Here's another thread I read recently that interest me.
http://www.elitetrader.com/vb/showthread.php?s=&threadid=98206&perpage=6&pagenumber=4
http://www.elitetrader.com/vb/showthread.php?s=&threadid=98206&perpage=6&pagenumber=4
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Ares
- Thread starter Ares1
- Start date
I'm still wating for an answer to the question I posted in this thread:
http://www.elitetrader.com/vb/showt...e=6&highlight=market maker traps&pagenumber=2
http://www.elitetrader.com/vb/showt...e=6&highlight=market maker traps&pagenumber=2
Regarding sharing strategies.
Someone made a comment in one of the posts I read that we are all competitors in here.
Why bother helping another trader?
The way that I see it so far is:
The more traders following the strategy you share, the more traders you have on your side.
If you are the creator/leader of that strategy - you could buy/sell to your "students" while your followers are still buying/selling.
If one is really succesful in the strategy that they have created and is making tons of money already - why would they still charge their extra eye?
That is where I'm impressed with the Jack Hershey method so far - they teach and help other traders for free.
Someone made a comment in one of the posts I read that we are all competitors in here.
Why bother helping another trader?
The way that I see it so far is:
The more traders following the strategy you share, the more traders you have on your side.
If you are the creator/leader of that strategy - you could buy/sell to your "students" while your followers are still buying/selling.
If one is really succesful in the strategy that they have created and is making tons of money already - why would they still charge their extra eye?
That is where I'm impressed with the Jack Hershey method so far - they teach and help other traders for free.
Goal:
To gather and combine strategies of professional and experienced traders and trade WITH them.
Reasoning:
If I trade with the pros strategies, who would go against it?
One group in mind are uneducated gamblers
Another group are traders that haven't mastered the discipline of controlling their emotions and following their trading plan.
Any more suggestions?
What I have to keep in mind:
Everytime that I go against my trading plan - I become part of the second group.
Extra eyes:
Needed to help each other and to remind the diligent to stay on track.
This is what I'm currently looking for, what's yours?
Recent unusual rise in price and volume on the daily chart or
Active in the premarket
Stock below $10
Volume+ with Price+
Watching for block trades on the green ( extra eyes needed because I wouldn't be able to see all the time and sales prints of the many stocks under the radar in that valuable 5 to 15 minutes from the open)
Trades at least 2.5% above the open (revised Josh Lukeman's 25 cents above the open to cater stocks below $10 for range)
Volume at least 100,000 (for liquidity)
Volume- with Price- on pullback
Watching for a refreshing bid on pullback
Watching for Elliot wave's c move near the 0.618 Fibonacci retracement
which would anticipate the point 3 move.
Bid with or 1 cent above the refresher while time and sales is slow
If the sentiment changes, I may force in and buy at the ask.
If the initial entry fails to hold I will exit my position (depending on the stocks price), I will be watching for a stock to tank near the 1.618,2.618,3.618 retracement with a selling volume capitulation.
Indicators that I like to follow:
Daily RSI(2)
Daily golden cross (preferably but not critical)
Weekly 8 ema narrowed down to the 1 minute 8 ema.
5 minute positive MACD divergence near zero
1 minute stochastics near oversold
nice level 2 set up
Market maker actions (watching if it jives with the prints) - this is where I need a lot of eyes too.
Time and sales printing lots of green (better if there's a lot of green blocks taking out the highs of a tight bollinger band)
Risk/reward ratio
Stocks below $5 is 10 cents loss with at least a 25 cent reward target.
Stocks between $5 and $10 is 20 cents loss with at least a 50 cent reward target.
If the stock goes against me or if someone else (extra eyes needed) sends out an alert that makes sense, I may get out before the reward target at a small profit or hopefully (that word) at a small loss.
Regarding stop loss:
I will be using a mental stop to avoid getting shaken out automatically.
Will be updating this criteria as new information comes in.
Looking forward to what you are looking for or to any helpful comments.
To gather and combine strategies of professional and experienced traders and trade WITH them.
Reasoning:
If I trade with the pros strategies, who would go against it?
One group in mind are uneducated gamblers
Another group are traders that haven't mastered the discipline of controlling their emotions and following their trading plan.
Any more suggestions?
What I have to keep in mind:
Everytime that I go against my trading plan - I become part of the second group.
Extra eyes:
Needed to help each other and to remind the diligent to stay on track.
This is what I'm currently looking for, what's yours?
Recent unusual rise in price and volume on the daily chart or
Active in the premarket
Stock below $10
Volume+ with Price+
Watching for block trades on the green ( extra eyes needed because I wouldn't be able to see all the time and sales prints of the many stocks under the radar in that valuable 5 to 15 minutes from the open)
Trades at least 2.5% above the open (revised Josh Lukeman's 25 cents above the open to cater stocks below $10 for range)
Volume at least 100,000 (for liquidity)
Volume- with Price- on pullback
Watching for a refreshing bid on pullback
Watching for Elliot wave's c move near the 0.618 Fibonacci retracement
which would anticipate the point 3 move.
Bid with or 1 cent above the refresher while time and sales is slow
If the sentiment changes, I may force in and buy at the ask.
If the initial entry fails to hold I will exit my position (depending on the stocks price), I will be watching for a stock to tank near the 1.618,2.618,3.618 retracement with a selling volume capitulation.
Indicators that I like to follow:
Daily RSI(2)
Daily golden cross (preferably but not critical)
Weekly 8 ema narrowed down to the 1 minute 8 ema.
5 minute positive MACD divergence near zero
1 minute stochastics near oversold
nice level 2 set up
Market maker actions (watching if it jives with the prints) - this is where I need a lot of eyes too.
Time and sales printing lots of green (better if there's a lot of green blocks taking out the highs of a tight bollinger band)
Risk/reward ratio
Stocks below $5 is 10 cents loss with at least a 25 cent reward target.
Stocks between $5 and $10 is 20 cents loss with at least a 50 cent reward target.
If the stock goes against me or if someone else (extra eyes needed) sends out an alert that makes sense, I may get out before the reward target at a small profit or hopefully (that word) at a small loss.
Regarding stop loss:
I will be using a mental stop to avoid getting shaken out automatically.
Will be updating this criteria as new information comes in.
Looking forward to what you are looking for or to any helpful comments.