i'm not an experienced trader, but i've been following the market since 1996. my plan is to pick one stock (such as continental airlines) and swing trade with 20k - sell losers quickly and ride winners carefully (not overnight). i don't need to make a living with this and i don't intend to keep losers for more than a $100 loss. i opened an account with interactivebrokers.com. any comments or suggestions? thanks.
How do you want to swing trade without keeping your position overnight? Cutting losers short is OK, but if you want to let your winners run, you probably need to keep them overnight to maximize your profits.
too funny pick one stock and swing trade with 20k - sell losers quickly and ride winners carefully (not overnight). i don't need to make a living with this and i don't intend to keep losers for more than a $100 loss. i opened an account with interactivebrokers.com. A if you are not trading overnight , you are prob not swing trading B if you are closing trades daily and have an under 25 K account the PDT rules will only let you trade 3 times every 5 days C if you can trade and only lose $100 when you lose you are a master trader ... not an inexperienced one as you say in your post a better approach for you is to use the IB commission structure to your advantage based on account size and experience ... pick a portfolio of stocks and swing trade them maybe 5 - 10 stocks and do it in a way that limits any loss to only 1 % of your portfolio good luck
oops, make that 30k. yeah and thanks for the corrections. my inexperience is already showing. i do want to be careful at first though.
if you put 20-30K in one trade- you can have loss $100 right away, only because of spread between bid and ask. then what? exit right away? what so special about airline stocks? if you follow market for such long time and still don't know about things that been mentioned in posts above-keep follow the market-you not ready yet.
my experience is with trends. i'll tweak the specs as needed. continental trades in a range that i like.
are you sure, that those stocks will continue behave same way in future? from my point of view-it doesn't look like good plan. sorry man.. i agree with crowd-spread money in 5-10 or even more stocks over few statistically proven strategies. ib commission not going to eat much, if you pick expensive stocks.