It ainít called catching, its called fishing - Trading Journals | futures io social day trading
futures io futures trading


It ainít called catching, its called fishing
Updated: Views / Replies:15,193 / 229
Created: by suko Attachments:9

Welcome to futures io.

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

futures io is the largest futures trading community on the planet, with over 90,000 members. At futures io, our goal has always been and always will be to create a friendly, positive, forward-thinking community where members can openly share and discuss everything the world of trading has to offer. The community is one of the friendliest you will find on any subject, with members going out of their way to help others. Some of the primary differences between futures io and other trading sites revolve around the standards of our community. Those standards include a code of conduct for our members, as well as extremely high standards that govern which partners we do business with, and which products or services we recommend to our members.

At futures io, our focus is on quality education. No hype, gimmicks, or secret sauce. The truth is: trading is hard. To succeed, you need to surround yourself with the right support system, educational content, and trading mentors Ė all of which you can find on futures io, utilizing our social trading environment.

With futures io, you can find honest trading reviews on brokers, trading rooms, indicator packages, trading strategies, and much more. Our trading review process is highly moderated to ensure that only genuine users are allowed, so you donít need to worry about fake reviews.

We are fundamentally different than most other trading sites:
  • We are here to help. Just let us know what you need.
  • We work extremely hard to keep things positive in our community.
  • We do not tolerate rude behavior, trolling, or vendors advertising in posts.
  • We firmly believe in and encourage sharing. The holy grail is within you, we can help you find it.
  • We expect our members to participate and become a part of the community. Help yourself by helping others.

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

Reply
 9  
 
Thread Tools Search this Thread
 

It ainít called catching, its called fishing

  #221 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received

Since the February expiration, all of the old junk from 2015 has been washed away and all the trades I have on now have been made since I got the risk manager, instituted rules on size, and started trading the checklist.

I have done a few daytrades with VWAP, as mentioned above, in some hot stocks like FEYE, RAX and RPSL, and also I have started trading the Nikkei index during the day here via leveraged ETFs and vol ETFs. PL wise it's been positive. I even think the win rate may be over 50%. The important point is that I have been downright zealous about closing down the losing trades and embracing the small losses. A small loss is a good trade, I tell myself. And what I am looking for here is good trades, not monster profits.

But most of my activity has been in trading options, defined risk spreads, 45 DTE. One lots. I am trying to get a dollar credit and maybe risk up to two dollars.

During the past week or so I have finally succeeded in getting the portfolio net short. We are a little less than 50% deployed at about 130 betaweighted short deltas with 20 positions on. In terms of cash, we are 2 to 1 short over long. POP on the portfolio is 55% This goes against the grain. I see all that green on the board and I wanna buy not sell.

Names include AMBA ASHR DHI FXB GM GS HYG IWM JD JPM MDLZ MS MU QQQ SLV SPY TLY UVXY UWTI VLO XOP YHOO. The ones among these that are indexes are all short in APR expiration and also short bonds. Also short banking. UVXY is actually a long vol hedge, something that scares me since I got bitten very hard by that last year. But I want to put some more long vol on with VXX.

Now the point here is that this has all been very mechanical. I have a checklist with certain critieria (high IVR, high liquidity, a certain duration, RR and so forth). If the trade checks the boxes I put it on. Once I put the trade on I set up a GTC order in TOS to close at 50% of the max profit on the trade.

When I wake up in the morning Tokyo time I usually see a couple of TOS notifications on the iPhone that GTC orders have been filled at 50%. Then during the day I put in orders for some new positions to replace the ones that have been closed. Lather rinse repeat.

This strategy will do well if the prediction of VIX reverting to the historical mean for 2016 pans out. If we get back to a situation where VIX hangs below 15 for months on end, then I will simply go back to selling UVXY. It's a layup.

