Posted by bulf6285 on 29th of Sep 2022 at 04:18 pm
I think folks get confused because they think of the multiple
systems as 1 absolute position in the market, or 1 absolute view of
market direction. Think of each individual system as just that.
They are independent of one another with different conditions, etc.
You have to manage each signal separately from the others. Since
they are mechanical in nature, you either have to trust the system
or not. When Matt/Steve say they are going to take half, etc. that
is a judgment call they are making to manage their money as they
see fit. You can do the same. It has no bearing on whether or not
the systems themselves are exiting. When Steve constantly says you
have to trade YOUR PLAN, all he means is that you may feel you made
enough profit or took enough of a loss to exit.
Steve's analogy for that is: get 22 buckets, one for each
system, and each system trade is placing something in one of those
buckets designated to each system. They are each separate and
independent from each other
also - as we saw yesterday people get confused and here about 22
systems and think OMG how can I keep track of all those - when at
this time only a few can be in trades. A good 1/2 or more of the
systems only occur in bull markets (so you can discard them),
others need price above the 200 day MA, you can throw them out.
Bull exhaustion only occurs in bull markets. The short trades you
could also throw out at this moment because they short rallies, not
deep oversold conditions. Exhaustion short throw out totally
because that is a condition where price has been trading above the
8 SMA for like 30 conse bars, it's basically an exhaustion
condition after the market has rallied too far too quickly
bear long, bear exhaust, and QE 3.2 are really the only systems that can be active at
this time
(the other 19 systems cannot be active now)
CCI could become active but only after a divergence forms on the
CCI
but that's it, don't get all overwhelmed by 22 systems - they
can't trigger under these conditions
I think folks get confused
System signals update
Posted by bulf6285 on 29th of Sep 2022 at 04:18 pm
I think folks get confused because they think of the multiple systems as 1 absolute position in the market, or 1 absolute view of market direction. Think of each individual system as just that. They are independent of one another with different conditions, etc. You have to manage each signal separately from the others. Since they are mechanical in nature, you either have to trust the system or not. When Matt/Steve say they are going to take half, etc. that is a judgment call they are making to manage their money as they see fit. You can do the same. It has no bearing on whether or not the systems themselves are exiting. When Steve constantly says you have to trade YOUR PLAN, all he means is that you may feel you made enough profit or took enough of a loss to exit.
Steve's analogy for that is:
Posted by matt on 29th of Sep 2022 at 04:58 pm
Steve's analogy for that is: get 22 buckets, one for each system, and each system trade is placing something in one of those buckets designated to each system. They are each separate and independent from each other
also - as we saw yesterday people get confused and here about 22 systems and think OMG how can I keep track of all those - when at this time only a few can be in trades. A good 1/2 or more of the systems only occur in bull markets (so you can discard them), others need price above the 200 day MA, you can throw them out. Bull exhaustion only occurs in bull markets. The short trades you could also throw out at this moment because they short rallies, not deep oversold conditions. Exhaustion short throw out totally because that is a condition where price has been trading above the 8 SMA for like 30 conse bars, it's basically an exhaustion condition after the market has rallied too far too quickly
bear long, bear exhaust, and QE 3.2 are really the only systems that can be active at this time (the other 19 systems cannot be active now)
CCI could become active but only after a divergence forms on the CCI
but that's it, don't get all overwhelmed by 22 systems - they can't trigger under these conditions
Good synopsis - also when
Posted by steve on 29th of Sep 2022 at 05:01 pm
Good synopsis - also when the bucket is being used put in behind a door and close the door UNTIL notified regarding that SPECIFIC BUCKET