I am going to bring the trading discussion from here back to my Gaps and Breakout thread for the most part and will take any trading related questions over there. http://www.elitetrader.com/vb/showthread.php?s=&threadid=14135 If you have any specific questions about TFMS or the products we offer please feel free to ask me here. Brandon
SLVN was a relative strength leader based on news that based at highs out of the open. It gave a nice breakout with a target at the 50 day sma resistance with $15 whole number resistance.
Great stock day but follow through wasn't as nice on the futs this time. Missed morning drop from monitoring SLVN, but it was worth it.
This thread was started because someone questioned the track record of Toni and Brandon at the Trading From Main Street chatroom. I can only say that you have responded to that challenge admirably. The daily post of you trades and explanations has truly been inspiring. I just want to thank you both for sharing this with us and for the thirty day free trial to your chatroom so we can participate in these trades with you.
Somebody said here, that your Broker Assisted Trading program was stoped with a loss. What was the reason for stoping?
I think that the primary point of a chatroom should be the education of its members. Along those lines I really think that we offer the highest quality in that department along with profitable trades. Here is an example of an intro class that was given yesterday. [09:35] <brandon> The idea of a trend is one of the backbones of T/A [09:35] <brandon> Almost all the tools that we use as Technical Analyists are for the purpose of measuring the trend [09:36] <brandon> As a general idea the trend is simply the way a stock is moving in a given period. [09:36] <brandon> Markets do not move in a straight line [09:36] <brandon> this is the concept of resting that I so often talk about [09:36] <brandon> it moves in more of a zigzag fashion [09:36] <brandon> up and down [09:37] <brandon> these digs and zags will form a series of waves [09:37] <brandon> it is the direction of these waves that you should look at to determine what the trend is [09:38] <brandon> You want to know if they are moving up, down or sideways [09:38] <brandon> according to Dow an uptrend is a series of higher highs and higher lows , a downtrend is a series of lower lows and highs [09:38] <brandon> the next trend is sideways [09:39] <brandon> which occurs during periods of accumulation and distribution in the market [09:40] <brandon> the next point to make before we get into examples [09:40] <brandon> is that there are three classifications of the trend [09:40] <brandon> and each will depend on your timeframe [09:40] <brandon> but there is a long term trend [09:40] <brandon> an intermediate term trend [09:40] <brandon> and a short term trend [09:40] <brandon> Aiki has talked a number of times about his frame synch system [09:41] <brandon> which takes advantage of the fact that the moves will be very powerful will all timeframes are "in synch" [09:41] <brandon> the reality of the matter is that there are thousands of trends [09:41] <brandon> everything from the yearly charts [09:41] <brandon> down to the tick charts [09:41] <brandon> but for clarity most technicians will use three [09:42] <brandon> DOW classified the longer term trend as lasting years or longer [09:42] <brandon> the intermediate term trend (which speculators operate in) as being 3 weeks to many months [09:42] <brandon> and the short term trend as anything less than a few weeks [09:43] <brandon> Each trend then becomes a portion of the next larger trend [09:43] <brandon> For example, the intermediate term trend may be showing a correction with in the larger trend [09:43] <brandon> its important to keep in mind that the trends may or may not all be moving in the same or opposite directions http://www.tradingfrommainstreet.com/img/trends.gif 09:44] <brandon> here is a simple drawing which shows the trends [09:45] <brandon> this is just a simple drawing which represents the ideal of a trend [09:46] <brandon> starting from the left you see the uptrend making higher highs [09:46] <brandon> then the short term counter trend makes a higher low [09:46] <brandon> and then back to a higher high etc [09:46] <brandon> finally it gets to a point were the distribution takes place [09:46] <brandon> buying and selling is relatively equal [09:46] <brandon> and it will move sideways