Here’s How I Try To Catch The Market Tsunamis
The DJIA
Finally the system nailed the move!  After a
week of false entries and quick stop out system churn, the system caught a nice
wave to the downside. The trade was entered at 10573, after the channel line of
10577 was violated and I am holding into the open today with profits. I manage
the profitable system trades in a fluid and somewhat discretionary manner. As
you know, my goal is to catch the tsunamis of the market, therefore I attempt to
stay in the trade (on the surf board, so to speak) as long as possible. This
may even mean giving up a chunk of the profits in this pursuit. I set a hard
wide stop to keep the trade profitable, currently it is 10563. If I am stopped
out at this level, it becomes the lower channel line for today, and I will
re-enter should it be broken on the downside. I may exit the trade before the
hard stop is hit, this is where discretion comes into play. I utilize various
technical price factors and lean heavily on intermarket analysis ( meaning the
individual components of the DJIA) to assist in exiting. Remember, my entries
are systematic, and once profitable, the exits are discretionary to a point.Â
Let’s go do what happens!
Oil
Crude is still sitting in the channel of
64.97 and 67.13. I am maintaining my short bias and awaiting confirmation to
enter. OPEC is reporting a downward revision in world oil demand growth. It is
a very slight downward change, but positive for the oil bears.
Flat/short bias
US Dollar
The dollar is continuing to gain strength
against the euro.  I am still not certain as to direction and will stay flat
until a workable strategy emerges. Flat
US Equities
(
GOOG |
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This one stayed in a tight and similar range over the last 2 days. I am flat
and simply monitoring at this time. Flat
(
X |
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out of this one with a little profit yesterday. Will be replacing with new pick
today. Removing
(
EBAY |
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The shorts were triggered yesterday at 40.77 and I am currently holding with
profits. Short/Profitable
(
PLMD |
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Polymedica touched our go short level yesterday but did not violate it by the
parameters. Staying flat here, awaiting signal. Flat
Best wishes in the market!
Dave G
David S. Goodboy (marketsurfer) has been
trading professionally for over 14 years. Mr. Goodboy trades ETF’s, stocks,
index futures, energy futures and options. His primary focus is a unique
multi-time frame index trading system based on a combination of time/price
cyclical studies and statistical models. David was a trader/partner with
Biltmore Capital, traded with an option arbitrage firm, and is currently in the
launch stages of IntrendX, a global multi-strategy fund.
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