James, this discussion is informative. My last questions is
regarding swing trades versus simple bounce trades, and I second
your observation on the difference between swing traders and
others. I thought the difference would go in the opposite
direction: i.e., swing traders before the close and all others at
the open. And the signal before the close will play out on the next
day if a trade is a swing trade and not as much if it is a bounce
trade.
Posted by James_Roe on 21st of Feb 2023 at 05:55 pm
I was using the definition of swing trade that I am familiar
with which is, "Swing trading refers to the practice of trying to
profit from market swings of a minimum of 1 day and as long as
several weeks."
Which is roughly the time frames most of our systems trade
for. I guess you could classify these as bounce trades as well, but
I suspect our options traders are more likely to be closely
managing their positions than the majority of people just waiting
on email alerts. They're the ones who want to know at the exact
close if a system has signaled, which is impractical from the
administrative side.
James, we mean the same thing. By bounce trades I mean very
short trades of one to 3 days. As such, the price is not likely to
go far on these trades. Thank you very much for your input!
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James, this discussion is informative.
systems update
Posted by junkie on 21st of Feb 2023 at 05:50 pm
James, this discussion is informative. My last questions is regarding swing trades versus simple bounce trades, and I second your observation on the difference between swing traders and others. I thought the difference would go in the opposite direction: i.e., swing traders before the close and all others at the open. And the signal before the close will play out on the next day if a trade is a swing trade and not as much if it is a bounce trade.
I was using the definition
Posted by James_Roe on 21st of Feb 2023 at 05:55 pm
I was using the definition of swing trade that I am familiar with which is, "Swing trading refers to the practice of trying to profit from market swings of a minimum of 1 day and as long as several weeks."
Which is roughly the time frames most of our systems trade for. I guess you could classify these as bounce trades as well, but I suspect our options traders are more likely to be closely managing their positions than the majority of people just waiting on email alerts. They're the ones who want to know at the exact close if a system has signaled, which is impractical from the administrative side.
https://www.fidelity.com/learning-center/trading-investing/trading/swing-trading-setups
fidelity.com
What Is Swing Trading? - Fidelity
Swing trading refers to the practice of trying to profit from market swings of a minimum of one day and as long as several weeks. Learn how you can utilize swing trading in your investment strategies.
James, we mean the same
Posted by junkie on 21st of Feb 2023 at 06:04 pm
James, we mean the same thing. By bounce trades I mean very short trades of one to 3 days. As such, the price is not likely to go far on these trades. Thank you very much for your input!