BarroMetrics Views:  A Need For Thought

We have just completed the 4-week live session for the Barros Swing seminar.

All in all, I think it will prove to be a winner - by that I mean we will see traders who will join the elite 10% to 20% who make money consistently. One thing I did note though: quite a few attendees would do better if they are more willing to think through the ramifications of concepts rather than rely on being told.  The best lessons I learned were the ones I thought through for myself and where I made clear connections that were implied the content I had been taught.

Let me give you an example of what I mean.

For inter-day timeframes, I use swings that correspond to calendar periods e.g. the 5-day swing to trade the weekly trend, the 18-day swing to trade the monthly trend etc.

In determining the intrad-day time frames, I divide the dominant period by 5. I do the same for each lower timeframe. What this means is each 5-period swing in a timeframe is the single bar in the next higher timeframe.  So when I am asked what intraday timeframe I trade, I answer the 5-period swing on the 60-minute. So what timeframe am I trading? Effectively the single 290-minute bar which is  the 5-period swing on the 60-minute.

One question  I am inevitably asked is why do I prefer to trade the 18-day on daily charts and the 5-period swing on the 60-minute? The answer is: because that is where my edge lies. This does not  mean that an attendee should necessarily follow my lead. Indeed, once she has an understanding, she ought to make the material her own and trade whatever swing-timeframe suits her. The key is to first acquire an understanding and then adapt the material to suit his personality and needs.

The passing on of knowledge is important; but even more important is to exercise our grey matter and make the material our own.

Refer this blog post to a friend or colleague…