I looked at Perrys method, and watched his webinar about 6 times...and even tried his method...but it wasnt a good fit for me. I figured that out pretty quick.
Al Brooks is much better for me. his rtechnique is an analytical approach, and simple...1 chart, and EMA.
He has a price action website, thats mostly free. there is a chatroom that has Al in it that people can pay to join, but I dont feel the need. everything i do I read in his first book Price Action. Actually, in the first chapter, the glossary and chapter 15, taking the best trades. No doubt about it, it left me scratching my head in more than 1 place, and its not a quick read.
But teh thing Perry and Al have is...confidence. They dont say this could be, or maybe...they are all in when they get their setup, without hesitaion. Another thing that Al taught me...close is close enough...if you wait for perfect alignment, forget it...and that really struck a chord with me.
Hitting a shot in golf is the same thing. Jack Niclaus never hit a shot he dint hit perfectly in his head first. He visualized the shot, the shape of it, the trajectory, where it would land teh roll, everything about it. And if he didnt get a clear picture of it in his minds eye, he wouldnt take the shot, he would back away, and start over. He could go through the mental imagery very quickly, because he knew what to look for, based on his experience in practiceing and playing that way. Imagine, for a moment, going to the practice range and ever shot you hit, evey chip you took, every putt you practiced, you went through a complete setup like that...sure, instead of hitting 150 balls you may only hit 50, but, what would be better for your game overall?
How powerful a technique is that...Imagine polisihing your trading to the point where you can visulaize all the steps, from identifying the setup, the entry, the trade management, the exit in a blink before your placed the trade. I think, if I could do that, it would be very good.
But, golf is a game of misses. No one hits the ball perfectly everytime...but its how one manages the misses that makes the difference.
And one thing that helped enjoyment of the game was that I learned to forgive myself when i hit a bad shot. I used to call myself names (idiot, ah c'mon vance, and worse) but then I realized...I was the one that hit the shot...by not respecting myself, i was calling into question my own athletisim, my own intelligence, and bringing repproach upon all the teachers and others that encouraged me along the way, in my quest to become a better golfer. I dont do that now, and that allowed me to leap forward in my development as a player.
So, I try not to be negative about my trading. I think it helps me, and that is really all that matters.
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the jack niclaus is a good analogy.From seeing these setups over and over, we look for things to setup a certain way.Theyre not always perfect, and over time , we adjust, but the goal is the same.Get a decent entry, that is logical.Once the trade is done, we enter a new realm...how to manage.This imo will always be a work in progress.One day i go for 10 ticks, and the market gives more.The next day, i go for 16, and the market gives 10.Its not about perfect entries, or perfect trade management anymore.At this point, its about staying with something and seeing at the end of the month what we get.
i sometimes think, to judge what the market should give, just look at the ranges for the day.Then, we get a great entry, take 10, and the market gives 50.So what does it all mean? I believe overtime, if we work hard enough, and stay subjective, the answers will be realized.By that time, we will be wondering about othr stuff.I can say, that other people , that are scalpers, generally shoot for 10 to 20 ticks.Perry is different.At this point, im not going for 4 ticks.And, i will tyrade 1 contract, until i earn the right to trade 2, and so on.
Another trader who iworked with, said, if you get 2 good days a week, you can be ok....just dont get killed the other 3.
Staying positive, well, that is just a healthy practice in general.It sounds like your golf game has put you in the correct zone to understand,that we have to have the discipline and self control, to execute correctly.Getting angry/frustrated/bored ....whatever..the market loves when we do that...because we give up $ alot easier when we lose control.
That was a bit of a rant ...but, these are all things that ive struggled with in the past...and present.....one day at a time.
Today, i got caught up in that crap after the open, but there were some bright spots...the 5 min was probably pretty choppy...well, tomorrows another day!
have a good one,bobby
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the cl exploded just before the dow open.I am going to start keeping track of the 1 min entries, w/o a 4 range consideration.I will also continue with the 4 range, if the entries make sense.
A and B are trades , thate were solely on the 1 min.
Risk to swing trade potential stopped at -8
A 21 16 no
B 16 15 no
Being that, i dont feel comfortable with these types of risk, i want to document what would typically happen, if i would take an 8 tick risk, regardless.This, i have to keep track of seperately.
The whole idea of selling below the 1 min close, is we are selling weakness.The issue, is , the price i will get.The farther away from the swing the entry, the more expensive the price.
This really goes to the core of what my biggest roadblock has been.I hate big stops.It is so ingrained in me, i know it more than anything else.If the swing is 10 or 11 tick risk, i can do that, but i dont feel comfortable with a bigger stop
Ok, to stay on point, above, i have 2 trades, they both had good profit potential, they both didnt hit an 8 tick sl, A would be +14 0r 16, B would be +10.I took neither, because the risk to the swing was too much, and the 4 range didnt give me an entry.
Last edited by bobarian; January 12th, 2012 at 12:33 PM.
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I will say this about risk. I too went down the road of not wanting to take larger risks on say a one min time frame. That led me down the road of smaller and smaller range charts in an effort to define with 100% certainty what my risk was. Can I say this about that.....it was death by a thousand cuts. I drove myself nuts over this issue. Trying to avoid risk is impossible. Minimize yes, avoid never. It never goes away, you just have to accept the risk.
The proper way to deal with risk is this.....Define the risk you are willing to take. If its 10 ticks, then you can never take a trade where the CORRECT stop placement is further than ten ticks. On CL or even most instruments, thats gonna be hard. To be sure, they are available, just not all the time.
However, if you see that ten ticks is not enough and good trades set up with 15-20 tick risk and you see that these are often winners, then you need to become comfortable with the fact that a one min chart may require more than a 10 tick stop. You can tighten up once price goes your way but to take a trade with ten ticks of stop when the trade really requires 20 is foolish. You may as well send me a check instead. I'll feel better about it and you won't beat yourself up over it as much.
More seriously though, you gotta get over the tiny risk thing. If you can't trade CL due to the actual dollar amount of the risk, you should switch to micro forex or may to YM or NQ. At least you can place the stop in the right place without freaking out about the money. The only other way is to size down to perhaps a 30 second chart and try to get in even earlier....
Best to just realize that risk is part of the equation, accept it and adjust to the changing nature of risk.
Simplicity is the ultimate sophistication, Leonardo da Vinci
Most people chose unhappiness over uncertainty, Tim Ferris
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I agree with your points.I think in my evaluations of where to take trades, i need to just start focussing on hh/hl etc.What im seeing, in my review, is im getting in too far from the swing pivots.This is a symptom, i believe, of having so many lines and indicators for so long.However, no excuses here.I need to start focussing on price action on the 1 min, and trying to trade with the trend with the swings.
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+15 ticks net
bothe trades went to +16 with little pb.
**********march contract at 1/3 of total vol, but feb vol was decent.I passed on the 1st trade, as i had just walked in the door.We place alot of emphasis on the close price of the candles, and i have a line on close ch, which is just for visual.The candle chart obviously gives the close also, but the line ch helps me see where the price action is closing, and i like that.The breakdown trade at 10:20 ish is something the line ch pointed out.Back to basics..no more 4 range.Also, the 3 min line ch was in line for these trades as well.Gonna pack it in, early.Havent been feeling that great, and im also trying to cut back on the coffee.
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