marine2
963 posts
msg #69436
- Ignore marine2 |
11/30/2008 6:22:04 PM
Keep It Simple Stud(ette). Since day trading or short term trading is in favor these days why not just keep things simple and filter out only companies with Slow Stochastic %d under 25 and watch for the fast line crossing above the slow line to jump a particular stock. Sure you can filter it a little more and say only Dow Jones Industrials, or only the Nasdaq, or maybe only a particular sector that has your interest.
Keeping it in a simple logical order will give you a good feeling that you are handling this stock picking environment efficiently and making it less daunting.
For all you others, that are experts, or old salts at the game, forget what you just read.
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marine2
963 posts
msg #69437
- Ignore marine2 |
11/30/2008 6:32:23 PM
Let me add two simple add ons for this simple filter,
and price is above 1
and MA(200) is increasing previous 1 day
the MA(200) increasing add on will give you better momentum plays. The add on showing, price being above 1 will get you away from very small, mysterious companies out there. Not that anything over the one dollar range will be better but it does help steady the ship somewhat.
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waltbx
2 posts
msg #70345
- Ignore waltbx |
1/2/2009 10:21:24 PM
Have you backtested this? I have with lots of variables changed, and additional selection criteria and I cannot get a combination to give winning trades. Big losses. What works for you?
WB
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marine2
963 posts
msg #70351
- Ignore marine2 |
1/3/2009 12:53:21 AM
I only back test in positive time frames. That's the time when you are supposed to trade for successful results. It's been said, trading in positive time frames gives you 75% success rate. Of course that's considering you did your homework and used a sound filter for stock picking. Why fight the market if it wants to go down? Go with a positive market flow and you will do well. Sometimes sitting out a storm isn't such a bad idea.
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SFMc01
358 posts
msg #70356
- Ignore SFMc01 |
1/3/2009 12:36:31 PM
Marine2: You said, "I only back test in positive time frames." and "It's been said, trading in positive time frames gives you 75% success rate." I suspect you are correct but ....
Respectfully,
#1. What criteria do you use to determine if "now" is a "positive time frame?" Is it an indicator? Is it a particular writer or guru?
#2. Do you decide on a daily basis?
#3. Do you go short when your indicator shows it is not a "positive time frame?"
Steve Mc
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heypa
283 posts
msg #70358
- Ignore heypa |
1/3/2009 1:07:32 PM
Seems to me that Marine2 already told you. When the ma(200) is going up. Said another way. "go with the trend."
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SFMc01
358 posts
msg #70365
- Ignore SFMc01 |
1/3/2009 5:42:25 PM
Heypa: You wrote "Seems to me that Marine2 already told you. When the ma(200) is going up. Said another way. "go with the trend."
You may be correct and that seems to have some merit, but, I would generally interpret "positive time frame" to be broader than just an individual stock. If so, I'd like to see how others conclude whether it is now a "positive time frame."
Heypa, are you suggesting using the ma(200) on the $indu or QQQQ or SPY? If so, have you found this helpful?
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marine2
963 posts
msg #70371
- Ignore marine2 |
1/4/2009 2:04:23 AM
The MA(200) that is increasing X (you determine how many trend days) many days will give you the mood swing so to speak / trend you would logically seek in buying stocks. This is my process. This might not be what your style of trading / investing wants to model itself after. Everything hinges on your risk factor. If you like jumping into the game in riskier time frames then that's your style. For me, I like smoother sailing waters and cutting my error percentages. Heypa was only explaining what I meant by using the MA(200) factor. Helps you to find stocks that are trending upward in a set number of days thus giving you a better percentage of selecting successful stock buys. By the way, I am a short term trader / investor. Don't fight the trend.
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markdiehl
1 posts
msg #70374
- Ignore markdiehl |
1/4/2009 7:30:12 AM
Consider investing long when the broader market is trending up: the DOW, S&P 500,etc.
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SFMc01
358 posts
msg #70377
- Ignore SFMc01 |
1/4/2009 12:55:19 PM
Marine .... thank you. When you say .. "By the way, I am a short term trader / investor. Don't fight the trend."
Does that mean you only/usually short stocks that are trending down using the ma(200) for X days as a guide to whether the stock is trending down or not? and vice versa?
Steve
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