In Like A Lion, Out Like A Lion

Raul3 Thu Apr 30, 2015 4:38pm EST 2 Comments

You may be wondering to yourself, this Raul feller seems to have an idea what’s going on, but Sam Hill if I know what it all means.

It reminds me of a Bruce Lee quote:

“It’s not the daily increase but daily decrease. Hack away at the unessential.”

I have been doing lots of hacking away lately. Over the last several weeks, I cut my day trade types from nine to three, and I may even go down to two.

But there are a few things I cannot do away with. One is the Weekly Strategy Session score. Each week the auctions taking place in the major indices are scored and amalgamated with Exodus. Thus, once a week, I distill thousands of stocks and the broad markets into one, little, number. HACK.

It tells a story. This week it said be patient in hunting longs, and only scalp on the long side, don’t try and be a hero. Pair that with my trade types, and I have a robust approach to trading the market that only requires my action 2-3 times per day.

Don’t think I’ve escaped this week unscathed though. I bear the wounds stopped losses. Today’s cuts were CHGG and the FAS long I was working.

My other tool, Market Profile, it has me a bit leery. The footing below is soft. We may have seen enough from buyers at the close to turn this thing, but it marks the 4^th time this week they’ve had to catch a knife. They need to hold this one, flip it, and start poking holes in the bears ASAP.