try to catch the very best waves so they can ride them a long way. I see this happening now. We will have some more good action to come, but it is the beginning-- if I am correct-- of this newer, stronger near-term up trend behavior we have wanted for a few months. Now we wait and get ready to pick the winners. Odds keep increasing each day now our next trades the eventually pop up in the Matrix are now going to become a higher quality trade setup with much more strength attached to it. Again, I don't have all the answers. I am just like most everyone else, a guy who works very hard to try to find trades and help as many people as I can. I did not design this system, but i do believe in it, and like others I have tried to figure out ways to work within its strengths and weaknesses as a trader. This is, currently, the way I approach it. I can only tell you now that we have this Forum, and chat potential, I can see a new way we can help each other out once more trades show up. I do promise to share more my trades as they develop. Currently I have only had time to trade BOOM. Once I get caught up, you should see more trade ideas posted here before the fact that I am going to put my own money into. We can discuss those ideas and learn from each others mistakes or insights. Hope this helps, will talk more as soon as can.... All I can do is give yo my promise to deliver more ideas when they now start to show up. I guess to better understand why no new trades are showing up, just go to an eSignal daily chart and type in symbols. You will see most of the better trending stocks moving up currently. Once those stocks start to pullback our program will identify them then as new trade setups within whatever room we are trying to find a trade.
Your friend, marc
Marc:
Thanks, my friend. I can only be complimentary of your efforts. You hit the bull's eye again. This is exactly the DT context that I was seeking.
Jon
Mark and Jon
I am following your thoughtful comments. I have been using the DTP for 5 weeks now and it has been profitable despite the choppy market conditions. I have only taken "optimal" trades, screening out anything with less than 4 stars or RF less than 13. The beauty of the system so far is its amazing ability to keep me out of trouble and keep me from overtrading.
Harris
Thanks Jon and Harris for your comments
and definitely appreciate the feedback!