Trade Nbr. 19 - 2007

Short April 07 Gold: Entered on March 9th - Closed on March 9th.

Short: 653,80 -- Initial Stop: 655,30 -- Covered: 652,70 -- Result: 0,70 R

Bearish in Screen I - Pullback to value in Screen II - Entry Set-up in Screen III - Covered as the market was reversing all its losses very quickly...

Comments : Good execution. Markets continue to show a total lack of trendiness......

Trade Nbr. 18 - 2007

Long April 07 Crude Oil: Entered on March 8th- Closed on Mar 8th.

Long: 61,77 -- Initial Stop: 61,56 -- Stopped: 61,56 -- Result: -1,0R

Bullish in Screen I - Pullback to value in Screen II - Entry Set-up in Screen III - Stopped at initial stop.

Comments : Another choppy day !! Tough to find decent set-ups in futures this week.....

Trade Nbr. 17 - 2007

Long April 07 Crude Oil: Entered on March 5th- Closed on Mar 5th.

Long: 60,60 -- Initial Stop: 60,34 -- Stopped: 60,34 -- Result: -1,0R

Bullish in Screen I - Oversold in Screen II - Entry Set-up in Screen III - Stopped at initial stop.

Comments : Chopfest day !! Good example of how some days are more difficult than others !!

Research Project

During the next few weeks I will undertake a "real-time" testing of my new trading rules, risking 1/20 of my normal "R value" (ie: risking only 0,05 % of my trading equity per trade).

The purpose of these "Research Trades" is to forward-test those trading rules and to rehearse them in "battlefield-conditions" in order to increase my confidence in them. I will monitor them and validate them (and my execution) after at least 30 trades before increasing my trading size and incorporating them into my trading arsenal.

The first set-up is a "Mean-Reverting" trade that takes as a filter "Bullish" or "Bearish" divergences of the Strength Index in the "Strategic Window".

The second set-up is a "Strong Momentum" trade that targets "High momentum" moves.

Research Trade 1.3 - "High Momentum" Trade

Short March 07 E-mini S&P: Entered on March 5th - Closed on March 5th.

Short: 1389,75 -- Initial Stop: 1391,50 -- Covered: 1384,75 -- Result: 2,83 R

Bearish in Screen I - Trading below envelope in Screen II - Entry Set-up in Screen III - Covered as the previous candle printed a threatening tail.

Comments : The key to this "High Momentum" play is to take the signal as the price stays at or below the 3 standards deviation band in Screen II. The other condition is to have a valid "Swing" set-up in shorter timeframes (I am using 21/5/1 min screens to trigger the entry and decide the Initial Stop level to do this). Will look to add on those Research trades during the next few weeks...

Trade Nbr. 16 - 2007

Long April 07 Crude Oil: Entered on March 1st- Closed on Mar 1st.

Long: 61,59 -- Initial Stop: 61,38 -- Sold: 62,08 -- Result: 2,34R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Exit after the previous 2 bars printed threatening tails.

Comments : Good trade. Compared to yesterday, was patient enough to wait for the price action to indicate that the loss of momentum was too strong to stay in the position.....

Trade Nbr. 15 - 2007

Short March 07 E-mini S&P: Entered on Feb 28th - Closed on Feb 28th.

Short: 1413,50 -- Initial Stop: 1415,75 -- Covered: 1415,00 -- Result: -0,66 R

Bearish in Screen I - Overbought and pulling back to value in Screen II - Entry Set-up in Screen III - Stopped out by my trailing stop.

Comments : Poor trade. Good entry but once again lowered my initial stop too early !! Very frustrating since would have been a multiple Rs win again.... It is recurrent problem, as Brett Steenbarger mentioned in one of his numerous brilliant articles : it is important to Trade to Win and Not Trade Not To Lose......

Trade Nbr. 14 - 2007

Long April 07 Crude Oil: Entered on Feb 27th- Closed on Feb 27th.

Entry: 61,17 -- Initial Stop: 60,95 -- Sold: 61,66 -- Result: 2,23 R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Exit as the trailing stop was triggered.

Comments : Good execution, traded according to the plan.

Trade Nbr. 13 - 2007

Long March 07 E-Mini S&P: Entered on Feb 22nd- Closed on Feb 22nd.

Entry: 1462,00 -- Initial Stop: 1459,75 -- Stopped: 1459,75 -- Result: -1,0 R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Stopped out.

Comments : Another loss when the EMA was not ticking up in Screen II - This looks to be a recurrent pattern... A solution would be to add the 5/21 EMA crossover as a filter in Screen II.

Trade Nbr. 12 - 2007

Long April 07 Crude Oil: Entered on Feb 21st- Closed on Feb 21st.

Entry: 59,49 -- Initial Stop: 59,19 -- Sold (average): 60,30 -- Result: 2,60 R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Exit of half the position as the market printed a reversal candle with a threatening tail in Screen III. The other half was triggered by the trailing stop.

Comments : Good execution, traded according to the plan.

Trade Nbr. 11 - 2007

Long April 07 Gold: Entered on Feb 21st- Closed on Feb 21st.

Entry: 665,0 -- Initial Stop: 661,30 -- Sold: 663,30 -- Result: -0,40 R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Stopped-out with trailing stop.

Comments : Poor execution - Started the trailing stop too soon as the market did not take-off yet - Lost a huge opportunity - Very frustrating.....

Trade Nbr. 10 - 2007

Short March 07 Bonds: Entered on Jan 13th - Closed on Jan 13th.

Entry: 110 11/32 -- Initial Stop: 110 17/32 -- Covered: 110 6/32 -- Result: 0,83 R

Bearish in Screen I - Pullback to value in Screen II - Entry Set-up in Screen III - Covered as my trailing stop got hit towards the end of the session.

Comments : Average trade. Should have entered one bar earlier, at a better level, and instead of waiting for the trailing stop to get hit, should have taken partial profits on the second test of the day's lows as the market reversed, printing another tail.....

Trade Nbr. 9 - 2007

Short March 07 Bonds: Entered on Jan 12th - Closed on Jan 12th.

Entry: 110 15/32 -- Initial Stop: 110 19/32 -- Covered: 110 10/32 -- Result: 1,25 R

Bearish in Screen I - Pullback to value in Screen II - Entry Set-up in Screen III - Covered as my trailing stop got hit towards the end of the session.

Comments : Good trade, traded according to plan. Took what the market had to give.....

Trade Nbr. 8 - 2007

Long March 07 Euro: Entered on Feb 12th - Closed on Feb 12th.


Entry: 1,3046 -- Initial Stop: 1,3027 -- Sold: 1,3027 -- Result: -1,00 R

Bullish in Screen I (not strongly but SI>0) - At value in Screen II - Entry Set-up in Screen III - Stopped-out at initial stop.

Comments : Good execution, traded according to the plan - Most of my losses seem to occur when the slope of the EMA is not clearly up in Screen I and II - will monitor this.....

Trade Nbr. 7 - 2007

Long March 07 Soyabeans: Entered on Feb 9th - Closed on Feb 9th.

Entry: 746,00 -- Initial Stop: 743,50 -- Sold: 752,75 -- Result: 2,70 R

Bullish in Screen I - At value in Screen II - Entry Set-up in Screen III - Exit as the market printed a reversal candle with a threatening tail in Screen III. Exit was executed at the open of the last candle.

Comments : Good execution, traded according to the plan.