long term trading makes a lot of money

Discussion in 'Trading' started by coolweb, Sep 27, 2007.

  1. http://www.elitetrader.com/vb/showthread.php?s=&threadid=98524

    I don't daytrade anymore, I pick something to hold for 3 months - 1 year.
    usually around 1-2 months,

    I focus on the entry meticoslouslly where I know its under valued.

    then I tell myself I'll close it out @ 25% profit and then 50% profit 1/2 1/2.


    This is after 2 years of trading almost full time on and off.

    Market is close to random on a day to day basis, but time always arbitages to the correct value in the long run (1 month can be a long run)


    One of the keys in long term investing, is to understand how to calculate value for stocks, how to tell if its actually undervalued or just overvalued being sold to normal value.

    I don't like the value investing calculation methods, cause its more of a perspective then a reality, it can change on whim with the S&P valuations.

    good luck! :)
  2. I feel you are a totally moron, no cash flow, how do you live on that?

    we are trading for a living! we must take out money from market everyday!
  3. You make more money compounding than constantly taking money out.
  4. plugger


    I think coolweb and stocktrad3r are the same person.
  5. yeap
  6. > I think coolweb and stocktrad3r are the same person.

    I know this is none of my business, but if that is the case, the person wrote at least nearly 6,000 messages... Or he/she has more names? Oops, sorry.
  7. "It's a bull market."

    Jesse Livermore realized that Turkey's consistent message was that the big money was to be made not in trying to trade small moves on the tape but to catch the major trend.

    "Nobody can catch all the fluctuations. In a bull market your game is to buy and hold until you believe that the bull market is near its end. To do this you must study general conditions and not tips or special factors affecting individual stocks. Then get out of all your stocks; get out for keeps! You have to use your brains and your vision to do this; otherwise my advice would be as idiotic as to tell you to buy cheap and sell dear. One of the most helpful things that anybody can learn is to give up trying to catch the last eighth-or the first. These two are the most expensive eighths in the world."

  8. And he committed suicide.
  9. But he was right
  10. A professional trader should have the cash to get by even if he is not making any money in the short run. You will most probably end up losing money if you are pressured to "take money from the market" every single day.

    Holding a position for a month or 2 is still trading, its called position trading.
    #10     Sep 28, 2007