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Wednesday, July 30, 2014

"Impulse" study with Renko Bars

Okay, I'm still not yet in the groove of this Renko bar test on futures. I didn't like the 2-bar entry rule, as often the chart does an abrubt turn around after two bars. Sort of the modus when it goes into consolidation, 2 red, 2 green, 2 red, etc. But to wait for three bars seems to put me too late. Of course my other indicators help, but the Renko bothered me. Just a little TOO simple.

I pondered this, and remembered an indicator I put on my candle charts called "Impulse." I didn't know if it would work with Renko or not, but figured I'd give it a try. THAT way, a "blue" bar would not be "counted" in my 2-bar trigger.

This from Think or Swim:

The Impulse study is a bar coloring system based on two indicators: EMA and MACD Histogram; for MACD Histogram, values (12, 26, 9) are used as input parameters. A bar is painted green if both MACD and EMA values are higher than those of the previous bar. A bar is painted red if both MACD and EMA values are lower than those of the previous bar. A bar is painted blue if neither of the two conditions is fulfilled.

Green and red sections of the colored plot can be considered bullish and bearish segments of the indicator, respectively; blue sections are deemed neutral. A Buy signal occurs when the price is in long-term uptrend (usage of 65 period EMA for detection is suggested), and the Impulse turns bullish on the intermediate trend. The Sell signal is suggested when the price is in long-term downtrend, and the Impulse turns bearish on intermediate trend.


So how does it look?



As you can see, it informs the trader with a little more information, when data is not strictly bear or bull, but a shade of blue!

It's not the end-all, be-all information, as you can see, sometimes it doesn't help. But I like that it gives a pause sometimes when it's needed.

##

Monday, July 28, 2014

Day Trading Crude Oil with Renko Bars

Okay, this is Day 1 of the new papermoney tests on sweet crude. Renko bars! Or Bricks, as I prefer to call them. Japanese "renko" means "brick."

This is a learning process. Totally different than the day trading I've been doing up until now.

First of all, it takes a lot of patience to wait for the specific entry and exit points. No more hopping around and moving stops and moving targets. Uh uh. This is a system. And I'm not used to being glued to the screen to watch for the changes. So I've missed quite a few on this, my first morning, of Renko.

I'm also at exactly breakeven, NO profits, NO losses, after 8 trades this morning. I won't even put up my cash/sweeps account because I made too many timing errors to even count this as a good test. But it takes a little getting used to. So maybe my next trading session will be more mechanical.

At any rate, I think I might like this system. Time will tell. And I need to get my bricks in order.

Sunday, July 27, 2014

Renko Bars for Day Trading Futures

As many of you know, I am on the search for a clear, clean way to trade sweet crude oil futures with a small trading fund. So far, I have not hit on the perfect setup for me. But I am not deterred. I keep investigating new things, and want to share them, as I do. (it does NOT mean I know any more than you do about it, but just keeping the trader buddy attitude, okay?)

I LOVE trading. I think I love learning even more than trading sometimes. One of our readers shared that he uses Renko Bars (instead of candles) on his charts at Ninja Trader brokers. I had never heard of this before, and with some help from another smart reader, I was able to find Renko bars on Think or Swim, and put them on my Active Trader chart.

What do Renko Bars look like?

They say a picture is worth 1,000 words, so here's what they look like. Sort of like "bricks." So, in this setup, each bar is 5 ticks, on a 2 day chart.





This is five minutes on a 2 day chart, using candles.

Okay, so what do we notice about these charts?

  • First of all, the NOISE of the candle chart is vastly reduced by the Renko bricks.
  • There are no wicks (and some people will not like that at all);
  • The Renko is the cleanest looking chart of all. A pleasure to read.
  • Realize that Renko bricks are PRICE driven, and not TIME driven, which is why they look different, especially in the choppy sections. And because of this, you will not get Volume on this Renko chart, which is computed by time frames.

    How do Renko Bars work?

