Trading Dummies

sounds great, would love to see the results - i'd take a shot myself too but am not geared up for testing stock data (mostly do futures) and also am time constrained at the moment - looking fwd to seeing the results.
 
Quote from fader:

ok thx - if you are making good money with it, it makes sense to focus on trading it.

just one other quick question - somewhere there was a mention that you watch volume during the first half hour - what are the specific things, if any, that you are looking for with respect to volume - or is this discussed somewhere on the website in the lessons, would you pls point me to the section - thx again.
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fader, read the lessons (MaoXian) and it'll be clear. The only requirement for volume is that there be some!

I'm being facetious. Ideally you want a nice, deep pool of liquidity. Lots of trades/minute (this is what MaoXian looks for), tight spreads and you want it to continue for the morning. That is, you don't want it all of a sudden to drop off after the first bar or two.

This does not mean that 'dummies' relies on any sort of volume pattern. Rather, dummies requires that something be 'in play' and for that, it requires the attention and involvement of other traders - which translates into good volume.
 
thx a lot for clarifying - all makes sense - it's interesting for me because although i am focussed futures and i look i look fwd to following the journal - all the best.


Quote from Babak:

fader, read the lessons (MaoXian) and it'll be clear. The only requirement for volume is that there be some!

I'm being facetious. Ideally you want a nice, deep pool of liquidity. Lots of trades/minute (this is what MaoXian looks for), tight spreads and you want it to continue for the morning. That is, you don't want it all of a sudden to drop off after the first bar or two.

This does not mean that 'dummies' relies on any sort of volume pattern. Rather, dummies requires that something be 'in play' and for that, it requires the attention and involvement of other traders - which translates into good volume.
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Here's HOV's chart:

I was looking to go long because I've found that usually NYSE stocks that gap down like this bounce back - atleast that was the playbook I was following. The result was pretty much a scratch.
 

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BLDP played it both long and short.
Shorted MATK stopped out early for a small profit
Small profits in BIIB played long early, shorted on a breakdown.
little loss
shaken outta DELL for small loss
small loss in AMZN.

busy day. overallpretty good.
 
NKTR was a pre mkt gapper with volume. See those two wide range down bars? Nasty stuff. I've learned to watch out when that happens. Usually, you don't get a bounce in that kind of situation (for a gap down). That's why I would've been shorting or thinking of shorting.

MaoXian exits at eod (vertical box). I would argue that most traders would get a bit spooked and exit at around 2:00 pm (flat box). About a +1.5R wouldn't you say?
 

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