Long only Traders

Discussion in 'Trading' started by Joovenile Jatt, Aug 5, 2010.

  1. That would constitute a strongly trending bull market.....in a shorter time frame. :cool:
     
    #21     Aug 6, 2010

  2. :D :D :D :D :D
     
    #22     Aug 7, 2010

  3. I agree with Nodji


    I short 90% of the time, never had problems except holding positions over weekends....

    Also tend to not short many equities, being surprised in shorting is def not your friend..... To many variables with equities....
     
    #23     Aug 7, 2010
  4. Slight problem with this logic.
    You can't go back in time to short the NASDAQ at 5000, nor can you go back and short FNM and FRE. [​IMG]
    The only thing you can do is guess what the future will do.
    So tell me, should we short BP?
     
    #24     Aug 7, 2010
  5. I'm not sure equities actually do go up over time. When a company dies and fails, it is taken out of the indicies. Most companies eventually fail. Sure, maybe taking long-term short positions in S&P 500 companies without very sound stock selection is over time a losing game, but I think it's only because of selection bias that we believe equities go up over time - they do, but only because we weed out the ones that die. FNM/FRE/LEH/BSC/AIG/WM/ were all major large caps... but now they're not counted in the indicies anymore.
     
    #25     Aug 7, 2010
  6. luga982

    luga982

    FNM and FRE? arent those on the pinks?
     
    #26     Aug 7, 2010
  7. JeffUSA

    JeffUSA

    If you are biased about only going long it's alright. I used to be like that.

    I realized if you are only going long you are leaving half the profit on the table.
     
    #27     Aug 8, 2010

  8. You are also leaving half the loss on the table too.
    Well I had a go at going long only on Friday, a day that should have been
    a huge down day due to the poor non farm number.
    I made a killing on the open as the market rallied 9 handles
    and then lost it all when it tanked to the low.

    The rest of the day was spent buying every dip and getting out
    and though I didn't do as well as I should have when the market finally
    roofed I still made a huge amount of money buying 40 or 50 dips previously.
    Intact if I had stayed long till the close and not got out at 1115.50 I
    would have had my best day ever.
     
    #28     Aug 8, 2010
  9. Nine_Ender

    Nine_Ender

    Except do you not realize the best trade of the day was to short financials in the morning when they started rolling over ? Your long bias prevented you from taking that trade.

    I would bet the house you could have made more money in 30 minutes on that trade then all your other long trades combined.
     
    #29     Aug 8, 2010
  10. NoDoji

    NoDoji

    And in my case, my short bias kept me from taking a perfectly valid long signal at the market open which would've made me in 30 minutes 70% as much money as all my short trades combined, not that I'm complaining...OK, yeah, I'm complaining :p
     
    #30     Aug 8, 2010