Greetings futures.io (formerly BMT) and Community,
My first topic on futures.io (formerly BMT).
Are there any traders here,who take only Long or Short trades?If so,which method for determine the cycles has proved to be worthy for you?What kind of the Wave,Cycle theory is applicable for the Index Futures?Any recommendations are very welcome.
One of the advantages of futures is that - unlike stocks - you can easily trade both sides. So I don't see the point just trading from the long side.
If you ask about asymmetry between longs and shorts, index futures behave in a similar fahsion as stock. Volatility increases when they move down. For commodity futures it is often the inverse, as they may spike to the upside.
To answer your Q In short,i have no experience in trading with stops.Never used them before and have no willing to learn it.Im a slow mover and wiiling to wait for the opportunity day,two-three days.As for the opportunity,i don`t think that intraday trading with stops will ever beat the swing trading,unless you have Ivy Bridge Core i7 inside and BP to trade 100 contracts a pop.Neither i have.If we put an equal chunk,let`s say 20K each, into trading,i`m sure i`ll beat you in the long run.Trading is not about how much you make per day(IMO).
Effective scalping from both sides requires a vast amount of money!Apart from that,the ratio for the 100% trades you make will be 1/3,1/3,1/3 for the scratch,winning and losing trades correspondingly.So you`d need at least 3:1 or 5:1 RR ratio to be something.If someone here is able to spot at least 2-3 trades with such ratio on a daily basis,at least YTD,i`d be glad if they share their experience.But more often,it`s not the case.
Im not sure how a question about your logic of only trading in one direction made you want to prove what a great trader you are.
Back to the question, why do you want to only trade in one direction? Im not sure the reason of 'You dont know how to use stops' answers that. I asked the question because I am truly interested, I can't seem to see the reasoning, so I asked.
ps. Who sais multi-day / week / month swing trades can't be to the short or long side?
You donít trade the markets; you only trade your beliefs about the markets.
- Van K Tharp
The following user says Thank You to DarkPoolTrading for this post:
I`ll try to answer.Two reasons: 1)Intraday doesn`t fit;2)The market ic cyclic.Did i answer you Q`s?I hope so.Now can we get back to the topic,please?Are there one side traders in here?Which marke theory you use to determine the midterm market cycles in index futures?