Bruce

    SRS/SKF

    Posted by rgoodwin on 17th of Mar 2009 at 08:29 pm

    Also with regard to the mechanicals, if you are going to trade these signals, it still makes sense to set your own tolerance levels for losses and or profit taking. I agree with michael that they are established such that over time they average a nice profit and can generally remove emotion from trading however, is there any system on the planet that is fool proof that may not stop working at some point in time and one that you should not consider your own tolerance as a trader. I personally use a large number of mechanicals to do my trading with, but each one has been optimized to profit targets and stop loss levels. If one shows a stop loss that is greater than what I am willing to accept - I simply will not trade that instrument. Define yourself as a trader, know your tolerances and don't expect/anticipate anyone anywhere to tell you precisely when to enter or exit a trade.

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