    As far as I can gather, from watching videos and listening to websites describe them, Renko bars just create a new brick whenever the price goes above or below the current brick. They will always be "touching shoulders" so to speak. If a brick represents prices, as an example, of 100.00 at the top, or 99.95 at the bottom, the minute the price goes to 100.01 or 99.96, a new brick will form, touching the former brick either below or above. It is clean, and it clear to the eye. Green bricks go up, red bricks go down. It is trend following, so to speak. There are many videos on the internet about Renko bars so if you're interested, you should check out the YouTube selections.

    What is the Trading System for Renko Bars?

    Well, there may be many, but here is one I found:

    Entry:
  • Go Long with Two green bricks in succession. Put your stop below the last red brick.
  • Go Short with Two red bricks in succession. Put your stop above the last green brick.

  • Exit:
  • Exit the Long with One red brick. UNLESS you have had 8 or more green bricks, then exit with 2 red bricks.
  • Exit the Short with One green brick. UNLESS you have had 8 or more red bricks, then exit with 2 green bricks.

  • Does it get any easier than this?

    Here's a video of a guy who computed a couple of months of Forex profits using this system, successfully. I found this fascinating!

    Backtesting Renko Bars Systems from forexreview.info.


    Am I Going to Trade Crude Oil with this simple 2-brick system?

    In a word, no. I personally would NEVER use only one trigger (in this case two Renko bars) to inform my trade. I personally am always going to add a MACD to my charting, and possibly some other indicators to give a confirmation. At the moment here is my Active Trader Chart. And I plan to put a 15 min. candle chart up for a bigger view of the market to use in coordination with this one.



    Okay, I admit that I'm not at all sure that these particular indicators are set at the right levels for Renko Bars. But you can see I have got confirmations galore that agree with the system. I have a 7 and 20 SMA on the chart.

  • MACD crossover and histogram
  • RSI Wilder direction
  • TTM Squeeze (a John Carter indicator) that seems to go off in accordance with the above.
  • and finally a price oscillator which I added just for the hell of it. Not really needed

  • In truth, I think I would rely MORE on my confirmation indicators than on the 2-brick system for actually placing a trade. Although I will be watching it closely on papermoney to see how it goes. Starting a whole new test now.

    How Do I Find Renko Bars on Think or Swim?

    Okay, thanks to J. for this information. I want to share it with other readers who use TOS platform.

    1. At the top of the chart,(next to "Style") there's a little wrench that opens up the Settings for each chart. Click on that and a "Chart Settings" box opens up.

    2. Go to the 3rd Tab, which says "Time Axis"

    3. On the left side, under "Aggregation Type", choose "Range" from the dropdown menu

    4. Under time interval, choose any time you want; I chose 2 days from the dropdown menu.

    5. Under Price Range, choose any range you want; I chose 5 ticks from the dropdown menu.

    6. Under Range Type, choose Renko Bars from the dropdown menu.

    I don't know what Phantom Bars are, so if someone else knows, please explain. I left that box unchecked. I checked everything else on the page, and put in 5 bars as the expansion area (at the end of the chart, to the right -- "blank space" so to speak). Hit Apply and OK to save everything and also save it with a chart name so you don't lose it.

    If you have war stories, or questions, or anything to add, please let us hear from you!

    Happy Trading!

    Wednesday, July 23, 2014

    Being Your Own Person

    I haven't been blogging much...in the "learning" mode again (for the umpteenth time in my trading life).

    I'm still reading John Carter's "Mastering the Trade" (it's like 400 pages, and not exactly something you rush through) but I'm also looking at internet videos on crude oil, and reading other blogs. What really strikes me is that there is a wealth of information out there, and there is also a plethora of bullsh*t! I've seen videos on not ever using technicals as well as videos on such technical depth that you'd need to be a mathematician to trade. I know people with four computer monitors and people who trade on their smart phones. So, you really, really have to find a way to stay true to yourself. And in this game, believe me, it ain't easy. No easy answers, and certainly no certainty.

    With a personality like my own, I have always tried to "fit in" -- always feeling the outsider. So, in trading, it was natural to me to try to emulate what other traders did. If they said they had success, then I wanted to do it that way. We're all looking for success in trading, so it's an easy pitfall. And I'm not saying that we can't learn from each other. BUT...

