DIAMONDS Trust, Series 1 (DIA) & automated trading
+$70
I’ve been trading off of the daily charts so I wasn’t really able to profit from today’s nice down trend, which is disappointing. There were a lot of dummy trade opportunities that I didn’t take advantage of. There were even some stocks on my list that set up for a low-risk short trade, but I didn’t make the trade because I had the stock on my list to go long. I really like only taking trades that set up nicely on the daily chart, and I enjoy not overtrading, but I’d also like to be able to take advantage of any nice trending day the market can give me. The best way to balance all of these things is something I will have to think about.
I made a mistake and went long AEOS this morning, even though the tone of the market was weak, and was stopped out. Not wanting to be left out of the creamage of the market, I shorted the DIA when it set up at 11:
Some more chump insurance that paid off.
Howard linked to a recent article in the NYT about Kurzweil and using computers to trade. I thought it was pretty interesting.
We have been testing our black box system for a few days and it has been doing pretty well. Today it was up over 8R. I even watched it make some trades and I thought, “I don’t know, man - seems kind of risky.” So I didn’t take them - I wish I had. It’s biggest winner was a short of GOOG.
