Hello,
I am not sure if you watched my earlier video on gold, but I wanted to put together a quick follow-up video in light of what has taken place in the last 24 hours.
A few days ago we released a new video on gold. It showed that we had a sell signal using our "Trade Triangle" technology. I thought it would be interesting to follow-up on this video as this signal did not work out as we expected it to.
Now many of you may think this was a bad trade. I happen to think it was a good trade and here's why...
One of the keys to being a successful trader is to be disciplined and follow your trading plan, or in our case follow the "Trade Triangle" technology. While our last signal resulted in a loss, our previous "Trade Triangle" signals resulted in a very large profit.
I want to share with you a trade that did not work out and show you how you should react when in a negative trade.
It is a very short video, but I think it will teach you a valuable lesson about trading and how the markets really work.
Every success in life and in trading.
Co-founder MarketClub.com
Hi,
Thanks for the cool site and instruction. Unfortunately my first trade using the triangles was gold and I also had another confirmation of a Gold slide that made me confidant in using this sell signal. Never mind I had a stop at $902.00. That raises another question - how do you set your stops?
Looking forward to another Trade Triangle signal - just not in Gold! I don't trust it!
Hi again Geoff,
We do not have specific stop-loss placement technique. However, I have heard Adam say on multiple occasions that a good technique is to use the previous 3 bar low. So for example a stop loss price could be the max. low of the previous 3 days, previous 3 weeks, or previous 3 months. Please use this method with the understanding that gaps downs/ups should be taken into consideration. Below is a link to our blog topics on stops. Please let me know if you need anything else and I will be more than happy to help.
http://club.ino.com/trading/?s=stops
Please let me know if you need any more help.
Lindsay Thompson
Director of New Business Development
INO.com & MarketClub.com
Adam,
The fact that you made this video shows all the integrity in the world. Most "market gurus" will show you only the good trades and ignore the ones that didnt quite work out.
Based on experience, if you can make money in the majority of your trades, and keep your losses low on the ones that dont work out, you'll do well. Most successful traders will tell you that 67% winning ratio is good. Your videos on gold, oil etc shows your record to be better than that. You wont be perfect, but neither is any signal.
I can tell you that thanks to Market Club, I have completely turned my own trading record on its head, and enjoy the extra revenue coming in as a result!
Markets change quickly. Market Club and a few well placed stop losses will help you adapt and overcome.
Thanks for everything Adam!
I think you really have glitch in the system here because now the weekly gold chart shows a price of 901.30 while the daily chart shows 905.40. Also, the weekly chart has remained unchanged for somtime now.
Hope this gets resolved.
For your referance the time 11:07 pst
Tom,
We are working on it.
Thanks
Adam
In Science and Mathematics, there are no Absolutes, only Probabilities. Sometimes, reasonably, the record indicates consitency after the Third and fourth probability, thougth, one should still remember, it stiil, indefinitely,remains a probability.
Ike ,
Thank you for your insightful comment. You are of course 100% correct. Everything is based on probabilities.
Adam
I am glad you chose to do this follow up. It shows the reality of the market. The market will do what it wants not what we awant it to.
Just a quick question. On my chart yesterday it showed a buy triangle on the weekly at 905 and today the triangle is gone. Is this a bug in the system or does the indicator repaint? Should I be waiting until bar close before taking these signals?
Thank you!
Tom,
Thanks for your feedback.
We had a buy signal in Gold today (5/19) at $905 basis the spot.
Check out the "Trend Analyzer" feature of MarketClub and look at the new three week high triangle.
Good luck on the trade.
Adam
Adam,
Should we leave Apple (AAPL) alone and look at something better? Apple nearly completed a full retracement of it's late Dec 2007 all-time high of $200 before we got a signal to re-enter this trade at $180. At that point it already blasted through the 62% Fibonacci retracement of $169 or so. Trade trianges are still strong; but do you think there further upside to this stock?
Ed,
Thanks you for your feedback.
As traders our greatest enemy is when we over-think a position or a signal. We had a buy signal at 180 for Apple and that signal remains intact. It is up to the market and Apple to show us what it wants to do. My experience indicates that markets tend to swing too high and too low. I am happy taking something out of the middle.
Hope this helps.
Keeping it simple is in my opinion, the best way to go in the market. They don't pay you anymore for making it complicated.
Cheers
Adam
Hello Adam,
Just a note of support and encouragement amongst what seems to be a host of negative feedback resulting from the recent gold video. I, for one, benefit greatly from your series on trading ( videos, white board, blogs ) and appreciate your transparency and desire to help us become better at our craft of trading. You have shown over and again how Market Club is an effective tool in making profits in an assortment of markets. Your latest video also is a reminder that there are no "perfect" mechanical or discretionary trading systems. Losses are part of this business and we have to learn to embrace the pain that comes with them. We do so knowing that the probability and reward for our efforts will come along soon enough if we stick to our rules and exert the discipline necessary to succeed.
Thank you again for your leadership and excellent work at the helm of Market Club.
RD Gosselin
Many thanks for your comments.
Adam