    Trading is like having a relationship. You can't just marry anyone and expect it to work. You have to find the rules, patterns, strategies, and discipline that fits YOU. Not your trading buddy or your mentor or your friend who used to be in the pit. I realized that I am way too quick to accept what others say without testing it on my own ground, by my own standards. I LIKE new things and I love learning, so it's easy for me to try things. But to embrace things without a strong foundation geared to MY personality, my own trading style and goals, is just plain silliness. But it's been said that I'm a silly woman. I need to stop that.



    So, for the moment, I'm going to spend a lot more time testing and questioning theory and strategy and a lot less time placing trades until I get some sense of "who I am" for real as a trader. This is not a minor matter. I am here to say I think it's one of the most important things we can do before we risk our money.

    ##

    Sunday, July 20, 2014

    A word about Stops!

    "By using hard stops and sticking to them, a smaller trader has a fighting chance of being able to do this for a living. If he can't at least do that, he will not make it as a trader. Period."

    John F. Carter - "Mastering the Trade"


    Saturday, July 19, 2014

    John Carter's "Fake Orgasm"

    I'm loving this book!

    When large funds (the "big boys") want to get out of a stock, they deliberately push the stock to new highs, sucking in the retail crowd (that would be us) and then they start unloading.

    By making the stock look great, when it isn't, institutions fool the masses. So it says in Mastering the Trade. Carter likes to call this a "fake orgasm" setup and if you look at the chart he supplied, you can see how the volume and the RSI indicator show the lie. While the price action is bullish, the other clues show a bearish divergence. This little chart makes it clearly obvious.

    Carter has
    Rules for Trading a Fake Orgasm setup.

    1. Look at stocks that are making new 52-week highs. (you have scan software on your platform that likely you need to learn if you don't use it already which will give you a list of said stocks at new highs.)

    2. Look for a bearish divergence using a 7-period RSI (relative strength index indicator).

    3. Look for a decrease in volume. (there is no susteained price movement without volume)

    4. Short the stock the day after it closes below the previous 52-week high. This would be your entry.

    5. Place a 25 cent MARKET stop above the all-time high price.

    6. To exit, use a close price above the high of the low day while above key support. If key support is broken, stay in the trade until there is a close above the high of the low hour on a 60 minute chart.

    7. Don't trail stops. The exit is the price reversal signal.

    Carter gives specific examples and says there will be a lot more information about this later in the book, but I wanted to share! Maybe he won't mind and it'll sell some books? Oh well, sue me. (never been known for my timidity or wisdom)

    Back to the Future

    Well, it's deja vu all over again. I'm back to scratch and a little gun shy.

    I'm going to finish reading my John Carter book before I start trading again. Also been exploring something called "TraderMinute" which is scary but very interesting!

    It's been a crazy month. I've edited a book and three short stories, and survived an office job that has "stress" tattooed into its desk top. I've been through major air conditioning repairs (in a very HOT Floridian summer climate) and picked about 1,000,000,000 burrs ("hitch hikers", "beggars' lice") off the curly poodle hair of my poor little dogs. To say nothing of my adventure into sweet crude oil!



    As Arnie would say....I'll be bacckkkkkkk!

    Thursday, July 17, 2014

    I'm Out!!

    Did you hear me?

    I'm OUT of that #$%^&*&()(*&^^%$ trade and I kept my skin, but barely.

    I shall be doing some intensive reading and research before I do that again.

    The reasuring thing is that I still have my principal to fight on another day. This is part of the learning process. Might not like it, but gotta learn it.

    Ended up with $4732.00 (plus the commissions to date $588.00) = $5,320.00 and I started with $5000 on June 26, 2014. So, hey! Now it's time to learn risk management in futures!

    After all, everything in life is a risk. Everything! So manage it!

    Happy Trading, all you psychopaths. (yes, John Carter has likened traders to being as crazy as psychopaths, so there you have it! I certainly can't argue!)

    Crude Oil is very Rude Oil...

    Well, this is a whole education in itself. I bought a contract at 103.35, right? That seems like light years ago, and a very lofty price indeed.

