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<DIV><FONT color=#000000 size=2>Real Traders,</FONT></DIV>
<DIV><FONT color=#000000 size=2></FONT><FONT size=2>Thought I might send this
private e between myself and another member as an example of free and open
communication</FONT></DIV>
<DIV><FONT size=2>that I hope will continue on this site. I regard the thoughts
shared by each of the members as a </FONT></DIV>
<DIV><FONT size=2>precious gift. A gift that can be withdrawn at anytime
to the loss of all.</FONT></DIV>
<DIV><FONT size=2></FONT> </DIV>
<DIV><FONT size=2>Just an observation. Using proper restraint in carefully
wording what you say</FONT></DIV>
<DIV><FONT size=2> <U>when you direct comments to another </U><U>member
</U></FONT><FONT size=2>keeps the lines of communication open. </FONT></DIV>
<DIV><FONT size=2> Lack of restaint <U>kills </U>it off. </FONT></DIV>
<DIV><FONT size=2>I think you younger guys call it spamming.</FONT></DIV>
<DIV><FONT size=2></FONT><FONT color=#000000 size=2>G</FONT></DIV>
<DIV> </DIV>
<DIV> </DIV>
<DIV>>George--<BR>><BR>> This has to been on of
the most frustrating markets. Again, until<BR>>this thing breaks out
one way or the other, we are really in "no man's"<BR>>land.
It does seem that on a fundamental basis, Asia will have to
effect<BR>>this market at some point, but who knows. Anyway, I believe
we can begin<BR>>to make some rules relative to our trading: 1. Trade with
the trend only,<BR>>unless significant evidence exists that a
"major" change in trend is about<BR>>to take place. 2.
Take off 1/2 the position at significant<BR>>support/resistance areas - trade
two contracts or sell 1/2 the position if<BR>>in a stock. 3. Place stops in
advance at a position not likely to be taken<BR>>out by noise - adjust stops
accordingly as the market move in your<BR>>direction. What do you
think?<BR>><BR>> As I told you, I had to go to Landcaster
yesterday for a funeral, but<BR>>what a day. Glad we covered without
taking a loss. I was a little<BR>>surprised to see you took a position
in sugar. I hope it works out. I am<BR>>sure you have some
technical evidence for taking this position, but I<BR>>don't see it in my
work.<BR>><BR>> I took a look at Minor's work and he suggested
the beans should bottom<BR>>in a wave 5 in the 608 area. This may prove
to be a good call, but seems<BR>>a little early. I hope it works out
for you. I am becoming more and more<BR>>impressed with this guy.
He also said the bonds should temporarily put in<BR>>a top, which they
did. Also, he had a good call in cotton. I believe I<BR>>am going
to take this guy seriously - that he has something to offer.
I<BR>>believe people get frustrated with him since a portion of his calls
don't<BR>>work out, but that's to be expected. What I don't know is how
many calls<BR>>he makes and if he just cherry picks for his web site
calls.</DIV>
<DIV> </DIV>
<DIV>Loren,<BR>My friend Mark lost $5,000 and reversed to long. He calls and is
under the surface<BR>blaming me. I had to remind him that he got in just before
the market closed<BR>down 207 dow pts because he trades mutual funds and can
only move end of day and<BR>because he remembered what a psychic said about
"June being a bearish month"<BR>and that I talked to him after he was
already in.<BR>I mention this only because it illustrates that wave 4
corrections are<BR>frustrating and that the human mind rationalizes and tries to
blame the<BR>broker, friend, dog etc. everyone but the person who made the
trade.<BR>While Mark is a longtime friend he has not put in the time that you
and I<BR>have on technical analysis. This is why having a free and open
discussion of<BR>ideas with you has been at least from my perspective extremely
rewarding and<BR>I am confident over time will be quite profitable. At least we
will trade to our best ablility.</DIV>
<DIV><BR>The idea of trading rules is without saying essential if one is to
make<BR>trading a business. I am still wrestling with letting profits run
versus<BR>profit taking stops. Gann does talk about using stops a lot. I just
never<BR>paid much attention. For example I saw a head and shoulders develop in
the<BR>15 minute chart at 1078 on 6/16. But the flaw is my falling in love with
a<BR>position or some other psychological handicap(bearish bias?). In other
words<BR>I had a definite indication of change in trend but didn't act. I want
to use<BR>end of day data to trade but the market is insisting on 15 minute
bar<BR>charts. Guess who gets their way? In a word a man must take what the
market<BR>gives. Mark said he can't hold a position for more than two days.
Well<BR>that's what the market is giving right now so we go with that.<BR>As far
as the sugar position goes I realize that it is in a bear market but<BR>price is
square with time and we are close to a 7 year double bottom (7.45<BR>cents) See
attached chart.<BR>As far as Miner's work goes I have the book and am focusing
in. Your<BR>interest has renewed mine. I like the idea of external retracements
and<BR>alternate price projections. For example: Oct Sugar low=7.50 high=8.00
(.50<BR>cent swing) then corrected to 7.76 then on to 8.26 (or .50 swing). I saw
it on<BR>the 5 minute bars but am not ready to trade with that time horizon. But
if<BR>that's all the market is giving...We will see how she unfolds.<BR>Makes
you long for a mechanical system. Miner says he challenged Club 3000<BR>members
over a period of a year to show evidence of a single winning<BR>mechanical
system. Said evidence was never produced.<BR>George<BR></DIV></BODY></HTML>
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