beware of the the other side with order flow and a bigger bankroll

Discussion in 'Trading' started by SethArb, Jan 8, 2007.

  1. how does a small trader stay in his trade when the "dark force"

    is squeezing him ?
  2. Join sides with the "dark force" Try to think what a newbie would do and do the opposite. That's what has worked for me.

    CajunSniper / Administrator-Trader
  3. duard


    "The losers are those weak traders who cannot sustain their margined positions. At the end of the day, it is always the burden of debt that breaks the back of the hopeful." From Bill Cara.

    That's why with a plan and enough money you should always be able to grunt out a pfennig.

    It's interesting to watch price action as you see price bullied in favor of the larger accounts.
  4. Unless you're willing to go to .01, wait forever for a recovery, then theoretically you can't.

    What is the figure? Hedge funds control 1.5 trillion dollars? 20% of the U.S. markets?

    When they focus their massive resources and go long or short, they and they alone can move the bid and ask.

    The only thing that buffers the effects of hedge funds on market prices are other hedge funds.
  5. duard


    That's the trick I suppose for the little guy is to figure out when all the elephants begin moving in unison otherwise you're just going to get trampled.