May 27, 2008

Is it Wednesday yet?

Fairly low volume day so far and I had one trade in BCE, long off the 11:45 bar high that just didn't work out. Nice setup though.
Hopefully tomorrow brings better results.

10 comments:

greytrader said...

Off the 5 min chart ? I do not see it. There was a potential setup at 11:15 on the 15 but the next bar did not go 2 ticks above the high (35.21)

OONR7 said...

yeah, I see the confusion. However, I'm using the :15 OR for entries (even off the :05).

bl said...

Watch HSY wed am

TL said...

Hi 00nr7,

Nice trading blog! Been following your blog for a while. My 1st post though.

Generally, do you find exiting off the 5-min or 15-min timeframe yields better result?

TL

OONR7 said...

tl: thanks for chiming in... I think this blog is only as good as the feedback I get.

As for exiting... my current exit strategy is based off the :15 chart and how price interacts with the 5ema. With that being said I do look at the 5-min chart and if there's a strong/weak candle (depending on my position)... I may look into partialing out or exiting altogether. Really depends on how close is to my price target and/or support/resistance areas.

As a rule of thumb, if I'm very profitable in a trade I may take my exit cues from the 5-min, otherwise, I stick with the 15-min.

TL said...

Thanks a lot for the advice! Frankly, I find managing trades (taking new positions or planning for exit) off the 15-min is too much for me, so I'm really amazed that you actually trade off the 5-min. ^ ^

Anonymous said...

there is a saying amongst traders..the longevity of traders can be deduced by what time frame he trades in..

a trader on daily/1 -1/2hr time frame lasts a long time that a fly-by-night kinds working off a 5/3/heck even 1 min time frame LOL

OONR7 said...

anon: as absurd as the comment may appear at first (who are these traders that talk about this saying???)... it may actually make sense. The shorter timeframes require a lot of attention and you have to be quick to recognize patterns and entries. So, if your list if fairly long and you don't have a good plan of attack I think the issue of 'burnout' will certainly arise. Thrown in the absolute uncertainty of every trade's outcome and it's a lethal combination. Fortunately for me, I utilize alerts to notify me when price is near or at the ORH and THEN I start looking. There are a number of things you can do to cut out the 'craziness' of the faster timeframe and the most important is to have a very short watchlist. I also try to do this every day by eliminating the stocks that don't show the absolute be candles from the opening bell.
There's also a saying amongst traders that states most folks who post as 'anon' and delve out tidbits of trading info normally don't trade regularly themselves.

TL said...

The statement is too general. In actual practice, I think it really depends on what you trade and how many charts you are tracking. For example, if I'm only trading 1 instrument (ES), I think I can trade off the 1-min. On the other hand, if you trade it off the 30-min, you may not get enough opportunities. Of course, it also depends on how skillful the trader is and how much experience he has. Just my 2 cents.

OONR7 said...

tl: I agree on all points. Again... it all comes down to your watchlist. Find a way to drastically shorten your watchlist without eliminating the candidates most likely to make a good move and you'll at least have a fighting chance at being a good trader and possibly doing it for a living.