Lesson Questions and Market Research

[Trader Question]

I am thoroughly enjoying the lessons and am currently on lesson #11.

I can see that it will be necessary to go through them 2 or 3 times to develop a strong foundation - and then to utilize them as a reference tool on an ongoing basis

Also, I have had a chance to review some of the material on the Institute's website, but most of that I am saving for when I have concluded my first
run-through of the lessons.

I am wondering if you have any suggestions on market research in the following regard: I would like to utilize historical data and have it develop on the screen as if it were real-time - so that I could work on yes/no and other patterns in a more realistic environment. Any learning tools that you have seen or recommended in the past would be very helpful.

Also, at a later time I want to ask you some questions about developing a notebook, as described in lesson 4. (Not yet!)

Finally, it was very interesting to see the recent activity on the forum! Do you have any additional information on the software revision you alluded to?

JG

[pldot]

===Glad you are liking them. Note that we made some of the Lessons 11-15 too long, with too many examples. Don't let that slow you down....

===Many have said so...there is a lot there, really, a lifetime of experience....

===yes, it will keep...

====B.N. posted a suggestion on the forum for doing this with the current TradeStation version, and the new release of the software (will be out sometime late Spring, no date set yet) will do this type of "walk-Forward" testing and training very effectively. ==The idea of a personal research notebook is simply to use web-page development tools to do this; it is fast and effective, and you can personalize your notes and save charts easily, for later review.

[Trader Question]

First, thanks for the referral to B's message on the Forum - it is a very useful workaround. All the same, I will look forward to the new software release!
Also, I was asking about any sample TS workspaces that you may have available. I know this was a topic at the seminar, but I haven't seen anything on the Forum or on the Institute website specifically showing some samples. Certainly each person will have their own preferences, but it always helps to see what experience has shown to be valuable for others!
Similarly, time frame focus is especially determined by each trader's preference, capital, and schedule, but I was curious about your focus and what you have found to be beneficial additional TF's to analyze as opposed to being superfluous. As I am not able (nor particularly interested) in day-trading, I am looking at developing a framework of market study based upon a daily or weekly focus. This ties in with the workspacequestion since I am trying to determine how important the 2LTF is in analysis. Obviously, it can help show when support or resistance may hold (as on the LTP), but it also is one of those "forest and trees" type problems.
In other words, if i have a weekly focus, is it really necessary to see 60 min support/resistance holding to trade, or does it become too much information?

JG

[pldot]

The new software will have some various templates and demo pages incorporated as part of the release, as well as some detailed movies on set- up and trading. But in the meantime I am attaching a pic of a workspace that you may find helpful.
Re timeframe: The 2nd lower timeframe can lead you astray and give you tickitis. To eliminate it would be great, but then that means accepting larger stops, and the psychological and financial ability to withstand some larger losses. So it is sort of a devil's dilemma; if you have the 2nd LTP and rely on it much, you will be dragged about psychologially as if by a ring through your nose; but if you do without, then it helps to have deep pockets otherwise you will ocassionally have some losses that are somewhat larger than are normally comfortable. I prefer the second situation, but cannot always do it, and sometimes fall prey to the first alternative. If you are *very* disciplined, you can always keep the 2nd lower time period in proper perspective, and that is the ideal situation.
See Charlie's movies in the Institute on Gold, and on Tickitis. Highly recommended in connection with your current question. Also review the Seminar materials on his long-term trading program.

[Trader Question]

Thanks for the sample workspace. It looks like I am on the right path in terms of the items I am following - although, not surprisingly, I have fewer
indicators on my screens at this time!

Your thoughts on 2LTP also are helpful. Even in my market studies thus far, I can see how easy it is to become to dependant on the 2LTP as an indicator, but that it can lead to 'whipsaws'. I'm sure that time will help build understanding - which I will have as I continue through the lessons. Also, as I mentioned previously, I'm sure these are the types of things that the second run through the lessons will help one better understand.

I will definitely review the Gold and Tickitis files, although I do not have access to the Seminar materials on his long-term trading program.

JG

[pldot]

Screen layouts are highly individualistic. To illustrate I send along two others from wildly different traders.... One trader has a screen that is far more complex than I would use, and the other charts by hand. You can see that the setups are primarily a question of individual perception and style. So don't get hung up on trying to duplicate the specific layout, just find that one that works for you.

A second run through the Lessons will make a lot of difference, as things that are mentioned that don't seem to be important at the time will jump into high relief. Many have found this to be the case.