This is a ridiculous list frankly. What platform do you use?
Pro Traders...please tell me what I'm doing wrong - how can I change it ?
- Thread starter neveral0ne
- Start date
Sterling... /vomit
Well look, in general here's what I would think.
This stock list is ridiculous. The $25 price limit is ridiculous. Get that changed... get them to let you trade anything under $100.
I also think your stoploss is a little low. I know a lot of people reading the forum think it's ridiculously low, but I would just like to see it more like $150 or so. Don't blame your stop loss though... if you find yourself thinking "I could have done better if my stopout wasn't so low" then you're probably wrong.
In general the stocks that trade the best have unusual activity because they just reported or some other news. Also in general, commodity-related names (metal, energy, agriculture, coal, etc) are very hard to trade so I would avoid those.
And it depends on what you're doing but if you're doing TA related setups then RIMM has been my trainee's favorite stock for the past few months. STEC and SEED also were popular for a while. All of these stocks will be a different experience than you are used to. It is not that unusual to have a .20 loss on RIMM and almost never possible to trade it with less than .10 risk. If you're reading the tape, then it certainly is possible to risk less than .05 on each trade, but in general those stocks are not going to work like that.
This stock list is ridiculous. The $25 price limit is ridiculous. Get that changed... get them to let you trade anything under $100.
I also think your stoploss is a little low. I know a lot of people reading the forum think it's ridiculously low, but I would just like to see it more like $150 or so. Don't blame your stop loss though... if you find yourself thinking "I could have done better if my stopout wasn't so low" then you're probably wrong.
In general the stocks that trade the best have unusual activity because they just reported or some other news. Also in general, commodity-related names (metal, energy, agriculture, coal, etc) are very hard to trade so I would avoid those.
And it depends on what you're doing but if you're doing TA related setups then RIMM has been my trainee's favorite stock for the past few months. STEC and SEED also were popular for a while. All of these stocks will be a different experience than you are used to. It is not that unusual to have a .20 loss on RIMM and almost never possible to trade it with less than .10 risk. If you're reading the tape, then it certainly is possible to risk less than .05 on each trade, but in general those stocks are not going to work like that.
I would recommend using whatever time frame you're using for your setups and signals. Use a lower time frame to guide entries and exits once your trading time frame sets up. In other words if I want to join a trend to the long side on a 3-min or 5-min chart, I'll watch the the 1-min chart when price approaches a rising 10-bar moving average IN MY TIME FRAME. As soon as those red pullback bars on the 1-min turn to a green bar with buyers, I'm in. See? My trading time frame is what I'm using to set up, and the lower time frame guides the timing of my entry.
ADD: The larger time frames guide the overall bias you might have.
I know very little about tape reading, but I do know when a lot of red prints and the bid's just sitting pretty, price is very likely going up.
Candle patterns have not tested particularly well. You are not going to get a serious edge by doing this.
Without pointing to anyone in particular, remember you are talking to anonymous posters, without any way to verify whether they know what they are doing. And most of them do not.
You are not going to suddenly make money because you incorporate a bunch of rules from others. Although some of them likely have merit, others are often just what they believe.
Read through what you get, try and get verification from others, but it still comes down to learning how to trade.
What kind of stocks am I supposed to be learning on to trade setups ? Anyone can come up with a list of a few ?That trend and will be good practice for me ?
RIMM, JPM, PEP, LVS, SPY (yeah seriously)... or, how about a stock that has reported and has unusual premarket volume? (just saying...)
