Euro Chat with Joe Ross

Chat log from: Thursday, July 12, 2007
JoeRoss joined.
SusanL joined.
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crosten joined.
sav joined.
JoeRoss Hi everyone
sav hello all
sav Joe, do you think if there is global warming, you would be able to see it in the seasonal spreads in the grains, in other words seasonal spreads will work less and less.
JoeRoss





sav: Already seasonal spreads are working less and less, but it has nothing to do with global warming. It is the fact that the long-only commodity funds are putting enormous strain on the commodity markets that is causing them to behave less seasonally. However if there are major weather changes due to global warming, I'm sure it will also effect seasonality.
crosten Hey joe
sav


I have noticed that seasonal spreads are working less and less, I suppose we have to change with the times and do spreads like you do them, i.e., look at different markets and spread them.
JoeRoss Hi crosten
JoeRoss sav: That's right.
crosten joe am i correct to say that gold has made a 123 bottom on the daily chart.
JoeRoss crosten, it has made a 1-2-3 low in a consolidation.
crosten joe what is your definition of discipline as a trader ?
JoeRoss crosten: One who has enough self-control to plan his trades and trade his plan.
sav joe when do you think is a good time to stop trading the emini russell now that it is leaving the CME?
crosten joe do you trade number 2 breakouts ?
JoeRoss





sav: I think you should carefully watch to see when the volume drops. It has to drop sooner or later. Then wait until all of the volume is at the ICE. Then take a look to see if you want to trade it there at all?? You will have added costs for N. Y. Data, and you will have to see what kind of fills you get on ICE.
JoeRoss crosten: No I don't trade the #2 breakouts from consolidation. The probabilities are strongly against you.
murra joined.
murra hi joe and all
JoeRoss Hi murra
sav OK thanks Joe, i don't think I'll trade it at the ICE--been looking around for other markets to trade. However, not many move nicely like the emini russell.
JoeRoss That is really true, sav
murra What are speaking about emini Russell please.
JoeRoss murra: We are speaking about when to stop trading the emini russell.
crosten


Why are the probabilities against me trading a number 2 breakout ? Suppose market is trading up and number 2 is formed where there are no more sellers, isn't it good to trade number 2 on the assumption market resuming its trend ?
JoeRoss murra: And I said when you see the volume drop off stop trading Russell..
JoeRoss



crosten: If you look at markets ask yourself how many of them make VEE bottoms? It is unusual. The probabilities of a trend continuing after the breakout of #2 are very low. Typically prices will go into accumulation--a sideways market.
crosten That's a great observation.
sav If the NQ was $10 a tick i would trade that , but i don't think its worth it at $5 a tick (more contracts=more commissions).
murra The second time through: . Is b/o valid if in the first time the level is broken and then retraces but on the same bar it is broken twice?
crosten joe what is the most powerful feature of trade navigator ?
JoeRoss

sav: It's the same problem as with the mini dow. Take a look at some euro fx charts. Also look trading some bond tick charts.
JoeRoss Not on the same bar, murra
JoeRoss


crosten: I wish I could answer that correctly. But I have only skimmed the surface of what TN can do. So far it has been the ease with which you can produce trading strategies.
crosten Joe, who are the people trading the index futures before the cash market opens?
JoeRoss crosten: I don't know, other than that it may mostly be traders living outside the U.S.
JoeRoss That's just a guess.
sav


Thanks Joe, I have been trading the euro fx off the daily charts scalping 10 ticks, the T-notes and bonds are looking good on the 60min charts at the moment; will look at tick charts.
crosten


Joe, it is said that buying new highs is a wise thing to do? Have you personally traded that way?
JoeRoss sav: That's what I also do.
murra


What value must we do at trading during night on the e mini sp or e mini russell? if at end of days some moves are in execution the bar has in the night the same value? Or we don't have to considering?
JoeRoss crosten: They are talking about major new highs in the stock market. It is probably true, but I need to trade more often than that.
crosten Joe, what is your best trade that you have ever made in a life time?
murra Trading new highs do not have stop running is it correct Joe?
JoeRoss murra: I don't know how to answer your question about values. You will just have to experiment.
sav I used to be a 3, 5 and 10 minute day trader but since I started trading charts of 60min and above my trading has improved and relaxed.
JoeRoss crosten: $850,000 in the BP and the SF simultaneously.
JoeRoss murra: That's correct about new highs.
ISeidl joined.
JoeRoss

sav: That's wise. Longer time frames make more money than shorter time frames for most traders.
crosten I think you deserve to be part of all time legendary traders, Joe.
ISeidl Hi Joe.....uishhh I forgot about the time
ISeidl hi everyone
JoeRoss Hi IS
ISeidl Ivan ;)
JoeRoss Hi Ivan :)
crosten Joe is the bp and sf trade you make on a single day or over a period of time?
sav $850000 that is awesome
JoeRoss crosten: It took approximately 3 months
ISeidl 850k is that one of Joe`s home runs? :D
JoeRoss sav: I got lucky
JoeRoss It was my only Grand Slam home run.
ISeidl sure :) I know who helped you get lucky ;)
JoeRoss I was very thankful.
ISeidl I know... thanks for all that you ask, it is given.
crosten joe who would you consider to be the top 3 all time legendary trader?
JoeRoss Well If I had to choose today it would be crosten, sav, and ivan
crosten Come on Joe...
JoeRoss uh oh, I left out murra.
JoeRoss 4 all time great traders.
ISeidl


