I do understand your point. Psychologically for me it is better to buy and wait. there is no hope. It eithers works or I get stopped with a small loss. On the complexity of the pattern, these are 5 point patterns which take more time to develope but it is that development process that prepares for the next main move. We have all been stuck in sideways markets, so when you see these patterns the instrument is preparing a move. Also, if these moves break the opposite way then game over or possible reverse position. It is just a differnt understanding of markets.
If you are prepared to let your money sit based on hope that a stock might turn after making a new low you should redefine yourself as an investor, NOT a trader. Good traders can't survive with "dead money". Good traders don't through darts. Good traders don't catch falling knives. Everyone that has responded to your thread has advised against your strategy. Good morning.
you are correct by definition I am more of an investor at this point but I have a clear cut way of identifying trades and clear cut stops for capital preservation, which can also be employed on different time frames for day trading. I am just sharing what I have been studying And by the way only the best can catch a falling knife or at least have an idea where the knife may stop falling. if you try you may learn something new. The teacher can learn frrom the student if they are open to it.
"I am more of an investor at this point" ........................................................... Over the past 30 years I have seen traders become investors because they are "bagholders". One should not try to predict where the knife will stop falling. As far as a teacher learning from a student, you have a stubborn character, and you are emotional, bad traits for a trader. "The markets can remain irrational longer than you can remain solvent"
Well, I made several grand this week on double bottoms and trendline breaks! Tell me about BSX and PFE today? Was it exciting? Dow up 142 points, did ya get good action on BSX?
Yes, When PDLI bounced off that pattern people knew that the CEO was leaving and that was a good thing, because when the CEO news came out the stock stayed up from the pattern bottom. But, the news yesterday was really kept under wraps so not in the stock price on the initial move down. No one is safe from the unexpected. 18.00 is a support area
Soros jumped into PDL back in June. Wonder if hes out now. X 1000 PDL BIOPHARMA INC COM 69329Y104 $47,344 2,031,930 SH X 1 X - ------------------------------------------------------------------------------------------------------------------------------------ PDL BIOPHARMA INC COM 69329Y104 $5,506 236,300 SH CALL X 1 X
I just trade the pattern but it is interesting to see how PDLI traded once you know certain news like the Soros purchase