and he said..... http://www.elitetrader.com/vb/showthread.php?s=&postid=924621#post924621 3) still holding long position from 10913. Let's see what happens after this Fed meeting/decision. As I said before, my system shows a higher value (above 11000) by the 2nd week of January. long live blackguard.
Too bad he got shook out. Buy the dips, all the dips. It's a bull market y'know. Btw, what the heck system is he using to look that far ahead? Gann, cycle stuff? anyone care to comment.
100% correct.. lesson over.. ball game over.... theeeee MRc wins.. except take that chart back to Jan 2005 and you really have something$$$$
OK, I will play, let's see, but your chart has a day problem (Monday disappeared), so let's use this one instead: http://quotes.ino.com/chart/?s=CBOT_YM.H06.E&v=i Sunday midnigh to Monday 8 am -10 points (oups, a loss) Monday midnight to Tuesday 5:30 am -20 (damn, another loss) Tuesday midnigh to Wendesday 5 am +30 (yippie!!!) but by 7 am it falls back to +5 So we have overall a possible 25 points loss, unless you expect us to believe that you were up all night and locked in that 30 points gain, in that case congratulations and you broke even! Here is my point: If you can not leave alone your entry from midnight to until at least 7 am, the whole thing is worthless. If you neeed constant monitoring of your position during the night, you probably have a night job at a security firm. Most people sleep in those hours. And better traders can make money in normal hours, and they have a life instead of watching a monitor 24/7. Trading should be a TOOL to a better life and not the GOAL!!! As the statistics and charts have proved, on the long run there is no advantage to be long overnight. In case you would say: "but I kept the position until 9 am-11am-1pm", I say, what is the point of going long 7 hours early, if I can achieve the same or better results by going long at 7 am? Maybe we should call it the 7 am rally! Oh yeah, I have put that mindless cheerboy Eqtr on ignore, communication with him was worthless. Now, I don't mind if anyone is playing the midnight rally game, just please don't confuse newbies with it. Facts are stubborn things....
First off you are making a lot of assumptions. You assume a 10 point stop loss. Who said that is what you use playing MRC ? Since you assume that the trader sells at the exact low lets say he buys at 12 every night. sun buys at 10998, sells at 11060 on monday. max drawdown was 10 points, +62 on the trade mon buys at 11020 sells at 11055 on tues max drawdown was 28 points + 35 on the trade tues buys at 11045 sells at 11080 on weds max drawdown was 15 points +35 on the trade You assume that you have to sell before the open. Where did you get that idea ? The premise of MRC is that if you buy in the night, you will be able to sell the next day at a higher price. Is that not what the chart you posted agrees with ? http://quotes.ino.com/chart/?s=CBOT_YM.H06.E&v=i In 1 year of trading YM, I have seen MRC work more often than not. Hell I have personally lost money trying to short it. It generally works better when the DOW closes on LOD and when the futures open gapped down. IS it 100 % ? no. Is anything in trading ? My point is that MRC works more often than not if you know how to play it.