    Then it plummeted down to $98 or $99. I couldn't see clearly through the tears.

    Then I got a reminder of expiration (it was an August contract). So I rolled the trade, in a moment of panic. I had never rolled a future before, and assumed it was like options, but it's not quite like options. I lost $90 dollars (including $7 fees) in the roll. I thought I was making a like price to like price roll, but it ended up costing .41 cents on each leg. Plus the fee. So that's a mystery to me. I will call TOS and ask when I get a minute. (If I wasn't an idiot, I'd have printed out the confirmation box, and then I'd know, if I wasn't conscious enough to SEE at the time.)

    Then I saw that my contract had disappeared off the Active Trader software! Well, duh. My new September contract isn't active. (It just went active this morning, and like magic, it's returned to the ladder!)

    So another lesson....the August contract hasn't expired yet, but it STOPS TRADING before it expires. I didn't realize that little piece of info either. Maybe John Carter is going to explain all of this to me in language I can understand? (I'm loving the book, but barely into it.)

    THEN, as oil just kept falling, I got a margin call! My first margin call in all these years of trading. (well, I am new to futures, remember!?) I called TOS and was told that oil was turning so likely by tomorrow (and that would be today) the call would be made good by the rise in the price. And sure enough, my deficit disappeared. But that cost me a couple of gray hairs and a rapid heartbeat.

    Sooooo, this morning, we just hit $102, and I have a stop (finally) fixed at 101.86 which will keep me out of the horrid doo-doo of this past week, but still not give me any winning numbers. I'm willing to get out with my principal. But it kills me. If we keep going up, I'll move the stop up accordingly. But I have to go to the office job this afternoon, so I'm looking for some good news this morning.

    My $1000 winnings....(shrug). How Rude!

    Here's the Information box off my trading page: That top line is the line that went negative (612.24) and prompted a margin call. Whatever my Net Liq was at the time, minus this negative $600 didn't leave enough to cover my $3125.00 margin requirement, so that's how that works.


    and here we are...my stop's in place, and I have a sell order in for $102.69. I will move that up accordingly if we keep going higher. From my mouth to God's ears. (If She only cared about trading...)

    Wednesday, July 16, 2014

    A Caution ....from John Carter

    One reader suggested I read John Carter's book "Mastering the Trade" and I've just started it. I can tell you it resonates. I thought I'd share the things I find in it that inspire, terrify, or teach me. This from the Introduction. And I quote:

    "Trading is not about everyone holding hands, belting out the lyrics to John Lennon's Imagine, and making money together. The financial markets are truly the most democratic places on earth. It doesn't matter if a trader is male or female, white or black, American or Iraqi, Republican or Democrat. It's all based on skill.

    The only way to become a professional trader is to obtain an edge, a weapon that can separate you from the rest of the migrating sheep.



    That edge is gained by five key points (listed below) as well as the psychology of the trader taking the other side of the trade. Without this, as you enter the revolving door to the financial markets, filled with excitement and anticipation, the predators are merely licking their lips, because what they see is a slab of freshly cured meat, ripe for the eating. And feast they will."

  • The financial markets are naturally set up to take advantage of and prey upon human nature. As a result, markets initiate major intraday and swing moves with as few traders participating as possible. A trader who does not understand how this works is destined to lose money.
  • Traders can know more about a market than anyone else in the world, but if they apply the wrong methodology to their trading setups, they will lose money.
  • Traders can know more about an indicator or group of indicators than anyone else in the world, but if they apply the wrong methodology to those indicators, they will lose money.
  • Traders can know exactly what they are doing, but if they are trading the wrong market for their personality, they will lose money.
  • Traders can know exactly what they are doing, but if they apply the same strategies that they used to make themselves successful in other areas of their life, they will lose money.



  • And yes, I'm still waiting for oil to rally. I rolled my August long to September and it's grim. But since this is the last hurrah, I might as well sit it out. I have no alternative. As the man says, I will lose money if I do anything at the moment.

    P.S. Oh, just to make sure things don't get too dull, I just got a margin call on the account. They tell me I have until tomorrow before the hand of TOS smites me down.

