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Old 09-07-2007, 11:27 PM
Dogpile Dogpile is offline
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Re: Average True Range (ATR)

hi mark,

I exited there for a few reasons. Exits are generally much more complicated than entries but the concepts I was thinking about included:

1. my strategy is generally to look to enter somewhere not too far away from VWAP and find an exit once it has moved a good distance away from VWAP.

2. note that there was a 400 tick buy divergence on the push to 1451.00

3. I was looking for a lower afternoon low --- you can see that this objective was met.

net net, the market acheived my objective so I took the gain. waiting for the stop to get hit gives up too much IMO.

attached is the buy divergence and a very simple indicator I wrote that marks a dotted line at VWAP +/- 10.00 pts... sometimes it goes less, sometimes more.

hope that helps.
Attached Images
File Type: png ES Buy Div.png (26.4 KB, 80 views)
File Type: png VWAP -10.png (18.8 KB, 51 views)

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