Exactly.  I am getting out on the bounce - the trade looks too much like the trade of August 2011 for my liking.  Will be watching for overbought conditions - 60/89/144 stochastics on a 15 min chart, any day-long 60 stochastics over 80 on a 5-min chart, MACD, RSI 5 on a 60 min chart over 70, ABC wave count, etc. to help find the exit. Also, if it's a decent bounce, I will put a stop-loss just above entry.

SPY near the 13ema on the 60 min chart at 137.34

Seems like you can hardly go wrong w/ that strategy.  Should be able to make up losses that way, if you put in the amount you would for a full position.

For me, I'm taking this system one day and one trade at a time.  Especially regarding taking profits and putting in stops once it's in the black.  The system performance since trading began last May for the single entry system is -4%, so it hasn't done very well.

Gee, he seems just a little negative (ya think?).  Now, where'd I put that bottle of Johnny Walker?

Seems to me it depends too on what level the wave count is.  I think those higher levels are harder to put credence in, since world events, etc. can negate a count that's been in place for months.  But I do put credence in an intraday chart w/ a 5-wave impulse down and then a 3-wave bounce for shorting (or the reverse, etc.).  As a rank amateur I've learned that much, anyway, from BPT.

Yeah, there's no guarantee 1370 will hold!  If it doesn't, it just means his count is wrong.  As Steve always says, use it as a guide, not a trading signal.  The issue then becomes, what IS the wave count (at that level).  Cuz if it ain't a wave I up, then it's an A, and so maybe we just finished C???  Hmmm.  Steve, I'm getting bogged down in counts!

You're probably right to key more off of the wave count two levels down ("i"), which means we can go as low as 1265.

Matt, do you see the 2011 high as a crucial support?  (See my comment on kalinm's Canada post.)  Because we are getting pretty near that w/ this futures drop.

It's an even bet that come monday we'll see lows even lower than the futures of this morning.  and the sytem will probably issue a second buy for the multi-entry, so we'll be getting better prices.

Also a wise approach.  Only thing is keeping the trades separate when you're trading the same instrument.  Have to keep good records to show how discretionary vs. system does if you're trading it both ways.  One way is to trade SPY for one and SSO for the other.

Lately I've been paying more attention to Elliot Wave Theory, via Tony Caldaro's site.  His count has us in a primary 3rd wave, and he predicts SPX highs in 2013 of 1545-1586.  If I read his weekly chart correctly ( http://stockcharts.com/public/1269446/tenpp), then his primary wave I at 1370 (the 2011 high) is our marker for whether we continue up in the longer term.  I.e., breaking that on a weekly chart would negate the bullish count.  So, a good level to watch on any pullback.  I'm not an EW expert, though - Steve, care to weigh in?

time to go to the store and pick up some dinner ingredients, make dinner, and then practice guitar....

Interesting!  Any way you can beat buy and hold is a good thing....

SPX may be forming a descending triangle in short term.  Maybe that 5th wave has yet to complete?

nice down candle and possibly a bear flag now forming on 10 min SPX.  may go long on any low after the bear flag, w/ stop below 1392.92.

Huge volume on ACHN in the last 10 min!

yeah, right now only trades are ACHN, CHRS, (probably will close both soon, esp on any mkt move up), TSRA (did you close yours?), TBT (did you see my pm?), FXE and FXP.

nice, steady intraday action since the morning dip, w/ bullish volume.

Not sure what you mean by "beating" the MDY (S&P midcap index).

So, do you see this as your primary count and we are now bouncing?  If so, the short is near.  One more leg up maybe, closer to 1408?