    Tuesday, July 15, 2014

    Very Excellent Video on Trading Crude Oil

    Thanks for sending this to me, A.! I will be watching and rewatching it!

    Monday, July 14, 2014

    Nothing to Report...

    I'm in a holding pattern over Newark, and VERY cranky.

    Until oil rallies, I can't make any resolutions or promises.

    But that is not to say I'm not studying my tail feathers off. I never, ever, ever said I was an expert, did I?

    But determined, yes. And cranky.

    Let me just say this, in speaking with trader friends, I've got an interest in /TF, so if you have experience in the Russell, do tell!

    Friday, July 11, 2014

    Half Way There

    Well, oil bounced half way up to my Long, but still has another $400 thereabouts to go...the bouncing ball. Still, it always nicer when the losses are out of profits and NOT my principal.

    This weekend I am taking a serious look at my charts and see if I can get a trading plan down with some more specifics.I want entry and exit points with SOLID confirmation indicators. I'm afraid my nature is to be a bit of a cowboy and a little too reckless in life. When things are going well, it seems to be working, but then reality catches up.

    In my heart, I wanted to avoid technicals. As Sosnoff always says, technicals ONLY reflect the past. They do not actually show where the underlying is going to go. So to put your faith in technicals is a difficult thing for me. I don't invest in them readily. BUT given that the stock market is a crap shoot, you have to rely on SOME kind help (Tarot cards, anyone?) so it might behoove me to take technicals a little more seriously in this Futures game. I dunno. We'll see if it works, right?

    For starts, John Carter's book "Mastering the Trade" is en route from Amazon, and it's got a lot of futures trading in it, so there's a start. As I get through it, I'll share what I learn, if I think it's helpful to anyone else. And I hope you readers will continue to do the same here.

    I appreciate the feedback and would love to get an Oil Futures group together to Skype and swap information. bevjackson@gmail.com, if you're interested. Happy Trading (while I hunker down and wait to get the rest of the way to the top to sell that sucker!)

    Thursday, July 10, 2014

    Bad Day at Black Rock

    Well, I managed to get myself caught Long again in that nosedive yesterday. I can only say that my puny little contract at 103.35 may be my undoing. I'm already down ALL my profits since I started this on 6/25/14, and am into my principal for a couple of hundred.

    The question was asked what was my entry trigger. I hit a support line on that Volume Profile indicator, and RSI and MACD had a momentary blip confirming "up" and I should have waited for additional confirmation, but it all dropped like a stone, and I wasn't on top of it. I know, I know, I know.

    I was fooling around with other chart markers (which I don't know how to use yet) and I believe I got distracted somewhat to boot.

    This is my learning tool and it appears I'm a slow learner. Let's hope my fund lasts to use the lesson. It's another 12 days, I think, before this contract expires. So can we all send oil up, up, up with our intentions? Please!

    Tuesday, July 8, 2014

    **Live** Day Trading /CL Futures - 7/8/14

    Ohhhh brother. Live and Learn!

    Well, I decided (like an idiot) to bite the bullet and get out of my Long because I had to go to work...and who knew what would happen next? (OF COURSE what happened next was that oil soared, and I could have been in profit. Just shoot me!!) My account had already been "adjusted" by $300 (for the overnight hold of the trade, and recalculated value), so when I sold it, it was only another $50 loss on top of the adjustment. ONLY! A total loss of $350. Arghhhhh. Kills me. My own stupidity. BUT. I managed to make it back, once I was out. So slim profits, but at least I stayed afloat without giving up all my gains. A lesson learned, as my readers reminded me, so gallantly, in the comments section of the last post.



    At the moment I am busy investigating other indicators, and have ordered the John Carter book "Mastering the Trade." I'm always, always, always interested in new stuff, as long as it's not expensive and not something I've already done.

    (Sometimes it feels like "what haven't I done???")

    BTW, I'm really enjoying the reader participation. Just what I always hoped for on this blog!!!! Keep writing, keep sharing, puh-lease!!!

    Happy Trading

    ##

    Monday, July 7, 2014

    **Live** Day Trading /CL Futures - 7/7/14

    Well, rats, I did it again. Bought a contract (when I should have shorted) and been stuck with it all day long. Puts a real hiccup in my giddyup.



