Hardware Mode Over and Impact of Extreme Intraday Volatility

Two long weeks into setting up new hardware for the website and up coming real-time services, we have finally getting the hardware part of the equation done. Fine-tuning how to best utilize new hardware is always a tedious task. We can only guess what is needed and at the end of the day the actual results dictate what has to be done.

More Writing on Custom Market Breadth

Next step is resuming what we were doing and stress test our website to see how much data we can upload to the website. In parallel I will be the one testing the real-time custom breadth charts to get it ready for alpha release. I have lots of writing to do to get all premium members on the same page on this subject. After all, there are many concepts related to market breadth analysis that are not common knowledge to majority of traders.

Focus on a single subject to write is always my Achilles Heel. Hopefully I have what it takes to overcome this weaknesses and get more done in a short period of time.

Hands Off Being the Best Decision

One interesting observation about the current market environment – if I stick with my usual swing strategies to trade the Emini over the past few weeks, it would not perform at all. I am not saying my strategies would lose a lot of money. That is not true. What would have happened instead, would be a mix bag of big winners and big losers with almost nothing in between. That’s what I worried about back in early February that having too much of a good thing going with my trading can lead to a period of time for which the swing plays may not work out well.

The problem is that intraday volatility has exceeded certain multiples of the daily volatility making the risk reward on daily timeframe and above no longer feasible for regular engagement to stay profitable. One has to be very selective on what type of swing positions to put on to ensure the risk is under control.

I am not sure how long it is going to take for the trading environment to get back to normal. In fact, such high risk high volatility environment does not die down easily. This means day trading right now is the better game going forward until we see a shrink in volatility across the board on all the major markets.

This trading year is getting more interesting everyday.

Busy Travel Schedule

I have a very busy travel schedule in coming weeks requiring me to meet with my clients before the end of the quarter. If all goes well, including functional internet access at various hotels, I will be able to keep up with my regular posting of the Emini battleplan. This will be a good test of my ability to trade on the road.

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