Pit Bull III Questions 12/4

I highlighted the areas where I think I should have sold if I were trading this system. Let me know if I am wrong. Thanks!

Looks good...a few quick points about this system

1) It only trades the first 90 minutes
2) The mentor I learned from added on to losers
3) If the market goes 2.5 points above/below the open and then 2.5 points Below/above the open then the window is concidered "RUN" and window trades are over for that day


I prefer to use these "window" areas as guidelines and donot take the pure system entry methods. Obviously I watch the volume thrusts which the system never considers. The best trades will usually be the first trades of the day at the plus/minus 4 - 5.5 area or the 8 - 10 area. They like to get everyone excited, thinking that the market is going to trend only to fizzle out and return to the opening price. On real trend days we lose with this method.

Bruce

This system considers one very strong point i.e the traders that play the RHT open have only enough money to push the market one way for 4 pts on the S&P. Their profit target is 4 pts and then they jump ship. Look at the RHT open on 05/12 and you will see what I mean. With a large gap sitting at 8:30 est they still went long at 9:30 est. Why, well one, economic the news was positive. Two, CAC, FTSE and DAX were +ve at that time.

This is the trade I am talking about that happened today at the open
08:30:04 1 BUY_MARKET 1104.75
08:47:00 1 SELL_LIMIT 1108.75

Today Short

Done for the day at plus 4 pt on S&P