Going With The 60min Flow!!!

[columbus]

Most of the people are saying that they would have taken the long position like Saint did yesterday but real test comes when we have to take this decision ourselves & what would be our reaction if this trade goes against us, that too when Saint is not there to guide.

Something to think about

Generally when we are LONG and if market loses ground
then we add more futures to AVERAGE, instead of averaging
,just SHORT futures of another month and after some time you
AVERAGE it out ,by adding futures of current month.I feel
this is fetching.

PLEASE NOTE THAT BUYING AND SELLING FUTURES OF THE
SAME MONTH MEANS "SQUARING OFF" ,SO TAKE CARE.

 

[rakeshluthra430]

Rakesh is not sure about how to use A...

Thanks

...if only someone can drill it down my head...that how should I add when my stops remain where they were at time of taking the initial position.....without 'anticipating' and without 'dangerously increasing' my overall risk in a position.

If anyone has an answer, please do provide.

Thanks,
Rakesh

 

[sikandar]

Hi
If gaps are so kind to us, then all is going to be well.
sikandar

 

[Prabhjeet]

Rakesh I will give an answer that would be rather controversial and most of the people should not use it. I think we can sometimes add to our position as soon as we find our new stoploss as per pivots is in place that too if risk is tolerable to our portfolio, I usually avoid adding when the stoploss is same and I get a new add trigger

 

[Prabhjeet]

Generally when we are LONG and if market loses ground
then we add more futures to AVERAGE, instead of averaging
,just SHORT futures of another month and after some time you
AVERAGE it out ,by adding futures of current month.I feel
this is fetching.

PLEASE NOTE THAT BUYING AND SELLING FUTURES OF THE
SAME MONTH MEANS "SQUARING OFF" ,SO TAKE CARE.

What, I sell I buy than I average, who am I , totally lost

 

[Prabhjeet]

Thanks NC!!! There is no clear cut conclusion, its all about a traders risk profile!!!
Both "A" and "B" are excellent!!! Frankly there is no money management in "B"!!!
I am trying to migrate to to "A" but still hesitating just as Rakesh, becoz I am still nor comfortable adding without the SL moving in our direction. Need to analyse past data to reach a conclusion!!! Till now my view is tilted towards "B" only!!!
More over as I an still only trading 2 lots , it will be a couple of months more when i graduate to 4 lots and by then i shall be prepared with my analysis of historical data to decide whether to remain B or change to A!!!!

You are confusing your 'A' & 'B' rk, I think you are currently trading the way A does and want to switch to B but in your above post you have mentioned otherway round

 

[Prabhjeet]

Prabhjeet,
Please note that the difference between "A" and "B" is not 1:4!!!

In the trades cited it is just :
156:284
and
1028 : 1452

But if the trade does not move in our direction and ends in a loss it shall always be 1:4 , with "B" loosing 4 times that of "A"

Yes RK, its not 1/4 for these trades but I request you to check the system with and without adds for ABAN since last 4 months, you will know what I mean

 

[Smart_trade]

Generally when we are LONG and if market loses ground
then we add more futures to AVERAGE, instead of averaging
,just SHORT futures of another month and after some time you
AVERAGE it out ,by adding futures of current month.I feel
this is fetching.

PLEASE NOTE THAT BUYING AND SELLING FUTURES OF THE
SAME MONTH MEANS "SQUARING OFF" ,SO TAKE CARE.

If we are long and the market goes against us we should never average by buying more.We stay put till our stoploss is reached and get out of our long position if the stoploss is hit. Shorting future of another month and then buying current month future ? Sounds like Calender Spreads using futures !!! Not sure how it will help.

Smart_trade

 

[Sunil]

Lol what you guys even doing ? nice way to get more reputation points.

holla Czar nice to have you posting here.

Ankit

well, czar is the official ambassador here on behalf of our "Asish Da's" team...

 

[Sunil]

Rakesh I will give an answer that would be rather controversial and most of the people should not use it. I think we can sometimes add to our position as soon as we find our new stoploss as per pivots is in place that too if risk is tolerable to our portfolio, I usually avoid adding when the stoploss is same and I get a new add trigger

BINGO..!!
i was thinking of the same solution while going through the discussions...
(so, in effect, one may be doing ADD2 and skipping ADD1 in process... if a new stop does not come before ADD1)

BUT, IT'S SUBJECTIVE & ABSOLUTELY AGAINST THIS SYSTEM SETUP...