hehe very well said, my friend.
PeBBLe
A Daytrader's Story
- Thread starter nkhoi
- Start date
PeBBLe
the gentlemen profiled at the start of this thread is clearly a compulsive gambler and not a trader. compulsive gamblers gamble, traders trade. there is a MAJOR difference.
best,
surfer
best,
surfer
From: Trading Guy (trading_guy@hotmail.com)
Subject: Re: A Daytrader's Story (reply to Bruno)
View this article only
Newsgroups: misc.invest.futures, misc.invest.stocks, misc.invest.technical
Date: 2003-02-07 14:39:32 PST
Bruno,
You ask about my strategies. Aside from the initial daytrading early
on (which oddly enough, was somewhat profitable), I have employed
price crosses above moving averages (generally 1, 3 or 5 minute
charts). Essentially the same strategies were used with the QQQ's as
with the NQ/ES eminis. With the QQQ's I would trade 500-2000 shares
depending on how "sure" I felt about the signal. Generally a price
cross above a moving average I went long, below I went short. Crossing
back the opposite way would mean an stop exit.
The strategy I used more recently, which is a bit different, also
incorporate stochastics. I looked at stochastic divergence followed by
a moving average crossover (typically 15 SMA on 3 minute chart). I
preferred the candle (I use candlestick charts, BTW) to close above
the moving averge as opposed to simple move above it, then wiggle back
down.
If I start to see stochastic divergence and long signals well below a
moving average, I go ahead and go long with the moving average itself
as a profit taking point. I would pare say 1/2 the contracts and leave
at least a little bit in the trade. One thing I hate would be to take
it all out only to have it run up. I hate exiting trades (unless stop
is hit, of course) because I would then have to then plan my next
entry.
I hope this is enough details on my strategy, if not let me know any
questions. I would appreciate any input as well to see what I did
wrong
Subject: Re: A Daytrader's Story (reply to Bruno)
View this article only
Newsgroups: misc.invest.futures, misc.invest.stocks, misc.invest.technical
Date: 2003-02-07 14:39:32 PST
Bruno,
You ask about my strategies. Aside from the initial daytrading early
on (which oddly enough, was somewhat profitable), I have employed
price crosses above moving averages (generally 1, 3 or 5 minute
charts). Essentially the same strategies were used with the QQQ's as
with the NQ/ES eminis. With the QQQ's I would trade 500-2000 shares
depending on how "sure" I felt about the signal. Generally a price
cross above a moving average I went long, below I went short. Crossing
back the opposite way would mean an stop exit.
The strategy I used more recently, which is a bit different, also
incorporate stochastics. I looked at stochastic divergence followed by
a moving average crossover (typically 15 SMA on 3 minute chart). I
preferred the candle (I use candlestick charts, BTW) to close above
the moving averge as opposed to simple move above it, then wiggle back
down.
If I start to see stochastic divergence and long signals well below a
moving average, I go ahead and go long with the moving average itself
as a profit taking point. I would pare say 1/2 the contracts and leave
at least a little bit in the trade. One thing I hate would be to take
it all out only to have it run up. I hate exiting trades (unless stop
is hit, of course) because I would then have to then plan my next
entry.
I hope this is enough details on my strategy, if not let me know any
questions. I would appreciate any input as well to see what I did
wrong
i'd say that was his problem right there. 1/2 the contracts? i assume he was trading futures then.
so, if he's not profitable, what in the world is he doing trading more than 1 contract?
(and as far as his method goes, it doesn't strike me as too bad at all. i wonder, was he really as disciplined with his stops as he claims?)
I think the word "idiot" is a little too strong. It sounds more like an unfortunate case of addiction! But I'd say that most daytraders probably have a case of that to some degree. And hey, don't most non-traders think traders are idiots?
What bothers me in that story is that there's no account of any serious training or courses that he might have taken. If he lost all that money by thinking he could figure out the market on his OWN, well then that is all the more sad...
Phil
www.sp-levels.com
What bothers me in that story is that there's no account of any serious training or courses that he might have taken. If he lost all that money by thinking he could figure out the market on his OWN, well then that is all the more sad...
Phil
www.sp-levels.com
the MAJOR difference is that a trader feels no NEED to trade all the time . a gambler feels a NEED to be trading at all times particularly when he is losing. a trader does not have to trade, a gambler who is trading has to trade.
best,
surfer
Double DITTO that...
emotional and mental "maturity" is one of the most important ingredients in trading the markets! Not only do many new traders not have it yet, but many don't even know what I'm talking about here.... when I use the word! It's not so much your chronological age as it is emotional, mental and spiritual "age" that serves one as a trader. When you mature more as a person you will be able to progress as a trader. Sound like some corny esoteric platitude? It's not. In few business/professions is your maturity quotient tested as much.
I
