Reward is preferable.
No. Just many years of watching charts of many kinds.
I hear you i have been doing it for almost 3 decades. In fact i have a website that is dedicate to my charting.
It trends, but tends to range within that trend, usually giving you an out for a less than well thought out entry, if you are patient, and can stand the pain for a day or three.
HA, i cant spell pashunz.
You don't want to take on an amount of risk that causes you discomfort, with any trading vehicle.
Thats not it at all for me. I am a risk manager so i have no problem with it. You are subject to larger drawdowns with leverage. Period. It is a proven fact the brain has 2-3x more negative reaction to losses as it does gains and why, retail investors typically do the wrong thing at the wrong time. I am human too and know that to have a trading process that provides positive expectancy, I need to avoid leverage. I i were to leverage it will only be on the Dow or SPX since their movements are small and reasonable
I'm just using the Schwab platform (was Options Express, I think, before they got bought), dorky as it is.
Schwab was my custodian for my business. Their platform has gone down hill. I hear OI is pretty good.
The important part is to plan a good trade, not how many bells and whistles you have to play with.
Of course, i am a professional trader. Our job is to plan and manage risk. GAins come because you do it and you have a process that provides positive expectancy
No "indicators" in use.
Cool, just price and volume? That is all i use. WE all start out with dozens of indicators and finally realize price is the only thing that matters.
I watch the price action (the dance), compare with what ES and NQ are doing, draw a few lines, jump in and see how long I can hold my breath.
Interesting, you care about how the other indexes are trading even though the correlation is not perfect? Why? unless there is a CE of 1 it can be a false indicator due to it lack of perfect correlation.
Today, due to the big rise (that I missed though I was staring right at it) I expected and received some reward for shorting it at the end of the day.
Got in a little early, so felt the pain for a while. Don't panic, let the plan play out or fail.
5m chart, YM - Dow $5 futures
View attachment 110210
At a point of resistance. if it fails, there is a likely place. Good risk to reward right here. I learned (but dont do options or futures) shorting a bull market is a bad idea. But if all you are doing it trying to catch the daily wiggles, i am sure that opportunities abound.
My approach is a bit longer time period.
Goal was 100 DOW points, or $500, I chickened out at $415, but it continued on a little past the original target before snapping back.
"The dust blows forward and the dust blows back" - Don Van Vliet
That's ok, it'll buy some groceries, a couple of tows to 3,000 feet, pay the Instructor his fee, and buy gas for the round trips to the glider field.
Congrats
I was complete out until yesterday and hopped on board late yesterday with small positions and went in much further today. Made enough for some gum but am worried this rally is nothing more than a bear flag. I have tight stops in place, using the 2 hour charts to manage