Reply With Quote
The following user says Thank You to suko for this post:
 
  #222 (permalink)
Trading for Fun
Pune, India
 
Futures Experience: Beginner
Platform: Broker supported platform
Favorite Futures: Index and Equities
 
4Play's Avatar
 
Posts: 60 since Feb 2016
Thanks: 19 given, 17 received


suko View Post
12. No CNBC

Hello was going through your journal and reached a post on the set of rules you have defined for yourself - Found this rule 12. "No CNBC" bit really funny :-)

Best.

Reply With Quote
 
  #223 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received



4Play View Post
Hello was going through your journal and reached a post on the set of rules you have defined for yourself - Found this rule 12. "No CNBC" bit really funny :-)

Best.

Actually, since that time I started watching Nikkei CNBC, which is a Japanese language channel about Japanese stocks. In order to learn how to talk stocks in Japanese. The have a segment that airs every night called "Derivatives Corner" that I enjoy. Although it is primarily about commodities.

The other day I cut the cord on my cable box and now I can brag of being TV free.

Just the price action, ma'am.

My journey to becoming a disciplined trader in 2016 has been going well. I have been sticking with it.

As I posted before, I got a trading buddy to help me manage risk. Every morning I write a market report on my activities from the night before. I have rules on trade size and procedures and penalties. I have yet to trigger a penalty in 2016. I am sorely tempted to but I don't.

I am trading off checklists now. Every trade gets a checklist and a screen cap of the setup. I have the checklists set up as keyboard short cuts, such as "options" or "volatility" and so forth. I just put the checklists right into my daily journal in Day One, then review later by searching on the #trade hashtag.

Now I am in the process of getting more systematic about the bookkeeping end of the business. I am allergic to bookkeeping, but I don't give a fuck, if I have to do bookkeeping and a bunch of other stuff I hate in order to be able to succeed at this, then so be it.

If I have to crawl in the mud for kilometers IDGAF I am gonna do it.

Reply With Quote
The following user says Thank You to suko for this post:
 
  #224 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received

I need to make a very embarrassing confession, about fat finger mistakes.

One of the items in my checklists now is to re-check the order after a fiill to catch fat finger mistakes.

When I first started trading and I heard some guy on Youtube tell the story about an ultra scary fat finger mistake, I thought ďNot me, how could he be so stupid, thatís not gonna happen to me.Ē

Well, it did happen to me. Last year. I ended up being short 1000 shares of XIV when I actually intended to be long. By the time I discovered the mistake, which was a week later, XIV had shot up (this was at the start of that epic run last spring) and the position was already seriously underwater. My zero discipline on cutting losses early resulted in me rationalizing staying in the trade, figuring that Vol would have to perk up pretty soon.

This trade turned into an epic loss when I finally capitulated. And of course, capitulation occurred just before Vol picked up over the Greek thing in 2015. My original trade idea, that Vol would pick up, was quite correct, but I got myself squeezed out of it.

This resulted in me setting another trading rule that "fat finger trades must be closed upon discovery, regardless of whether they are losers or winners." On principle. Itís a bad trade.

So back to Nikkei CNBC for a moment. When you watch Japanese stocks live on their screens you will notice a strange thing, that up is represented by red and down by green. So the ticker at the bottom of the screen is red and green except the colors mean the opposite of what the mean in the English speaking world. (dunno if this is the same for other Asian exchanges). Why is this the case. Dunno, the Japanese are just bassackwards about everything, that's the way they are.

Same color coding bassackwardsness goes for the order placement interface. The SELL button in green on the *left* side and the BUY button in red on the *right* side on the SBI Japanese mobile app, which I usually use for trading. The buttons clearly say ďbuyĒ and ďsellĒ in Chinese characters, but reflecting back, I think my brain reacted to the color and blocked out what was written on the buttons. The inverse is true for the IB Japanese mobile app.

Anyway, I made this same mistake again and again, and going over my records for the year I could not figure out why I had kept doing it.

