This is what I liked about a CANSLIM approach; even if one applied only the most basic filters, the number of tradeable stocks dropped from thousands to only a few hundred. And it wasn't all that difficult to reduce that to a few dozen. And guess where the volume turned out to be? But once the universe is defined, continuing to make the fundamentals a factor can kill you (it's a good stock; it'll come back). At that point, TA rules.
I don't think that the book will have that exact title (but you never know...lol)....and if we used fundamentals for daytrading (especially 1997-2000 or so), we would have all gone broke. However, as a Relative Strength measure (when pair trading, or using sector strength), it is always good to have the "numbers" already in your head. Remember, this is an easy game to keep score in.....$$ and cents (and sometimes a little "sense" goes a long way). Don
PRICE rules over NEWS which rules over TA which rules over FA....... you can have a great looking chart in an amazing trend and have some shmeckle head on cnbc mess it all up.....peace
In the very short time frames I agree with this. But in the longer time frames, weeks and months, I would reverse FA and News. However, in the immediate time frame, meaning this moment... price IS news AND fa AND ta.
you can use FA to get a smaller universe. Making money is not a macro oriented endeavor; it is a micro thing. this is why money managers never beat the true value of the economy. thet are macro jocks. MM is using macro but he has no money like money managers do. This is the onlt reason he quals them, he has no macro constaint. Too bad he doesn't use his universe to optimizing his money velocity like traders do. It will be hard to get him to think about anything. I used to condition myself for glider acrobatics using a combo of exercise and quick thinking exercises. MM is not a reasoning person yet since he hasn't dealt with any significant capital as yet. doing glider acrobatics after market close is a great way to be in a more menatlly relaxed context where you are detecting with pressures on your bod and then reecting to complete very dynamic moves. I would love to see him responding during over 5G moves that have to be made. LOL. he has trouble mentally stayin in ET and not flipping out periodically.
the day tradrs here are not trading excellent micro universes. you will notice that alot of them on the other hand just trade a group of stuff that has such high volume that is does not move significantly. think about it. when a person is doing volume, he should be in a place where the market still moves in price. Most of the big posters here in scalping etc do not trade movers and they just miss out on getting any significant money velocity eveer.
why not just learn to be on the right side of the moves???? somedaay you will notice that someone is one the opposite side of where you are stuck.
Maybe you'll find this email I received today from Investors Business Daily of interest: From: forumsupport@investors.com To: mr_market63@yahoo.com Subject: RE: I have 25 consecutive profitable trades of 15% or better...I am the greatest stockpicker on the planet Date: Wed, 2 Jul 2003 10:50:10 -0700 Excellent results to go along with the bravado. If these type of results continue, provided you're investing an appreciable amount per stock, you'll be financially independent in the not too distant future. Be careful as you enjoy the best meats and cheeses. ------------------------------------------------- You are receiving this message from IBD Forums because you have flagged this forum, topic or user.
LOL. i read your posts too. thanks for your contributions. what is getting your attention besides me now? thanks in advance