YM day trading result for Jan 17, 2008: +$303

[][] Today is less volitile. I'm also using a higher contract count to filter out the noise. It's also because I found that I'm not quick trigger enough on fast times. I'm using 1200 contracts/bar at the moment. It seems to be good. I'm also a lot more disciplined today. Not over trading and sticking to my strategy. At the very least, my recent loses have given me valuable experiences in day trading. Also, the floor pivot points have been very reliable so far. The price seems to like to bounce around these levels or settle in a range near them. Very useful in identifying breakouts or exhaustions.

Here are some changes I added to my day trading screen:

  1. Implemented my CCI and Stochastic strategy into a PaintBar with alarms
  2. Added Stochastic crossing of oversold or overbought as ShowMe with alarms
  3. Increased contracts/bar to 1200 contracts / bar for slower time frame
  4. Added trailing stop Auto Strategy to pull the trigger for me (but doesn't seem to be working)
  5. Decreased stop to 10 points on YM.
  6. Never chase the price! It's ok to miss some opportunities.
  7. Only buy at the good end of the immediate trading range.
  8. Do chase the price with a trailing stop!
  9. New money management technique: once price started to move in favoured direction, move stop to 2 points ahead of entry price to cover costs and then trail it with the price with some margin.

#8 has been particularly useful today. I was wrong a couple of times in my entry but was able to breakeven because of it. Such that even being wrong wouldn't lose me money.

Update: the market is down a lot and it seems to be oversold. I got in a long position near the bottom (or so I thought). This could lose me \$50 if it keeps going down after this consolidation.

Update 2: I indeed did enter at near the bottom and my initial stopped of 10 pts (\$50) were never touched. Then the price just shot up to the resistance as expected. I gradually moved my stop to trail the price move. This trade played out as I have planned. I made a quick \$120 or so in the few minutes. I thought of reversing direction and go short too. But I didn't want to push for luck for the day. However, the price is now moving down as I have guessed. It might make a new low too. Oh well.

Here's a graph a few minutes after my last trade.

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[]: http://bp1.blogger.com/_Vlx60iTPx5s/R4-s9PY4uuI/AAAAAAAAAHk/6bblNJTEapQ/s1600-h/ym_day.jpg []: http://bp0.blogger.com/_Vlx60iTPx5s/R4-1U_Y4uvI/AAAAAAAAAHs/04kvKry2NkQ/s1600-h/ym_day2.jpg