Search results

You should start where you feel you have most to gain, both in learning and doing, while doing your utmost to preserve your capital along the way. If you lose capital, the damage is not just monetary, but psychological as well. You don't need to lose badly in order to learn trading, but you need...

What well thought out response!

1. Mathematically this is correct. By interpretation biases creep in (even by omission etc.) Trading is mostly biased, isn't it? 2. For my uses, I try to choose the right tool for a specific job. Need to know the job first ;) The problem becomes one of which formula out of infinity to choose...

ATR is biased towards daily bars and an averaging period, SD is biased towards movement away from MA for the same averaging period. They are two separate measures of volatility, depending on what you think you "need". There's no magic involved, just simple mathematical formulas. You can...

Prices move all by themselves, no need for push'n shove.

Yes, this is the likely and logical scenario based on prior human history and conditioning.

Accumulation of 1 egg per day, no compounding effects.

Gaps are discontinuities of price range between one bar and the next. They may occur on any timeframe, and depending on which timeframes you're looking at, for different reasons. On very short timeframes, gaps may be seen a sign of low liquidity/volume on higher volatility, so price tend to...

That's what billionaires do pre-market. You should see what they do in the real markets! Insane negative tick stop-losses, multiple trades in alternate universes and leveraging their in-laws for a double-plus good whammy in the morning. And we haven't touched base on breakfast yet!

It's way more insidious, more like the 80 - 20 rule. 80% lose, but the 19% winning are winning because of luck in timing, not recognizing they've really been had (Greece). Of course, some are winning, especially long term buy & hold, eg. in various fonds. You won't hear about them because it's...

yea, if they were like red and blue its be ok but this was just shameless sex. Can understand someone bought that actually. But not my cup of tea (obscure illiquid stocks).

It's create loss not sl. But people wont tolerate collapse of probability, and will cling to any ideology they fancy. Morons everywhere.

Funny how what you believe is often opposite of truth / fact.. Why, is a good question always, but as adults we forget to ask.

Rather than studying patterns, another approach could be asking "what is the market trying to do"? Sometimes depending on context, it seems obvious, but the tricky thing is not just see it in hindsight but on the hard right edge where anything might happen. Patterns may be overruled because of...

Geometric mean is more independent from the values and context than arithmetic mean. Arithmetic mean will more easily skew to extreme outliers, while geometric mean will auto-normalize (given reasonably comparable sets of factors > 0). Also, geometric mean may make more sense for percentage...

If Stddev works visually, then that can be a plus. Likewise, ATR can be used for similar purposes, but will not work so well if you try to use it for curve-fitting, but rather as long distance stops based on price action potential (ie. long bars in consolidation). Statistically, none of these...

If you bought below the whipsaw it could be silly to sell the whipsaw, as it could just be a breather in price action. This can be easy or it can be hard. For me its been hard for 7 yrs now, but learning little by little and forgetting 99% of it. So much to unlearn really. You probably will...

Sailing is not the same as trading, but sailors do check weather reports before going out. Just a boat analogy. In trading though you can control how much you want to risk, and if you risk less whipsaws wont hurt as much, or at all. The difficult part is making it worthwhile though, but is a...

Why do whipsaws scare you, are you trading too big? Another timeframe may be calmer. Do you also go sailing where theres storm? Drawdown is part of trading but not of sailing.

This is why people go to war: It'll supposedly feel good, and there's a reward, supposedly..