If you want to fail as a trader, study TA

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Quote from Airwaves:

Yes, but how do you spot the opportunity??
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It works something like this.

Normal Days

You trade your KEY stocks that have ADEQUATE RANGE and the opportunity is based on your ability to understand and react to what is currently happening with your KEY stocks.

Panic Days

You trade whatever is moving the most, and the opportunity is based on YOU having ACA to capitalize on fast moves in short time spans:cool:

I hope the above makes sense to most, as it sure as hell does for myself and a few other traders.

My next post will contain a fundamental reason as to why the opportunities exist in the first place:D

TE
 
TFI Friday, so I can catch up on some sleep, until Monday when it all starts again.

Strange week, a mega glitch on US stocks, didn't affect me as I don't have any, Greek debt which knocked UK stocks, and a UK general election with a hung parliament, no outright winner. All bad things. One of my swing trades got stopped out and the rest are precarious. It just confirms that the gains I had last year, were, at the time, entirely due to the recovering market conditions and had nothing to at all with TA, which at the time I still had some belief in. Its leading me to stop swing trading UK stocks and get to grip with US daytrading, but whether thats feasible given that I work full time, remains to be seen.
 
Quote from Mysteron:

TFI Friday, so I can catch up on some sleep, until Monday when it all starts again.

Strange week, a mega glitch on US stocks, didn't affect me as I don't have any, Greek debt which knocked UK stocks, and a UK general election with a hung parliament, no outright winner. All bad things. One of my swing trades got stopped out and the rest are precarious. It just confirms that the gains I had last year, were, at the time, entirely due to the recovering market conditions and had nothing to at all with TA, which at the time I still had some belief in. Its leading me to stop swing trading UK stocks and get to grip with US daytrading, but whether thats feasible given that I work full time, remains to be seen.
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Mysteron, you are now beginning to see where the REAL easy money is:D

Do not fret if you are not able to daytrade US Stocks immediately, for, it takes a good bit of time to perfect the art of extracting $$$ on a daily basis, and, the US markets are not going anywhere for a while yet, I hope:D

Get set up correctly, and when you have some time, dedicate a day here and there for daytrading.

Idea:Take a half day on a Friday, as you do not have to start until 14:30 UK time:cool:

There is ALWAYS a way if YOU but think about it, and you REALLY want to do it:cool:

TE
 
Quote from The Expert:

Mysteron,

What allowed this opportunity to be observed?

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TE
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Hi Te,

Its nice to see that the signal to noise ratio is improving on this thread.

I don't know what the stock is, and I presume its a monthly chart to allow the levels to be seen. The driving force behind stocks falling is the Greek debt, and possibly spain and Portugal having difficulties too, but I doubt there will be any significant crash just a few blips, Germany has agreed to bail out Greece. I expect that while amateurs are panicking the smart money are rubbing their hands with glee at the buying opportunity being presented. With that point of view I see the chart as a buying opportunity. The bottom level of the box is at the top of previous green bars before the breakout occurred so I see that level as a support. Unless instituitional investors abandon their long positions the price should not dip below the lower level of the box, it should therefore rebound off that level with instituitional investors taking money from retail investors. Indeed the price has not penetrated the lower level and is midway between the upper and lower levels of the box. The top level of the box is at the low of the second bar (red in this case) following the breakout. That level previously suggested a support but now could be resistance so I'd expect a price rise up to that level. Price may rebound down from that level or alternatively rise through it.

So to summarise I'd bet on a rise up to just below the top of the box.

Hmm.. I've just seen the second picture.
 
Quote from Mysteron:

Hi Te,

Its nice to see that the signal to noise ratio is improving on this thread.

I don't know what the stock is, and I presume its a monthly chart to allow the levels to be seen. The driving force behind stocks falling is the Greek debt, and possibly spain and Portugal having difficulties too, but I doubt there will be any significant crash just a few blips, Germany has agreed to bail out Greece. I expect that while amateurs are panicking the smart money are rubbing their hands with glee at the buying opportunity being presented. With that point of view I see the chart as a buying opportunity. The bottom level of the box is at the top of previous green bars before the breakout occurred so I see that level as a support. Unless instituitional investors abandon their long positions the price should not dip below the lower level of the box, it should therefore rebound off that level with instituitional investors taking money from retail investors. Indeed the price has not penetrated the lower level and is midway between the upper and lower levels of the box. The top level of the box is at the low of the second bar (red in this case) following the breakout. That level previously suggested a support but now could be resistance so I'd expect a price rise up to that level. Price may rebound down from that level or alternatively rise through it.

So to summarise I'd bet on a rise up to just below the top of the box.

Hmm.. I've just seen the second picture.
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LOL... What was going to happen was posted on a chart on the 5th. Page 64 on my counter. This is page 71.

http://www.elitetrader.com/vb/attachment.php?s=&postid=2828415

The green arrows going off the chart show the moves from the last data point.


LOL........
 
Quote from The Expert:

Mysteron,

What allowed this opportunity to be observed?
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In the first pic, box was resting above previous narrow range bars/flag, indicating support.
So you are waiting to go long I guess.
 
Quote from Mysteron:

Hi Te,

Its nice to see that the signal to noise ratio is improving on this thread.

I don't know what the stock is, and I presume its a monthly chart to allow the levels to be seen. The driving force behind stocks falling is the Greek debt, and possibly spain and Portugal having difficulties too, but I doubt there will be any significant crash just a few blips, Germany has agreed to bail out Greece. I expect that while amateurs are panicking the smart money are rubbing their hands with glee at the buying opportunity being presented. With that point of view I see the chart as a buying opportunity. The bottom level of the box is at the top of previous green bars before the breakout occurred so I see that level as a support. Unless instituitional investors abandon their long positions the price should not dip below the lower level of the box, it should therefore rebound off that level with instituitional investors taking money from retail investors. Indeed the price has not penetrated the lower level and is midway between the upper and lower levels of the box. The top level of the box is at the low of the second bar (red in this case) following the breakout. That level previously suggested a support but now could be resistance so I'd expect a price rise up to that level. Price may rebound down from that level or alternatively rise through it.

So to summarise I'd bet on a rise up to just below the top of the box.

Hmm.. I've just seen the second picture.
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Ah, should have realised its good old BDX. Oddly, I recall thinking last night that it wasn't BDX, the second glass of wine may have contributed to that view. The second picture is a 1 hour chart of BDX, the large red bar spiking down almost to the bottom of the green area coincides with the Nasdaq glitch, could it simply be smart money selling across all stocks, not just BDX, to cause panic and buying back at the next level down, and selling again at the top. The European debt problems had primed markets to drop so smart money give the market a big push down. Volatility has dampened down now.

All with hindsight of course. So which way will BDX go on Monday, I don't know, but the trend is down and the current trading range is within the green zone. I'd bet the predominant move will be up towards 74, hopefully after an initial small drop.
 
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