And the rest is nonsense?
Confusion about markets in "Trading the Measured Move" by David Halsey
- Thread starter timothylee
- Start date
Sellers can back off the offer and price goes up. Buyers piling in can push price up. Buyers can back off on the bid and price goes down. Sellers piling in can push price down.
You just started so it's very easy to get sidetracked.
The most important part of trading is NEVER lose sight of the goalpost ........is this information going to help me make money?? If not move on.
IMO, whether Halsey is right or wrong is irrelevant, because it isn't helping me to make money.
Be ruthless with your time, before you know it, years will have passed without any progress. There are guys here with >10 yrs in the game and still struggling.
I simply find a lot of it not useful, some might. I do find his grid anchors very useful.
"Short sellers become inspired buyers." - George Lane (and I can still hear the enthusiasm and excitement in his voice as he pronounced this to the audience - RIP).
Short sellers are what makes low float penny stocks rise from $1 to $5 to $30 to $100, sometimes in as little as an afternoon. Short sellers inspire the NQ to rally over 250 points and the emini rise 53.50 points in the final hour of a trading day.
But this is all such a trifle. Here you are, reading Halsey, and this is what inspires you to post a new thread to what is largely an intellectual wasteland, rather than inspire you to thoughtful reflection and testing.
Send the book back, you aren't going to get anything out of it.
That book can change a trader's life. It has changed lives. It changed mine.
But it won't change yours. Send it back to Amazon and use the money to put a few gallons of gas in the car and take your family to the Waffle House.
Short sellers are what makes low float penny stocks rise from $1 to $5 to $30 to $100, sometimes in as little as an afternoon. Short sellers inspire the NQ to rally over 250 points and the emini rise 53.50 points in the final hour of a trading day.
But this is all such a trifle. Here you are, reading Halsey, and this is what inspires you to post a new thread to what is largely an intellectual wasteland, rather than inspire you to thoughtful reflection and testing.
Send the book back, you aren't going to get anything out of it.
That book can change a trader's life. It has changed lives. It changed mine.
But it won't change yours. Send it back to Amazon and use the money to put a few gallons of gas in the car and take your family to the Waffle House.
What you have to understand is there is no "cook book", no easy recipe to trading success. Trading retracements is as old as trading itself. What Halsey offers is a logical and ordered way to enter and target. With some adjustments, it lies at the heart of what we do.....in addition to ideas by Linda Raschke, Al Brooks, Vic Sperandeo, Jeff Cooper, Richard Wycoff, Larry Williams and others. We all stand on the shoulders of giants, including the aforementioned.
You have to formulate your own trade plan based on your understanding of the concepts involved as well as understanding your own personal characteristics. Learning to trade is difficult and takes a lot of time and effort...time and effort that most will not invest.
You right maxinger.
Man, just have to watch the charts everyday, get long or get short and know where to exit.
There is no short cut. What I am realizing is, I can only do what the chart is telling me to do.
More the latter than the former. It's important to realize that nobody takes the other side of your order out of charity - they do so because they have an opinion on price which is the opposite of yours. If there's no difference of opinion then there's no trade, and any trader who voluntarily gives up significant amounts of edge won't be in business for long. The "wall of worry" is a way of saying that many players are under-allocated to stocks and are forced to buy in higher and higher as the market rises; likewise "buy the rumor, sell the news" occurs because traders front-run widely-anticipated events and then sell once the event comes off.
What relevance, if any, this kind of insight has to your trading decisions depends on the market in question, your style/strategy and trading timeframe.
Speaking for myself, I have gotten astonishingly little from books about trading and markets. And I am an avid reader.
Read the hardcore books that are a technical deep dive into market structures. You make money by exploiting market anatomy, not on platitudes and jingoisms from idiots.
When I started trading in the financial futures, I bought "The Handbook of Fixed Income Securities" by Frank Fabozzi.
Before I started trading swaps in OTC electricity, I labored through "Energy and Power Risk Management" - New Developments in Modeling, Pricing, and Hedging".
Here's a suggestion: "Modeling Financial Time Series with S-Plus". It's a bit dated but it still holds up.
Read the hardcore books that are a technical deep dive into market structures. You make money by exploiting market anatomy, not on platitudes and jingoisms from idiots.
When I started trading in the financial futures, I bought "The Handbook of Fixed Income Securities" by Frank Fabozzi.
Before I started trading swaps in OTC electricity, I labored through "Energy and Power Risk Management" - New Developments in Modeling, Pricing, and Hedging".
Here's a suggestion: "Modeling Financial Time Series with S-Plus". It's a bit dated but it still holds up.