I have to thank Funlord and Lakai for such a greeeeeaaaatttt video and title! Just the title made me laugh : " damn!!! a trader with much serious overconfidence issues than me!!!! Making a good return, and losing the profits! And I thought I was unique in that!!! Hahaha what a pleasure to now realise I was not alone in this pattern of up huge, and lose all the profits!!! A trading disease I have now sorted!!! Thank God for that. Nothing hurt more than losing the profits. If I had to advise Lakai, in case he comes across this thread : you should take this opportunity to find out really what is behind this pattern of losing the profits ( and not more here I do hope). Instead of sorting out the real "issue", you will carry this issue with yourself in whatever next stuff you get involved in. At least with trading, you can analyse the pattern. Advice from a fellow trader
I've been in the tradeitdontdateit room a few times with lackai and the other superstar in the room called baa. The room looks up to these 2 as if they're Gods, lol. They are terribly impressed by calls made in hindsight. It staggered me to realise how easily some people are fooled. No wonder there are SO MANY 'traders' on twitter at the moment selling various coaching DVD's for $500 per time and getting rich in the easiest way imaginable. The only thing stopping me from doing the same and marketing my own ''how to trade the market like a pro''is my moral compass and the guilt i'd feel as ripping people off! One of the biggest known scammers is this guy: https://twitter.com/MrDaveRobertson This is his current handle. It wil dissapear in a few months time to be replaced with a new identity/ He's had about 50 of them. He's infamous in the UK and on the UK trading forums. He charges people thousands for DVD's and chatrooms and courses etc, they all lose their money because it's a load of junk, then he changes his 'name', starts up a new website with a new course etc, and does it all over again. He even gloated about it on trade2win a few years ago and bragged about the hundreds of thousands of dollars he'd made from selling his junk to the guillible, complete with statements from his paypal account! amazing. Should be in jail, but there's no regulation.
I wish this trader all the best but no one after banking 3/4 mill will immediately with out pause flip to a long position. There are many technical things to consider IE: is it time for a long yet ?? Unfortunately I don't buy this particular trade video. I'm sure he's very good at trading but not a very smart move for a so called professional.
The most powerful information to be found in this video is in Lakai's description below it: "Contrary to what most people think, markets drop due to no bid. Not massive selling. Knowing things like this can change the way you look at the market and understand it better." This is one of those "edges" not found in charts, books, and seminars. Once you understand how to identify "lines in the sand" beyond which bids/offers will get pulled, thereby removing liquidity, you'll discover how to quickly extract profits from quick moves. Just last month I posted this on another thread: Here's something to consider: Traders don't necessarily push price. The side that's in control is the side that pulls its bids lower or moves its offers higher thereby causing those who want in to chase their bids/offers. So if price is falling, the buyers are in control and the sellers have to chase those bids. If there are enough buyers to absorb the offers, price will find "fair value" at that moment in time and often begin to move the other direction as profits get booked and sellers begin to move their offers higher because there's now some demand coming in and they want to sell at a "better" price. This is why price can move significantly on low volume and move very little on high volume.
Is the reverse true? Can you make the same statements just in reverse for "if price is rising?" The mentality going up seems a bit different than for going down. Is there some reason in the above logic for why drops tend to go fast, and rises slower?
The concept is the same. Once certain lines in the sand are crossed, smart traders and buy/sell programs pull or move orders to the next key level in line to be tested/defended. The distance between the line in the sand and the next level in line to be defended is what I call "airspace" and others call air pockets. These are areas where liquidity dries up resulting in an abrupt move to the next level. Price may stop cold at that next level and never drop/rise any further, or it may be part of a new or ongoing trend and continue to pull back a bit and resume in the direction of the trend. In a longer time window, such as a daily chart over several weeks/months, the drops in price tend to occur far more quickly because fundamentals play an important part in longer term trading/investing and fear of crashes is stronger than fear of missing out when the markets been moving higher for over 6 years. News (such as China growth slowing) can shock the market that's been quietly rising day after day, week after week, and upward moves that took a month or more can retrace completely in just a few days. Even in a defined bear market, the bullish rallies are powerful. On an intraday level, I've seen killer moves both up and down. I really don't notice that one side moves faster/further than the other during strong moves.
Yes, because using NT you can record a session and then sim trade it after you've already seen what happens.
I thought this was recorded as a comedy. This is not about trading. It is about comic strip characters running across the screen. if it were about trading there would be some words spoken about the so called trade. It reminds me of the movie Trading Places with Eddie Murphy. hahaha. Everyone knew that was just a comedy movie and we all laughed. Step back from that trading monitor and laugh once in awhile. It did look like it was done by some teenagers. Nice job. hahaha. a million three of real money. hahaha give me a break.
I wanted to illustrate a point using this post, (t/you NoDoji) this is why some T/A moves didn't work, because there was no one hitting the bids or lifting the offers. Some traders with a proven track record maintain trading is about reading supply and demand not anything else. They are tape readers. My opinion is combining the 2 would give a good result. This is why trading index futures via CFD providers is devoid of crucial information ... there is no volume and no level 2 data available. In the past I have managed gains using price action and t/a, BUT we all want that better edge to avoid trading the fake outs. Level 2 data question : Can it be used to gauge supply and demand on longer term charts EG: daily time frames ? or is it mainly for scalping ?