Welcome to Everyone

I am creating this blog to assist others as well as myself in world of trading equities and futures (hence the name). I also trade currencies, but I couldn't fit that into a catchy name. Matter of fact, I have been short the Yen (CME future) for the past seven days. So, visitors will see various posts dealing with all markets. As a trader, I will trade just about anything that moves.

I base my entries and exits on technical analysis together with fundamental analysis. I am not a hard core technical or fundamental trader. I think arguments made by both sides are initially interesting but they quickly bore the crap out of me. Trends are made out of substance. It's great that this or that company has the best widget in Asia, but it doesn't mean jack if there isn't a trend to jump on. I do get geeked out by the newest projector that fits in a cell phone, but will pick it up once there is a sign that it is ready to move or trend. I will fill this blog with great ideas for the trading community, but I will not do it 5 years before the rest of the world finds out about it. My hope is to do it just before or just after it begins to move. My trading money is intended to grow as time goes by, not sit there and gather dust.

On that note, my trading style consists of the following:

1. Day Trading (DT): I mostly daytrade stock index futures, gold futures and currency futures. The entries and exits are based on technical analysis consisting of price movement, moving average crossover, Kelner Channel and the Commodity Channel Index Average. My daytrading style is to catch a trend and quickly peel off contracts thereby reducing my risk in the trade. I will then hold the final contract(s) position to attempt to catch "runners". I do not use strategic stops per se, I use catastrophic stops designed to risk only 2% of my account. I have found that daytrading stops are designed to stop you out just before a run is made. Trading includes volatility, and the trader needs to be accept volatility while not accepting too much risk. As long as my signal tells me the trend I'm on still is in effect, I accept the volatility.

2. Swing Trading (ST): My swing trading strategy includes holding positions (either futures contracts or equities) from a period of 1-day to a few days. It really depends on how quickly my profit objective is hit. My finds are made initially from technical analysis coupled with an assessment of the sectors de jour. Once the correct sectors coupled with technical analysis reveal worthy prospects, I will drill down to determine which ones have movement potential based on news, volume, etc. Again, catastrophic stops only are used (2% of equity). I accept volatility.

3. Position Trading (PT): I use my swing trading strategy to get into longer term equity positions - no future trading here. I will scale into full positions 1/3, 1/3, 1/3. If, after I enter the first 1/3rd position, I am down 25% of my investment, I will cut and run to never look back. Once the position moves in my favor a pre-defined amount (as defined by my technical analysis), I will add another third position. The final third is added once we are off to the races.

My objective is to make filthy lucre - plain and simple. I do not get geeked out by the newest technology or gadget unless I can bank coin. It means nothing to me if it will take 3 years for someone to find the stock. It has to be ready to move or I will shut the door on it. I leave the long term stuff to my retirement accounts.

I will make stellar calls and make very nice profits. It is during those times that I can be found at my butchers counter ordering rib eyes and then scour the wine racks for a nice Bordeaux. Then there will be those times that I make bad calls and lose money - welcome to trading. It is during these times that I am still devouring rib eyes because I banked coin on previous trades and am using money management techniques to ensure that my loses are not account threatening. I do not subscribe to the "Custer's Last Stand" approach to trading. The key here is to quickly recognize when an incorrect call has been made and cut its throat.

I hope the site is useful to visitors from a number of perspectives. Number one is to make money on a consistent basis in an up or down market. Another is to gain insight into the mind games that are entered as one ventures into the trading world. You are your own worst enemy in this pursuit. And lastly, a location that traders can go to share thoughts, ideas, frustrations and excitement.

Enjoy.