    Looks like I'll have to leave it open overnight and how I hate that. But unless something happens after 5 pm, this baby is l-o-s-i-n-g...and I'm not willing to sell it yet.

    Looking into a new indicator that a reader suggested: TTM Squeeze indicator. John Carter's book "Mastering the Trade" is highly recommended, but it's too pricey for my budget. Have to see what develops.

    thinkorswim's FUTURES Commissions

    I promised to get back to you on the verdict on the commissions. Right now I am paying $3.50 per contract for each trade, i.e. $7.00 for a roundabout, in and out. It's a hefty price to pay when you trade small, like me. About 34% of my profits are going to the broker.

    So, on your advice (see previous comments), I called TOS this morning to plea my case. Alas, if they take me off this "flat" $3.50, they would move me to another type of commission structure which would reduce the commissions to $2.25 each trade BUT invoke another kind of fee of $1.47 which would total $3.72 and not do me any good.

    When I mentioned that "others" only paid $5.00 for a round trip, he responded by saying, "yeah, but they probably traded 1000 contracts a month."

    He did say that when I got up to 200 trades per month, I should call back because they might be able to do something then.

    Oh well, I DO believe it's the cost of doing business, so I'm not going to whine about it. I'll just get up to 200 trades per month!

    And btw, he was looking specifically at oil (for me). I don't trade other futures. So not sure if the fee structure is different for other commodities. You'll have to call yourself, if you're curious.

    ##

    Sunday, July 6, 2014

    Does Money Make You Mean?

    I am a big fan of TED Talks.

    I'm also a big fan of making money.

    Of course, I'm not a 1%-er in this world, so I was really interested to know what would happen if I really made a LOT of money. Would it change me? We all carry our own ideas about rich people/poor people. Here's just another little tantalizing point of view.

    Thursday, July 3, 2014

    **Live** Day Trading /CL Futures - 7/3/14 Update

    Oh, I really hate weekends and holidays! No trading! (yeah, I know...get a life!) But this is my passion, I'm afraid.

    When I started trading this morning, I seemed to pick everything going in just the opposite way from my trade. As much I stared at the charts and rationalized about the trends and the news and all that malarkey, I just couldn't seem to pick 'em.

    This I noticed had a very detrimental effect on my self respect, my self esteem and the mood of my new morning. It suddenly hit me that when we trade, we bring a lot of old baggage with us from the past. Traders have psychological issues to overcome in this, as in every other kind of relationship in their lives. This one is a hottie because it involves MONEY...(the other hot topic is SEX, of course). And so for me, I see it as an opportunity to look one more time into myself, and clear out some of that baggage that I so love to lug around from childhood and right through old age.



    This stuff is very deceptive...tricky...subtle. Unconscious. Unless you deliberately dredge it up and deal with it.

    So what's this crazy woman going on about now? The last thing we need is psychobabble. But when those nasty little trades I circled on today's sheet, those reasonably "large" (compared to how I trade usually) losses gave me a little reminder.

    Am I good enough to trade?

    Are people making fun of me and my baby trades/baby fund?

    Do I even deserve to have money? I don't seem to handle it so well in the real world.

    Is my mother turning over in her grave?

    That's just a little sampling of what flew through my brain this morning as I tried to hunker down and get very objective about this situation.

    Eventually I talked myself up and out of the fugue state I was in...but I thought it was worth mentioning that you trade with your WHOLE self, not just the tiny piece of your brain that likes winning.



