SPY can't go to zero right?

Discussion in 'Trading' started by IronFist, Oct 10, 2008.

  1. Divide your money into 5 units.

    Buy at 80
    Buy at 72
    Buy at 63
    Buy at 57
    Buy at 52

    If it goes below 50, sell all. Take remaining proceeds and buy hookers.

    Start over at life.
  2. Thats my plan with my retirement account. Except the units are not equal and double down on the way down. You know, like blackjack.
  3. Why not just wait for a confirmed break above 200ma (red line) to buy?

    Good luck.

  4. 200 ma has nothing to do with hookers.
  5. If hookers are what you're after, there's no need to add to your loss trading SPY.

    The chart plainly shows the trend is still down and keeps confirming the 200ma is a formidable resistance.

    Buy at support, sell at resistance.........but where is support?

    Who knows? Might be a bottom now, but unless you're day trading successfully, lowest risk trade is still to sell at 200ma till there's a confirmed break above it.

    But good luck trading as tho it's a card game - - - and be careful you don't catch sumfin that don't wash off. :)

  6. 200 ma works wonderfully until price decides to chop around that area for a while.

    then you lose more money than you would have if you threw a party with hookers and blow for all your friends.
  7. Immortal


    anything can happen
  8. Price usually chops around a flat moving average much more so than a trending one. As such, a flat moving average tends to lose it's value as a moving support or resistance.

    But when a major ma like the 200 trends, and price repeatedly finds it a resistance as it currently does - at least on the 15 minute chart, depending on your time frame, it is always best not to fight it. JMHO

    S&P monthly chart below seems to agree with the 15 minute.
  9. Price has the tendency to consolidate (chop) when it approaches key areas, do the research and learn to stay away from them if consolidation is a problem for your style of trading.

  10. I don't know how old you are, but the US might go bankrupt before you reach your retirement, more and more people are starting to see that. Therefore, like always in trading, don't bet everything on one horse but move some of your retirement money to Asia and Europe as well.
    #10     Oct 12, 2008