TVIX, don't speak its name!!!
TVIX seems to be a touchy subject in the chat right now and I can see the argument for and against trading it for sure. First of all, it is not a stock and underperforms market downside/volatility for sure! But is there really no edge? I can identify chart patterns on that thing all day especially coupled with watching SPY simultaneously. TVIX is also extremely volatile and because of that, I am going to start trading it Monday.... I know doesn't follow the sector, volume range, or type of position we should be trading in accordance with our training. I know, but I have to experiment for my own experience. I just have to.
I haven't really been trading much, which is fine except I need to make cash! There aren't many good plays that we are trained to follow right now. Dip buys have been so so. Breakouts have been fakeouts for me at least with the market in pullback. But yet I see so many other opportunities and do not take them. Why not change tactics!?
I get it. Tim can only teach what Tim does. We cannot expect him to teach what he does not do himself. He is a millionaire trader. We should listen. As students, most of us would benefit from just taking a humble pill and practicing what he preaches and not trying to do our own thing. After all, he is a millionaire from his trading alone and almost none of us can say the same.
That being said, I need to make money and I have been around the market looking at charts and price action constantly for eight years. I need income. Because of this, I am going to start trading more intraday. Many pitfalls await me. Overtrading, getting caught in the weeds/losing sight of the big picture, holding losses too long, chasing, emotional bias....
These trading traps can all potentially crush me and I know it. I will be recording myself Monday for review and posterity sake. Hopefully the recording will help me keep more disciplined. I will also hide my cash balance from myself so it doesn't play an emotional factor in my order placement.
I will be trading everything from channel support and resistance to breakouts and dip buys and pennants and flags. I will tell you one thing though, the basics always always apply. Cutting losses quickly is paramount and will be my number one rule followed by buying support and selling resistance. My trades will be anywhere from a few seconds to over an hour not excluding the validity of any opportunity, but not relying solely on any one signal. Being flexible in my thinking, but disciplined in my execution is the goal....we will see how I do!!