Advice on removing a counter trend Bias - futures io
futures io futures trading



Advice on removing a counter trend Bias


Discussion in Psychology and Money Management

Updated by JonnyBoy
    1. trending_up 132 views
    2. thumb_up 2 thanks given
    3. group 2 followers
    1. forum 1 replies
    2. attach_file 0 attachments




Welcome to futures io: the largest futures trading community on the planet, with well over 100,000 members
  • Genuine reviews from real traders, not fake reviews from stealth vendors
  • Quality education from leading professional traders
  • We are a friendly, helpful, and positive community
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts
  • We are here to help, just let us know what you need
You'll need to register in order to view the content of the threads and start contributing to our community.  It's free and simple.

-- Big Mike, Site Administrator

(If you already have an account, login at the top of the page)

 
Search this Thread
 

Advice on removing a counter trend Bias

(login for full post details)
  #1 (permalink)
Somewhere + Australia
 
 
Posts: 5 since May 2020
Thanks: 0 given, 11 received

Hi all,

I've been trading for a few years now. Got into crypto and was heavily biased trading counter trend, which worked reasonably well in that market at the right time.

Now I find I'm always looking for a Fade or Reversal and find it hard to identity opportunities in line with the trend. This has been a consistent issue I've been trying to work on but so far without a lot of success.

With high volatility days like Friday this results in me smacking my head against the wall.

Has anyone delt with a similar problem and managed to over come it, or have any advice?

For some trade context I scalp FDXM orderflow in the first hour of the cash open.

Reply With Quote

Can you help answer these questions
from other members on futures io?
Linear Regression Slope Indicator
TradeStation
Implications of Alex Kearns' suicide
Traders Hideout
How to show tick count in or next to the current candlestick?
NinjaTrader
Scan by comparing SMAs within 5 mins
ThinkOrSwim
Execute NT8-Optimizer by script
NinjaTrader
 
Best Threads (Most Thanked)
in the last 7 days on futures io
Are sharks watching on the other side?
40 thanks
VWAP for stock index futures trading?
35 thanks
Converting NT7 indicators to NT8 for free
14 thanks
Spoo-nalysis ES e-mini futures S&P 500
14 thanks
Sierra Broker
12 thanks
 
(login for full post details)
  #2 (permalink)
Legendary Market Wizard
Calgary, Alberta
 
Experience: Advanced
Platform: NinjaTrader 8
Broker: Kinetick
Trading: ES
 
JonnyBoy's Avatar
 
Posts: 1,329 since Apr 2012
Thanks: 519 given, 2,894 received


lgix View Post
Hi all,

I've been trading for a few years now. Got into crypto and was heavily biased trading counter trend, which worked reasonably well in that market at the right time.

Now I find I'm always looking for a Fade or Reversal and find it hard to identity opportunities in line with the trend. This has been a consistent issue I've been trying to work on but so far without a lot of success.

With high volatility days like Friday this results in me smacking my head against the wall.

Has anyone delt with a similar problem and managed to over come it, or have any advice?

For some trade context I scalp FDXM orderflow in the first hour of the cash open.

A great question posed. I would say yes, this does affect many traders.

When I first started trading back in 2009, I was very heavily biased towards the downside. I would only be looking to short the ES to the point where I would just make up reasons to put a trade on. It literally killed me and my account(s). As we know, from March 2009 the S&P/ES was in a relentless bull market and there was little old me fighting it every step of the way!

I couldn't switch my bias to be bullish, no matter what I tried. Then one day on a whim I chose to ignore one thing, price. I placed my chart straddling 2 monitors with price being visible on the monitor that I switched off. I was blind to the price for the most part and I went from there.

To contextualise what I mean here, I still marked my chart with important levels but I only traded the price action in front of me. This included trading both sides of the market. At first being bullish was alien to me, but after a few months of ignoring price I started to balance out my trading and my approach.

It wasn't until much later I figured out that by ignoring price, my mindset would shift away from my thoughts that the market was being irrational. I was subconsciously believing that the market didn't deserve to be going higher and therefore I would fight that hard right edge of the chart in the belief that it should be moving lower! Of course, it very rarely did back then.

This doesn't mean of course you can't solely be a bear or a bull (there are plenty of traders out there who only trade one side of the market), but in these instances you need to ensure your trading plan allows for that. And as a bearish trader you most certainly shouldn't be fighting an obvious bullish trend and vice versa.

For long term trading I do care what side I am on, but for day trading I don't care what side I trade. I don't even care what the price is to be honest, I just care what price is doing.

I am not saying this is the answer to make that paradigm shift. You don't even have to want to trade both sides of the market, but you absolutely should know when to stay out of one side of the market if all you trade is counter to it.

I would say overall my shift took about 6 months to a year to completely shake my bearish only POV, but I am certainly a much better trader now because of it.

--------------------------------------------------------
- Trade what you see. Invest in what you believe -
--------------------------------------------------------
Reply With Quote
The following 2 users say Thank You to JonnyBoy for this post:


futures io Trading Community Psychology and Money Management > Advice on removing a counter trend Bias


June 15, 2020


Upcoming Webinars and Events
 

Free BloodHound Licenses for everyone!

June
 

Every journal equals ten meals for the hungry

June
     



Copyright © 2020 by futures io, s.a., Av Ricardo J. Alfaro, Century Tower, Panama, +507 833-9432, info@futures.io
All information is for educational use only and is not investment advice.
There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
no new posts