Hi, Rob
The reason I'm kind of "pestering" here is because I have been watching and testing some of those ideas you mentioned, and I really value your input. But, as you say, it takes TIME to see those techniques work out in the way that I execute them, especially in my new daytrading schooling. I'm still learning and studying the fine tuning, especially in the application of limit or stop orders in a given situation, or simply reacting by a quick push of my button for an electronic market order, as Tom is inclined to do.
My question on swing trades still stands. For example, as in your sugar proposal, and I hope I'm not flopping too much between day trades and position trades, because the principles apply to both. It's the EXECUTION that comes into question. Let's assume you are long sugar with a "tweaked" stop in place, and you know that if the price breaks back below your line enough to hit your stop, you have called it wrong and want to be short with the resuming downtrend again. Do you also have your new short orders sitting there with that stop, so that you are automatically - and quickly - filled to catch the reversal ASAP? Or, if your stop is hit, would you enter a limit order to get your sell at a better price (if, indeed, the price even RETURNED to that level, or just left you waiting at the station while it continued to drop without you)? Or do you do something entirely different to get out of your old trade and into the new? Ah, execution, execution!
Thanks,
Joe