Joe I was checking the old chats about the option and regression line... and I think Ninja trader has that option... I wanted to send a couple of charts so you can confirm that is what we need in order to use it to trade options
ISeidl Maybe i shall send it to the forum....
JoeRoss Send them, Ivan.
ISeidl ...or to you directly?
JoeRoss No, send them to me.
ISeidl Ok; perfect I will.
JoeRoss I want to see if they are right.
ISeidl Yes me too jajajjajaja.
ISeidl I will do some examples and snapshots.
ISeidl Also will make a snapshot of the possible configs for the line.
ISeidl So you can better assess what is possible to be done.
ISeidl btw I find NT quite good.....considering is free... and for me as an experienced programmer C# is quite powerful.
sav Just had sour milk in my coffee, that must be the worst taste in the world .
ISeidl Just need to get a hold of their weird position entry system.
JoeRoss ok
murra




I try to explain better myself. If at the end of session on the emini S&P it is forming for example the 3 segment but it is not complete. During the night there is trading of course the bar during the night has same value for that, or we must look without consider that bar. I don't know if i have explain well sorry.
JoeRoss Ivan: I might ask you to do some programming for me in Ninja.
ISeidl Happy to do it.
ISeidl Just let me know ...
JoeRoss murra, I understand: It does not have to complete the #3 for you to do the TTE.
murra I am not a trader i just like a trading.
ISeidl btw Joe... what is your position regarding trading daily bars in the futures... now I am quite not sure if it is good if you are going to be stopped overnight.
ISeidl Is that a new "disease" because of the e-trading?
crosten Joe, do you think the euro will reach 140?
ISeidl With luck will reach 1.5 ;)
JoeRoss ivan: stick with markets that are liquid overnight and keep your stop in there.
JoeRoss crosten: Yes 140, but I don't know when.
ISeidl Can you drop me some recommendations?
ISeidl What is a considerable volume in futures?
JoeRoss ivan: I don't have any recommendations, but check out this week's Chart Scan.
JoeRoss ivan: enough volume so that they are not able to easily run the stops.
ISeidl Sorry i didn't mean recommendations but volume levels considered liquid :)
ISeidl jajajajaja ok :) any minimums?
JoeRoss ivan: every market is different. I don't know exactly for any one market
JoeRoss minimum: Yes 6,000 per session.
ISeidl Well I guess I will be able to learn more about that in :)
ISeidl ok
ISeidl TN
sav



Joe the more i look at the markets it seems to me it is better to scalp the market as they don't trend that much (maybe weekly charts do) only every now and than you get a good move (like once a year)
crosten joe what is the most useful indicator to you personally?
JoeRoss


sav: In my opinion, the only way to day trade is to scalp. But I am convinced that you will make considerably more and more easily trading long term.
ISeidl I think the same
JoeRoss crosten: There's no easy answer for that one. In my great trade, I used CCI
JoeRoss But the one I use most is the Stochastic.
JoeRoss However, in the last great gold up move 2 years ago, I used the Volatility Stop.
crosten Joe, do you use tick charts together with time charts, or do you look at tick charts without time charts?
crosten Great!
murra For indicators is important the face of markets, is it right joe?
JoeRoss Tick chart without time chart, crosten.
crosten joe is someone at great disadvantage without tick charts ?
JoeRoss crosten: It is definitely a disadvantage, but I wouldn't call it great.
murra For different face different indicators CCI helps to go out generally face have.
crosten Joe, what is the fundamental reasoning behind the gold move 2 years ago?
ISeidl Joe, so you think the tick chart is showing you another nice perspective to find great trades?
ISeidl I like what I saw in a tick chart... but thought of it as just another chart :)
JoeRoss crosten: The reason gold was rising was a falling dollar.
crosten Joe after coaching lots of trader, what do you think is the common weakness of traders?
JoeRoss Ivan: yes. tick charts can be very helpful.
ISeidl Interesting.
crosten Joe what market do you chart using tick charts?
JoeRoss crosten: lack of self discipline.
ISeidl crosten: you can chart whatever you wish.
sav Thanks for the chat Joe and everyone goodbye.
ISeidl crosten: just chart.
JoeRoss crosten: All markets can be turned into tick charts. I have no special ones in mind.
JoeRoss bye sav
crosten I mean plot.
ISeidl plot or chart... isn't that the same?
JoeRoss I have to go.
JoeRoss See you next week
JoeRoss bye
ISeidl well Joe, take care
crosten thanks
ISeidl bye...
murra bye and thanks to everyone
ISeidl thanks for all

Next Chat with Joe Ross:
Thursday, July 19
, 2007
Time: 8:00 - 9:00 P.M., European Central Time (Berlin, Paris, Rome)

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