Until I did the same thing the other day, and caught myself in the act. Some sort of cognitive dissonance created by user interfaces.

I think that readers of this forum, who are mostly daytraders, probably wonder why how I could be so unfamiliar with my user interface for this problem to still be with me after all this time. And the answer is simple, I do not get enough practice.

If you are swing trading once a month or once in several months, you just do not get enough practice.

With my options spread trading I have developed very good interface skills. I am pretty good at my options platform, TOS. That is because I try to make at least one trade per day. The more the better.

Mechanics.

Now I need to get work on this with my swing trading. I just need practice, so I have set the rule that I am going to daytrade the first 90 minutes of the NY session each night. This is very painful for me, because I am a very early riser and the market opens at 10:30 at night here, but IDGAF I am gonna do it. I need screentime and lots of it.

Reply With Quote
 
  #225 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received

Another painful lesson I have had to learn the hard way, is about options assignment.

I had a couple of one lot call spreads with a that got assigned back in March. The minute they got assigned I thought of exercising. The trade thesis behind both of them was weak, they are POS names, and anyway I did not want to own the stocks. But I delayed. And I ended up holding shares that I did not want, with no stop on them and then the losses ballooned. Now I am sitting on losses much larger than the original defined loss on the trades, and I am stuck in the same old same old slope of hope mentality, dammit. So I have to bite the bullet now and cut these losses, which will wipe out a month's worth of profits or more.

So, add a new rule to the list, If I get assigned I exercise immediately.

Reply With Quote
 
  #226 (permalink)
Trading Apprentice
Richmond Virginia
 
Futures Experience: Beginner
Platform: Thinkorswim
Favorite Futures: ES
 
Posts: 6 since Apr 2016
Thanks: 0 given, 1 received

Fat fingers and assignments

Haha don't feel bad I also double check now. If it was so uncommon there wouldn't be a saying for it.
As for the call assignment were you -100 shares? I'm a little confused on that. Anyway, I have also learned that the hard way. Around the middle of last summer I got this genius idea that I was going to sell a 74 put on XLE thinking it was definitely going to act as support. Needless to say I got hammered on that one and was sitting on quite a loss at one point. The only reason I held it was because it was a sector. I would've never held a company stock through all of that. At the end of the day though it would've been better to take the loss and buy in lower if I was really that determined to go long.

Reply With Quote
 
  #227 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received


Kurt from Rva View Post
Haha don't feel bad I also double check now. If it was so uncommon there wouldn't be a saying for it.
As for the call assignment were you -100 shares? I'm a little confused on that. Anyway, I have also learned that the hard way. Around the middle of last summer I got this genius idea that I was going to sell a 74 put on XLE thinking it was definitely going to act as support. Needless to say I got hammered on that one and was sitting on quite a loss at one point. The only reason I held it was because it was a sector. I would've never held a company stock through all of that. At the end of the day though it would've been better to take the loss and buy in lower if I was really that determined to go long.

I double check expiration and also for event risk. Even so, occasionally one slips through on an unintended expiration.

I had a credit spread on HYG based on a kind of vague thesis that was not supported by the odds. So, I got assigned short 100 HYG. And then oil exploded upward.

I had another fat finger mistake today, due to a different reason. Executed the right closing trade as per signal with good timing in the wrong account. This time the result was up slightly. I had the conversation with my risk manager in the morning after, and was wavering over whether to leave the trade on.

Then I decided to just follow my rules and close the trade, winner or loser.

Reply With Quote
 
  #228 (permalink)
Trading Apprentice
Richmond Virginia
 
Futures Experience: Beginner
Platform: Thinkorswim
Favorite Futures: ES
 
Posts: 6 since Apr 2016
Thanks: 0 given, 1 received

Ha I have made that one too. It's a good idea closing the trade even if it's a winner of it wasn't done by plan though. Good discipline for that!

Reply With Quote
 
  #229 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received

I did a little review of the first five months of the year for my options trading.

