Have you struggled with your strategy suddenly not working? You hold like you used to but there is no follow through and you end up stopping out, or suddenly you are not holding long enough and you end up selling yourself short and missing the meat of the move?
Here are two ThinkorSwim indicators you can use to guide your analysis and help you gauge recent market conditions. Adapting is key in trading and simply checking a few of these indicators can really strengthen your ability to perceive market sentiment and whether your bias on a trade is more or less likely to succeed.
First is VIX: a measure of volatility in the market.
Your strategy, once proven successful, will rarely need an entire makeover but perhaps needs to be slightly modified because there just isn’t enough volatility in the market to hold on for the entire move like you used to.
Second is $VOLD: it is the total difference in the up/down volume of all stocks on the NYSE; whether there is more buying versus selling pressure.
I do not recommend filling your charts with noise, or overcomplicating your decision-making when time is precious, you want to keep it simple. However, when you’re struggling to adapt to recent market conditions these two indicators can potentially help shorten the amount of time it takes for you to get back to your hot streak and determine where you need to adjust.
When looking up $VOLD in TOS, you have to type in ($) whereas VIX is just VIX. $VOLD is a TOS indicator and they must all be typed in that way like all futures must start with /ES (/). (/). To check out other TOS indicators, you can find them by clicking the down arrow in the ticker entry window then selecting “Indicators”.
The only constant in trading is that the market will always change. When you are on a hot streak then suddenly your trades aren’t working, ask yourself what has changed: Is it you, your strategy, or the market? Then, adapt accordingly.
@azintothewoods
Jan 24, 2017
Here are two ThinkorSwim indicators you can use to guide your analysis and help you gauge recent market conditions. Adapting is key in trading and simply checking a few of these indicators can really strengthen your ability to perceive market sentiment and whether your bias on a trade is more or less likely to succeed.
First is VIX: a measure of volatility in the market.
Your strategy, once proven successful, will rarely need an entire makeover but perhaps needs to be slightly modified because there just isn’t enough volatility in the market to hold on for the entire move like you used to.
Second is $VOLD: it is the total difference in the up/down volume of all stocks on the NYSE; whether there is more buying versus selling pressure.
I do not recommend filling your charts with noise, or overcomplicating your decision-making when time is precious, you want to keep it simple. However, when you’re struggling to adapt to recent market conditions these two indicators can potentially help shorten the amount of time it takes for you to get back to your hot streak and determine where you need to adjust.
When looking up $VOLD in TOS, you have to type in ($) whereas VIX is just VIX. $VOLD is a TOS indicator and they must all be typed in that way like all futures must start with /ES (/). (/). To check out other TOS indicators, you can find them by clicking the down arrow in the ticker entry window then selecting “Indicators”.
The only constant in trading is that the market will always change. When you are on a hot streak then suddenly your trades aren’t working, ask yourself what has changed: Is it you, your strategy, or the market? Then, adapt accordingly.
@azintothewoods
Jan 24, 2017