I dont know why you keep speaking about intraday trading. That has absolutely zero to do with anything in this thread. People swing trade (ie: multi day, multi week, multi month) both long and short. Surely you dont think that only intraday traders can go short?
Yes, the market is cyclic. Hence the question: Why would you only want to trade one part of the cycle, ie: only long.
Anyway, clearly the question will remain unanswered so ill bow out so that perhaps other people who trade like you do can address your original question.
You donít trade the markets; you only trade your beliefs about the markets.
- Van K Tharp
Long only strategys work during bull markets. If your backtest uses a reference period, when the bulls were in charge, it will always look good. But is such a backtest predictive for future results, or otherwise put, do you think that the fact that we had a bull market increases the odds for a bull market next year?
If you use stops,then it`s not midterm trading.It is that simple.I do agree that at times i`ll have to tread water,but it`s not the same as using stops.My entries are not perfect,so i have a trilemma here.To keep them as is,to continue to refine(hence this topic on futures.io (formerly BMT)),to start treading water(little experience here,so far).The third one could probably be the part of the second one.I`d choose to refine my entries,but so far no one is willing to chime in.
Last edited by Cachevary; June 20th, 2014 at 08:15 PM.
I feel i wasn`t clear enough at the beginig.I shoulda put the title: "The midterm cycles traders" instead,my apology.I`m looking for both,long and short trades alike,only from the midterm perspective.Once again,sorry for the confusion.
I think what you are asking about is position trading, where you determine an overall market trend and the take and stick to that trend based position until the trend changes.
My "investment" friend from (big company) would tell you that position trading is the only long term money maker.. He lectures me and all his clients on getting in and staying in. He would even have you buy a stock thats sliding just for the net effect of the dividends.
To say I irritate him with being a futures trader would be an understatement. If I even say the words Day-trader makes him go ballistic on me.
If he wasnt a friend I'd let him know how wrong he is, but since I dont want to upset him....
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