On a $15K account, 76 wins 46 losses and up about $200, before fees.

These are all defined credit trades, condors and spreads.

I am actually encouraged by this result.

It shows that I am beginning to get the hang of it, and that I can make money despite making a lot of stupid beginner options trader mistakes and getting my market direction wrong. And despite having a low volatility environment for much of the time period.

OTOH, as for the volatility cash trading, in the two small accounts I have done 61.5% YOY.

This is exactly the kind of performance I have been looking for since I started trading. Now that I have seen with my own eyes, I feel encouraged for the first time to really bear down and become a hardcore volatility trader. I've had to pay alot of dues, and more to come, because UVXY is a hard taskmaster, but I am willing to do what it takes.

Furthermore, although I did not realize it at first, there is a good bit of synergy between trading options and cash products for volatility. And now I have a good bit of experience in trading both. I know the common sensical setups that work and more importantly, I know what not to do.

Reply With Quote
The following 2 users say Thank You to suko for this post:
 
  #230 (permalink)
Market Wizard
Kyoto, Japan
 
Futures Experience: Intermediate
Platform: TW TOS LiveVol
Broker/Data: TD, TW, IB, Saxo
Favorite Futures: UVXY, VXX, VIX, /VX
 
suko's Avatar
 
Posts: 990 since Oct 2013
Thanks: 703 given, 775 received

On the Road to Discipline


I was just reading back over this journal of my first three years of trading, because I wanted to recall who it was that had kicked my ass over my shotgun marriage to USLV.

It was user SMCJB.

Belated thanks to SMCJB for coming back and repeatedly kicking my ass to get me on the road toward Discipline that I am on now.

That was just what I needed.

This journal has been retired, and now I am continuing it as Lady Vol's Primer for Young Geniuses, which is the story of my journey into the belly of the beast to do battle with UVXY, VXX, VIX, /VX and all of their lesser cousins, using options and someday, I hope, futures. This journal is in the elite section, so if you are not an elite member, you should be, because Volatility is the asset class to rule all asset classes, and this is going the best journal about trading volatility products in the universe.

https://futures.io/elite-trading-journals/39589-lady-vol-s-primer-trading-volatility-journal.html

So, this is a Big Thank! you to all of the people who have read, given "Thanks", and most of all commented critically on this journal. It has been a big help in sustaining me over three years and propelling me forward on this surprisingly difficult journey. At first I thought this was going to be easy.


Last edited by suko; October 26th, 2016 at 01:38 AM.
Reply With Quote
The following user says Thank You to suko for this post:

Reply



futures io > > > It ainít called catching, its called fishing

Thread Tools Search this Thread
Search this Thread:

Advanced Search



Upcoming Webinars and Events (4:30PM ET unless noted)

Linda Bradford Raschke: Reading The Tape

Elite only

Adam Grimes: TBA

Elite only

NinjaTrader: TBA

January

Ran Aroussi: TBA

Elite only
     

Similar Threads
Thread Thread Starter Forum Replies Last Post
Ducman's second Strategy called 'Riven' Ducman Elite Automated NinjaTrader Trading 26 January 4th, 2017 03:02 PM
Ducman's first Strategy called 'Myst' Ducman Elite Automated NinjaTrader Trading 642 June 13th, 2016 08:24 AM
OnBarUpdate not called for indicator within Stragety corbeste NinjaTrader Programming 2 August 13th, 2013 02:56 AM
anyone know what this ninjatrader indicator is called? tortoise NinjaTrader 3 May 7th, 2013 02:16 PM
Jim Cramer Just Called Jamie Dimon A Loser kbit News and Current Events 2 June 13th, 2012 07:57 PM


All times are GMT -4. The time now is 08:38 PM.

Copyright © 2017 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
Page generated 2017-12-10 in 0.17 seconds with 20 queries on phoenix via your IP 54.83.122.227