This is the easiest set-up for me to trade. The trade was confirmed by the three criteria that I require to enter a trade, the MACD [pictured] being one of them.
I must admit the first pullback had me holding my breath for a moment, but here is the MAIN ADVANTAGE of trading one stock exclusively, this is a perfectly normal pullback for GS…prior to some refinements, this would have been my entry point, with a stop below the opening low.
Exited at my target, actually a fraction below, but, pretty damn close. Finished for the day.
February 27, 2008 at 12:33 pm
Hi,
can you elaborate on the 3 criteria you use to enter a trade? Also, if possible, your exit/target/stop criteria?
Trying to learn…
February 27, 2008 at 12:52 pm
sunil,
*Quant algorithm
*MACD @ confirming level [buy/oversold]
*GS @ premium/discount to algorithm.
The algorithm was designed by myself, although my brother coded/built it for me.
jog
February 27, 2008 at 12:55 pm
sunil,
The exit [previous answer was entry] is the exact opposite of the entry;
*GS and Quant algo trade at PAR value.
*MACD has moved to opposite extreme [less important on an exit]
jog
February 27, 2008 at 10:30 pm
jog - thanks!
I’m almost sure I’m asking too much, if so, let me know. What makes up the quant algo? Is it all technical indicators or is there something else also?
February 28, 2008 at 3:02 am
sunil,
No technical indicators at all.
I use 4 selected fundamentals, to off-set the technical indicators.
I’m not going to detail what they are, obviously.
I’m a fundy at heart.
jog