Scalper 101

Discussion in 'Journals' started by coolweb, Aug 12, 2006.

  1. Cool web!
    I go thro the same problem like yours some times.But like the earlier post suggested you could have got a .10/.20/.30 cent trade out of appl.
    Just stick to indices etf SPY,IWM or ym,es,er2,nq(if you like scalping 8-10 ticks)
    & few high volume stocks whick mimick the index. QCOM is one of my favourite.I will scalp it altleast .10c /day out of it.
    JUST Watch2/3 chart with 2-3 high roller stock including OIH. You will get your trade.
    Do not paper trade as you will not feel the pain when your stop loss is hit.
    Trade 100 share & feel the profit(happy) &loss(dejected).Loss shoild be affordable
    I guess
     
    #31     Aug 15, 2006
  2. Cool web
    I have to confess that I kind of freeze like a deer in head light when I watch too many tickers.
    so I stick to
    2/3 steel/coal/oil stocks apart from spy,iwm,qcom.may be smh,IYT.
    I dont lurk too much.just concentrate with minimum tickers in 2/3 chart with your favourite indicator.(maximum 10 tickers,3,4 charts open in my Medved QT)
    I do not trade indivual gold stocks.just a bit in XAU options if the market has a extreme move eiether way.I will get .2/.4 in the ATM option.
    I will look seriously at the GLD perhaps
     
    #32     Aug 15, 2006
  3. the difference between a scalper and a swing trader doesn´t lie on the frecuency of your trades. You could be swingin to the 1 minute chart... looking for formations and so...
    The real difference is that the scalper doesn´t try to predict, or even get a high probability of something. The scalper doesn´t care what the market is doing next, he cares for what the market is doing in this very moment. If you see a move to the downside starting, then go short... see a rally? buy. Once it stops moving for a few seconds, bail out. There´s no waiting for the right set up, or waiting for the move to start, or thinking of the probabilities of the move going a particular way, you´re not in until there is a move, and you´re only in as long as there is a move. Once it stops, so do you.

    At first you´ll be too slow, catching the moves once they´re over... That´s why they say that at first you´ll learn how to lose, before you can learn how to win. A good start is using 100 shares and being profitable {before commisions} You wont be profitable after commisions until you´re up around 500-1000 shares... depending on your frecuency...


    The reason most scalpers use NYSE instead of nasdaq is that it is a lot cheaper to remove liquidity in NYSE and as a scalper you´ll be removing liquidity most of the time. If you go to PFE you can get into shorts without that annoying uptick rule...
     
    #33     Aug 15, 2006
  4. jtnet

    jtnet

    anytrades?
     
    #34     Aug 15, 2006
  5. jtnet

    jtnet

    i guess AAPL blew out his account
     
    #35     Aug 17, 2006
  6. Hello,

    I like to say thank you to everybody following the journal,

    I have stopped scalping and switched back to swing trading.

    I did not take 1 aapl trade this whole week,
    why?

    Theres no real trades to be taken unless you are really scalping, I'm not scalping with momentum, I'm always trading by charts, so I have no real concerete setups where I can have a 50+% win ratio etc.


    ------------
    I also realized, its going to take me an extra 2-3 years to become a profitable scalper by myself.
    I think I would have a much better ROI dedicating that time in adding to my swing skills at the moment.


    Because its not about the timeframe that makes you a trader,

    Its about the unique entries that takes thousnads of scalping trades to build up to where you can actually have a toolbox of entries you use to scalp that timeframe.

    Back to swing:
    http://www.elitetrader.com/vb/showthread.php?s=&threadid=61468


    It was a good learning experience :)
     
    #36     Aug 17, 2006
  7. jtnet

    jtnet

    pretty much the worst non trading attempt at trading evar. what setups were you looking for?
     
    #37     Aug 17, 2006
  8. AAPL was a long and short opportunity all day!!!
     
    #38     Aug 17, 2006
  9. Just pulled an intra-day over the past 10 days.

    This thing trends like a fiend!

    What basket of stocks do you watch for scalping opportunities?

    (Heh, we might as well keep it going and derive value from it).

    Thanks in advance,

    JJ
     
    #39     Aug 17, 2006
  10. a four day trial?
     
    #40     Aug 17, 2006