    As you can see, the day turned out all right. That's because I've been dealing with my sh*t for a very long time and as well as overcoming fear and greed in the market place, I am onto myself and not about to induldge in self pity, self loathing or any other kind of negative thinking that will deter me from my goal of turning $5000 into a respectable trading fund. However long it takes. Let them laugh, let them jeer. We're all in this together, so who laughs last, anyway? I'd say the Big Boys who always win, no matter what happens. All those bankers and investors that went scott free while the rest of us went down the tubes....oh just the thought give me my grit back! Okay, updating my fund herewith:

  • Date--------------- # of Trades--Daily Profit---less fees -----$5K Fund Balance
  • June 26, 2014------10 trades-------$200.00 --------77.00 ------- $5,123.00
  • June 27, 2014------7 trades--------$230.00 --------49.00-------- $5,304.00
  • June 30, 2014------8 trades--------$250.00-------- 56.00-------- $5,494.00
  • July 01, 2014-------18 trades------$810.00--------129.50-------- $6,174.50
  • July 02, 2014------1 trade--------($470.00)------- 3.50-------- $5,701.00
  • July 03, 2014-----17 trades------ $340.00--------119.00---------$5,922.00


  • Happy Trading!

    Wednesday, July 2, 2014

    **Live** Day Trading the /CL Futures - 7/2/14

    Okay, boys and girls. I got caught yesterday in free fall (with one open long contract) so I held it overnight and tried to wait it out. The losses got up there, but on a mini rally this morning, I sold it -- giving up those glorious wins of yesterday (before the fall). It's okay, I'm still ahead.

    Because I was holding, I didn't get any trading done this morning before I had to leave for work. So this is meager pickings. I included a photo of the piece beneath the Cash Report, to show my total profit since 6/26. That does NOT have the fees out of it, but I'm still proud of it. $1000 in a week, not shabby for a baby trader, non? And yes, I've spent $300 on fees, so you can see I make a LOT of very small trades, which is my strategy. Fees are just the cost of doing business in my book.



    Tomorrow I start fresh, and see if this market settles down to something I can live with!

    Okay, I need to start this list so you don't have to look back to see what's happened.

  • Date--------------- # of Trades--Daily Profit---less fees -----$5K Fund Balance
  • June 26, 2014------10 trades-------$200.00 --------77.00 ------- $5,123.00
  • June 27, 2014------7 trades--------$230.00 --------49.00-------- $5,304.00
  • June 30, 2014------8 trades--------$250.00-------- 56.00-------- $5,494.00
  • July 01, 2014-------18 trades------$810.00--------129.50-------- $6,174.50
  • July 02, 2014------1 trade--------($470.00)------- 3.50-------- $5,701.00
  • Happy Trading!

    **Live** Day Trading the /CL Futures - 7/1/14

    Well, I changed my working hours at the "real" job so that I would have my mornings free to trade. I've actually quit that job, but my boss is too busy to even think about interviewing and hiring a replacement, so until the next blow-out, I'll likely continue to work there. (I committed to training a replacement, providing he doesn't yell at me. The man is a yeller.)

    So, a whole morning to trade futures! I was thrilled!! And I started making money!!!! Notice on the report below, I got up to $6100! I was very excited. Do remember that I started this fund with $5K on 6/26/14, so in one week that would have been $1100 profits. (Actually, it's more than that, because that is net of commissions which are sitting at over $300 right now.)

    But ahhh, the trading gods are not so kind. Also remember I said that I WILL have losses. I bought one contract at 10:22 am yesterday...and that's when oil began to go down, down, down. I was stuck with a long, so I left for work hoping it would turn while I was away. Needless to say, if you look at a chart, it did NOT turn but kept going down. I've held the contract overnight not willing to take a $740 hit on it, and now it would lose $890 if I sold it. So I'm not selling it. Not yet. But of course, I can't trade this morning because my fund isn't big enough to do more than one contract at a time. So this is the DOWN side of the little strategy I'm into.

    However, I plan to wait it out and see if I can't keep my profits.



    You'll notice the last line of this report is that "Adjustment" I talked about in another post. My best guess is that IF you hold a contract overnight, the value of that contract is computed and the difference between my fund and the fair market value is deducted. If the market goes back up, they will adjust the other way. Or so it seems. I really hate that they touch my fund balance when I haven't sold the damned thing yet!!!

    But so goes the brokerage/regulations/CYA system of futures trading. I still don't really get it. Sigh.

    Oh, and if you don't have a chart handy, take a look at this one...and at the crash yesterday. I couldn' be happier that I only have one contract invested in this baby right now! A lot of people are crying big tears, I'd wager!

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