Let's Talk Strategy

Discussion in 'Strategy Building' started by Adam Cornell, Jan 11, 2016.

  1. Hey, everyone. New guy here to the forum, wondering if anyone has a strategy that is out of the ordinary and has found some degree of success but may need some help in the analysis side of it.

    I'm currently finding mixed success in day trading right now mainly using fundamental analysis and am wondering what strategies you guys are excited about.
  2. wartrace


    You are not finding mixed success using fundamental analysis. You are seeing pure random results. It is impossible to use fundamental analysis successfully for trading intraday.

    Most people use one of or a combination of the following:
    Technical analysis
    Price action
    Order flow

    Never heard of ANYONE using fundamental analysis to determine short term market direction.
    Last edited: Jan 11, 2016
  3. Let me be clear here, I am not trading intraday. I am focusing on the immediate open of the market and specifically events occurring after market close the day prior and before market open the day of. Further, I fix my sell off point at 1 percent gains or loss and have about 60 - 70 percent chance of my picks returning that 1 percent. I am not seeing pure random results, as for a strategy it is quite basic. But, I'm here to learn more and advance it.

    Care to throw in some constructive criticism?
  4. Ha...that's a big laugh -- using fundamental analysis for day trading. :p

    ...you have alot to learn, Daniel San.
  5. Lol That's why I'm here. How do you trade?
  6. wartrace


    You clearly said you were "Day trading". Intraday trading is just another way to say it. The term "fundamental analysis" threw me; I associate that with long term investors and the works of Graham and Dodd.

    Sounds like you are trading news events in equities.
  7. magestic


    Well welcome to the forex market. What hasn't been done till now can be done and it can be profitable as well. Its not necessary that what don't work for you, won't work for me. Its OK if its working in forex market.
  8. wartrace


    I think there is a misuse of terms. Fundamental analysis is an effort to determine the intrinsic value of a security. Daytrading is the buying and selling of securities on the same day, often online, on the basis of small, short-term price fluctuations.

    Are you sure that what you call "Fundamental analysis" is not actually news? It sounds as if you are trading news. How does one determine when to enter for a 10 to 20 tick trade using fundamental analysis? Please enlighten me.
  9. wrbtrader


    You can use key market events like economic report releases, breaking news, geo-political events, key speeches (FED, IMF, ECB, BOE), earnings announcements, market tendencies and so on for day trading (intraday trading)...I call all as a group key market events (KMEs)

    Thus, I think some of you guys are slapping the phrase "fundamental analysis" incorrectly on the above as wartrace suggested.

    Now the question is this...can someone profitably trade via the above alone. The answer is YES. To use any of those, you really need to know your trading instrument in how it tends to react when specific types of key market events appear and you'll most likely be using it with chart analysis or DOM analysis.
  10. eurusdzn


    You might find some similarity in what you are doing to the poster FXintruder.
    He has a couple trading threads and I have found him to be amongst the best reads here.
    #10     Jan 12, 2016