I can NOt follow the Trend

Discussion in 'Trading' started by Flashboy, Aug 6, 2007.

  1. Flash,

    I got a suggestion.

    If you got this contrarian preference in you.

    How about you only trade double bottoms and double tops ?

    Assuming you know how to trade them correctly this could lead you to some progress.

    If you need guidance in how to trade them, just ask, just not sure of your skill level.

    The risk vs reward is great, the entry is very easy to spot, the stop is very easy to place and their success rate is good plus it's kind of a reversal/contrarian play.

    Hope it helps.

    Anek
     
    #41     Sep 2, 2007
  2. Jack, I believe perhaps that's part of the problem. Their subconscious mind becomes scared because they don't really connect with the charts. They don't draw angles or count bars. They don't look at weekly, daily, hourly to determine the trend.
    They can't throw their money away fast enough with sloppy entry and exit rules.

    They want to be led to the greener grass where the grail awaits on a silver platter.

    They're afraid to succeed because the journey is unfamiliar and painful.

    Once again... they're afraid.
     
    #42     Sep 2, 2007
  3. Um wrong again. In order to fully capitalize on the trend your buy stocks that outperform the market on an uptrend such as AAPL and use options to further bolster your returns.

    But even an index ETF like DIA will outpace inflation. I'm surprised you didn't know that being that you're an expert an all.
     
    #43     Sep 2, 2007
  4. You still holding GS little buddy?:)
     
    #44     Sep 2, 2007
  5. NTRI, in 2006 had a three day trend on the daily fractal.

    this meeans you buy it in the same way you buy AAPL.

    You hold it through the three day trend. That is, you buy it in the late PM after you get a BUY signal from the indicator.

    You sell it in the am as it's price peaks at the end of the trend.

    You make 30% in 3 days on NTRI during its 3 day trend going from beigining to end of the trend.

    There are 250 days in a year, trading wise.

    For NTRI this happened 4 times in 2006.

    30%, 30% 30% and 30%.

    Do not add these %'s up. Compouind them.

    You see that 3, 3, 3, and 3 days were used. This you add and also take into account on buy day and sell day you have sell and buy days for other tocks too. There is an overlap, effectively since the money is put to work the same day is is made available.

    The portion of the year that is used to trade four times in this one stock is 12/250 conservati8vely speaking. As a % of the year it is a small perecent, meaning that this can be done many times during a year.

    The compounded profit is 289% for a 12 day portion of a year. It is also worthwhile to note that the 30% gain on a couple of the trades involved entering late in the day a day before a gap up.

    AAPL does not have the same characterisitcs of NTRI. I would never trade AAPL because it does not make 30% in three days four times a year. You do not trade NTRI because it has never shown up on your radar, nor does your radar pick stocks the day before they gap. Mine does.

    You fit the mold of flash and cash. I am explaining to you carefully that you are not on the ball or close to it even. You are not even a trader, for example. you may never find out much in your life.

    Cash and flash are great examples of people such as you. Look at them not getting anything at all and then imagine that you are just like they are. Then imagine that you cannot learn anything because you are "right" and so smart. You are making everything okay and great by how you operate. It isn't okay and it isn't great in reality.
     
    #45     Sep 2, 2007
  6. I hear many mentions of learning how to trade...but no mention how. Where does one learn how to trade? Is Day Trading University a good school? Can day-trading be a consistent way to make a good living?
    All advice appreciated..............
     
    #46     Sep 3, 2007
  7. Those fanciful ideas are based on hypothetical scenarios that wouldn't work consistently in reality. Thanks anyway though.
     
    #47     Sep 3, 2007
  8. No sold it at a loss.

    Many months before the big selloff the tape read very poorly.
     
    #48     Sep 3, 2007
  9. dtan1e

    dtan1e

    for a minute i thought u were jack or spyder that is from the length of post :D
     
    #49     Sep 3, 2007
  10. Johno

    Johno

    Hi Jack,
    A book I have - The Elements of Successful Trading by Robert P Rotella 1992 - discusses optimization quite well and in essence concurs with the points you make!

    Best Regards

    Johno
     
    #50     Sep 3, 2007