mean reversion RSI oversold may enter another position?

    Posted by matt on 13th of Oct 2023 at 12:42 pm

    most of you have not seen these type of trades before - 99% of the time, 2nd or 3d entries are at better prices (lower prices for longs, higher prices for shorts)

    However the RSI oversold, Bear Exhaustion, and I think maybe the bear long, at times will enter longs at much higher prices than the entries at the lows. 

    They only do this if the trade is already profitable  and will at times buy a pullback, here's an example from the past, you can see the system entries on two trades, and how those systems entered at higher prices when price pulled back 2 or 3 bars.   Those entries are pretty low risk because they occur at a price where price doesn't have to fall very fall before stopping out, so if they don't work out, the stop is usually pretty tight

    The RSI trade still looking

    Posted by focus175 on 13th of Oct 2023 at 03:51 pm

    The RSI trade still looking to trigger Matt?

    it is.  wondering if I

    Posted by matt on 13th of Oct 2023 at 04:01 pm

    it is.  wondering if I send it out or not. If I do, it would be 1  contract, no reason to add a bunch of risk. The good thing is that the system is close to a stop anyway, so risk is pretty minimal 

    SPY or ES on that

    Posted by elementsix on 13th of Oct 2023 at 04:03 pm

    SPY or ES on that RSI entry? 

    it did, I didnt' send

    Posted by matt on 13th of Oct 2023 at 05:16 pm

    it did, I didnt' send out

    was showing on SPY but

    Posted by matt on 13th of Oct 2023 at 04:27 pm

    was showing on SPY but didn't trigger, it's just on ES/MES

    nice can't wait to play

    Posted by srusso1 on 13th of Oct 2023 at 12:58 pm

    nice can't wait to play that.

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