Principle based day trading strategies
- Thread starter rajesheck
- Start date
Cut your losses immediately when the trade doesn’t go your way. There’s nothing harder to learn and nothing better. I’ll be even more specific. The average “run of the mill” day trading advisor will tell you to enter a trade, place a stop of 2 to 4 points, place a target that’s equal to your stop, or 2 to 3 times greater, and then wait for your stop to get hit. This is a big mistake that is going to end up costing you.
Do you speak English?The "successful" investors that we typically know of are largely made known to us through intentional publicity - that is, they are trading OPM. A proper Offering Prospectus always includes the fund manager's investment "principles". It's for client consumption. Furthermore, the "guiding principle(s)" will seek to differentiate that fund manager from other fund managers, and will also strive to reassure the client and instill confidence. Again, it's a pitch.
Independent speculation does not require such superfluous distraction. Let me explain my reasoning. The way in which you incorporated the term "principle" into day trading axioms in your OP worried me a bit. You intentionally eschew "technique" in favor of an "attitude" divorced from the reality of taking a loss. To me, these semantics are important because it tells me that you favor a global axiom in lieu of grounded, market realities.
Let me politely offer an alternative mindset formed since the early '90's, forged through working with 150 clients, and which I thinks best sums up the proper mental framework for independent speculation. Throughout the history of life on earth as we know it, the most successful and longest lasting animals are typically ambush predators. They conserve energy (capital), watch and study the environment around them motionless for hours and days, and take instant advantage of opportunities as they present themselves. And when those opportunities turn into danger, they break off and flee immediately. Just my own 2 cents, YMMV.
Bone speaks (and writes) excellent English, conveying his meaning concisely and with great clarity. As a forum sponsor, he also reliably does so without ever being "promotional" in the insights and experience he offers here, and we're lucky to have him.
that advice unfortunately worth no more than "buy low sell high" advice
, because one has to be able correctly to define "doesn’t go your way", same way he has to define what is "low" and when is "high"in order to do that one needs a functional (not fictional) method !
any day trading adviser - does not know what they talking about (otherwise they would never be a trading adviser)
that advice unfortunately worth no more than "buy low sell high" advice
in order to do that one needs a functional (not fictional) method !
any day trading adviser - does not know what they talking about (otherwise they would never be a trading adviser)
Buy high sell higher.
Trading is a combination of...gambling...
The question is to what proposition.
There are professional gamblers who treat gambling like a business and succeed.
Trading is a discipline of...controlled gambling and primarily an attitude.
Anyway its good a news for disciplined traders that there are lots of gamblers around who don't display a character in their trading.
Trading is NOT GAMBLING!
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That is certainly one way to trade, I suspect a lot of people on here will disagree with it because they will argue that it's "impossible" to time entries close enough to areas that will make it possible to take an immediate miniscule loss if the market doesn't move in your favor. It does require very precise entries IMO.