Wednesday, March 18, 2009

69W - 12L= 81T = 85.2% 800 level resistance


Base System: 69W - 12L = 81 T = 85.2%
Sub System: 26W - 2L = 28T = 92.9% (pinch me I am dreaming)

Trading:
Net: + $362.50
Net: + 7.25 points
Accuracy: 100%

I will structure my statistics in this format now for easy reading. The sub system is the same as the base system but on a longer term candle period.

My buddy Jeff trades live daily and coined the term "gunslinging". This is my introduction of the term to the trading world. "Gunslinging" is entering a trade based on feel or momentum, rather than a perfectly technical setup. Jeff grabbed 10 points off the Fed Announcement. "Sling away Merrill, sling away" (see the movie "Signs")

I had a clear short signal within .5 points of the top at 800. Accuracy!

I had almost no time to trade today at all and was very busy. 75% structured, 25% "gunslinging" but I managed to have a 100% session. My gunslinging is more about moving a stop or adding a contract if you feel the signal was right, but it might need some wiggle room.
Each time I got near the screen I just happened to see a setup almost instantly. Here is the confidence building part. 75% of my trades were long during the morning short frenzy. Going against the masses can work. If the signal is the right one it can be taken with a good deal of confidence.

Last night I noticed 800 was the 50% of the high/low on daily charts. Then, I completely forget to watch that level. Actually, I was nowhere near the screen at that time anyway. The morning started out like I thought it could. They hammered the longs badly. Caught everyone long into the close and then blew out their stops during the morning. Once they shook the market clean they ran it right back the other way. I thought for sure it would have closed down, so I was shocked to see it rally again. For the fibonacci traders the 800 level as a high makes perfect sense. The sellers were waiting for that level and they hit it hard. Although the day was up technically, we have a candle that shows a perfectly even battle. Massive volatility is my systems best friend, so I had a higher than norm win rate.

I have now incorporated the new signal into my totals and will no longer track it on it's own.

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