Intraday or long-term? We talked about casino and car rental stocks. I scaled on MGP, Penn, ERI, CVNA, KMX and CAR. Will post a screenshot of my sons college fund. His PENN had 800 shares from the $3s to $10, ERI $7-$15,Car $10-$15, the reason I was scaling is because of your posts. I wanted to buy these stocks during the panic and you were preaching "scale n right size". Thank you for the nice reminders, you can teach a old guy a new trick.
I like how you try to protect your students, I went to Oliver n Greg, your free advice is better than their $5000 course(broker paid, not me because they wanted traders to scout if they were legit to have a strategic relationship, I thought it was a horrible idea). Your too honest to be in the teaching game!
Glad to be of help with ideas, your post made my day. The key is scaling out to lock in gains, I'm still in PENN etc too but plan on going cash at first sign of trouble, eg loss of 2day lows in my long positions. Markets are way overbought here imo and may finally sell next week
Well, backtesting requires some serious programming skills (C++, Python, etc...) that most traders simply do not have. Even EasyLanguage (from TradeStation) is not that easy to master. That said I truly believe that every trader must learn how to code his trading ideas so that he can at least know the return on investment and the drawdown of his strategy. He would also be able to know the optimal position sizing and the best trend indicators to use to maximize his profits - on a risk adjusted basis - while still avoiding choppy, trendless markets.
I agree with you, the only problem is there is so much cash from everywhere buying. Kids at all the schools are becoming daytrading experts along with sports bettors. Sca I've been buying FSLY and DDOG on pullbacks(30 shares each price point at $63-$70)on my journal I posted 90 shares of FSLY average $36. In my bigger account Ive been buying DDOG again after it fell to $62 on Trump's Social Media raging. Ken are you old enough to remember trading Select Net or the AutoEx Arbitrage?
Spoken like a trained Market Maker, this free gem would save noobs so much cash if they learned just this one concept! Thanks Ken.
True, but in zero-sum games (like Futures or Forex), winning traders get their money from inexperienced and undisciplined traders, so if the noobs wise up the pros will automatically lose their edge.
You won't lose your edge because people refuse to follow instructions. I tried to mentor after the collapse of 2000, I would tell the trader who blew up "Going to buy 5000 shares of GERN at $1.60, adding 5000 at $1.75-$3.00" I have xxx,xxx shares going to sell at $4.00 you ready to dump too"? Trader says "No, I am so screwed because I shorted at $2, all the way up to $4 and I lost over a $100,000"! I felt stupid, the biggest gain he could have cleaned up half his $500k loss and he loses another$150k". It happen with two more guys, their bad habits rubbed off on me. So I think you are safe with your edge, it's the bots you got to worry about because people don't listen, bots obey.
Yes, thanks to the endless supply of newcomers entering the trading arena each day. Don't worry, the robots and even AI (Artificial Intelligence) will NEVER prevent the market from doing what it has always been doing for centuries : going up, down, or sideways.