it really depends on what vehicle you're talking about...
stocks is / are one thing,,,
futures, being a zero sum, are another thing.,,,
options are another thing,
bonds another...
hybrid vehicles (structured products, etc.) remain hopeless...
Who profits when retail traders lose?
- Thread starter Option Trader
- Start date
it really depends on what vehicle you're talking about...
stocks is / are one thing,,,
futures, being a zero sum, are another thing.,,,
options are another thing,
bonds another...
hybrid vehicles (structured products, etc.) remain hopeless...
Um the brokers and banks and credit card companies that issue funds.
IMO, you are one of the few traders in this thread & on this forum who really know what's going on, and thus least likely to get burnt.
Those that say "get real, do they really pay attention to the little retail trader?" are either referring to big stocks, OR in my opinion don't know what they are talking about.
My friend, I've been on this board longer than you, and have been an active trader about the whole time.
it goes like this-the big firms use trading algorithms run by bots/computers-they can see order flow and who bought how much at what price-level 3 book-now market makers(they have level 3 also) job is to make a market-market is supposed to be based on supply and demand-if their is no demand-market maker can and does often create -demand so as to [1]squeeze shorts by running up the price and/or trying to get retail to buy the cover rally runup- market maker then creates supply/oversupply- sells short and naked as long as he covers within 3 days maybe its 14?-which runs the price down-pannicked buyers sell which the market maker then buys to cover but does it slowly so stock keeps dropping , setting off sell stops-he buys up all the selling volume(covers) and then does it all over again!!! read "Reminiscences of a stock operator"
nothing has changed
pools=hedge funds
bucketshops= retail trading shops
operators= investment banks
manipulation=operating
larry livermore lays it all out to see clear as day-nothing new under the sun-only way to trade is to follow Goldman Sachs or other big firms-ride their coatails -they set the trend -volume will hide your presence somewhat-if volume is thin you will be trading against the market maker most of the time-they control the market so you cannot win-that is why most trade within the first 45 minutes of opening bell-that the bets-other betters going for the table-i dont know what else to tell you except your own brokerage house can front run your order-clear from in house(sell from thier market makers pool)your order never even hits the trading floor!!! or trade against you-your broker makes commision and your losss is their gain ...litterally
all the odds arew against you-the trend is your friend-no one else is-oh gap down means massive shorting before/during opening then the stock will creep up as they start to buy to cover(UNLESS SOMTHING WRONG WITH COMPANY)-reverse that for gap up-every body buys then sells(HYPE RALLY)-TREND IS YOUR FRIEND! WATCH VOLUME WITH PRICE!!! hide and seek
nothing has changed
pools=hedge funds
bucketshops= retail trading shops
operators= investment banks
manipulation=operating
larry livermore lays it all out to see clear as day-nothing new under the sun-only way to trade is to follow Goldman Sachs or other big firms-ride their coatails -they set the trend -volume will hide your presence somewhat-if volume is thin you will be trading against the market maker most of the time-they control the market so you cannot win-that is why most trade within the first 45 minutes of opening bell-that the bets-other betters going for the table-i dont know what else to tell you except your own brokerage house can front run your order-clear from in house(sell from thier market makers pool)your order never even hits the trading floor!!! or trade against you-your broker makes commision and your losss is their gain ...litterally
all the odds arew against you-the trend is your friend-no one else is-oh gap down means massive shorting before/during opening then the stock will creep up as they start to buy to cover(UNLESS SOMTHING WRONG WITH COMPANY)-reverse that for gap up-every body buys then sells(HYPE RALLY)-TREND IS YOUR FRIEND! WATCH VOLUME WITH PRICE!!! hide and seek
one of the few things in trading that I'm totally unable to understand is Why many experienced traders do not put "edge" at first place in such 1,2,3... rules? Many put "discipline" at first place and only after that they put "edge".
IMHO is should be:
1. edge
2. discipline
3. money management
4. tech. staff like comissions and reliability of you trading platform
OK, comissions not at position 4 for scalpers
Because there is no such thing as an "EDGE". Your trading strategy, tactics and DISCIPLINE implementing that "PLAN OF ATTACK" is what many call their edge.
A so called "EDGE" is nothing more than you as an individual doing what works for you.
EDIT: It boils down to discipline in using your signals that are honed down to where they are "GOLDEN" signals for you. There are no secrets in trading. I could tell many my entire plan of attack and say with confidence 99% will never use it or tweak it to death because they have not DEVELOPED the same confidence in MY golden signals as i have. They might think it has value but what would happen to their confidence if they tried one of my signals and it produced 3 losers in a row?
See where i am coming from? My plan (edge) is mine and mine only because i paid the dues in developing the discipline to follow the GOLDEN bricked road.
A so called "EDGE" is nothing more than you as an individual doing what works for you.
EDIT: It boils down to discipline in using your signals that are honed down to where they are "GOLDEN" signals for you. There are no secrets in trading. I could tell many my entire plan of attack and say with confidence 99% will never use it or tweak it to death because they have not DEVELOPED the same confidence in MY golden signals as i have. They might think it has value but what would happen to their confidence if they tried one of my signals and it produced 3 losers in a row?
See where i am coming from? My plan (edge) is mine and mine only because i paid the dues in developing the discipline to follow the GOLDEN bricked road.