luc1grunt
622 posts
msg #49110
- Ignore luc1grunt |
1/10/2007 7:47:21 AM
"Hi Wallman
Never say never.
Take for instance today. CBRX had declined for 7 continuous days, opened on green and was green for a good part of the day. If one had bought it when it went green, he would have ended the day losing over 2%, because he would have gotten whipsawed.Sure, a nimble daytrader could have probably have gotten out before it went red again, but how about someone that's not glued to the screen?
But someone can find plenty of examples of whatever they want to "prove".
But actually, I was playing contrarian to see what kind of comments it'd get.All I was saying was that on a deeply oversold stock, the longer you can wait and buy at a lower price,the less a chance of getting whipsawed and the better chance of eventually obtaining a gain. For instance,buying stocks that have dropped 11 days,results in a better W/L ratio than buying stocks buying stocks that have dropped only 7 days in a row, at least generally.
But never say always either."
This post says volumes.
"If one had bought it when it went green, he would have ended the day losing over 2%, because he would have gotten whipsawed.Sure, a nimble daytrader could have probably have gotten out before it went red again, but how about someone that's not glued to the screen?"
This is absolutely true...but I personally would not enter on green under these conditions if I could not monitor the screen. I watched a couple go by yesterday that were turning green when I had to leave the screen for a few hours. Common sense and experience (thank God). That experience has come at a price....or cost of education over time. Green hold stacks the odds in your favor and I am a firm believer that keeping those odds are essential. Can't do that in gambling unless you count cards in blackjack.
Good thread.
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luc1grunt
622 posts
msg #49111
- Ignore luc1grunt |
1/10/2007 7:52:20 AM
And another....Wallman's post referencing the 100% in a year.....(can it be done).
50 K base (2:1 margin = 100,000 buying power)
2.7 million $ in total trades.
2% net profit on the total trades = $54000
Percent gain on base = 125%
"Protect the base".....compounding is irrelevant.
Thanks to Avery, Riggs, Alfie, Wallman...on and on for allowing me to state the above with conviction.
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traderblues
195 posts
msg #49112
- Ignore traderblues |
1/10/2007 8:02:50 AM
luc1grunt,
Good point about having to stay glued to the screen. The stocks Muddy is talking about in this thread can fall just as fast as they rise. But what is your daily goal? If you can identify 3 to 5 big runners in the first hour of the day, you can make 10% before noon, then go play golf the rest of the day. Set your own schedule. Sure, you're not going to make 10% every day. So figure out what you need to make on average per day (say 2%), then if you hit 10% on any day, you can close up shop for the day. That 10% would cover 5 days of your 2% average goal. Or if everything is clicking, stick around for another hour and make 15%. Do that, and you can take the next day off (if you want to). If you don't hit 10% by your time deadline (e.g. noon), close them out and try again tomorrow.
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luc1grunt
622 posts
msg #49113
- Ignore luc1grunt |
1/10/2007 8:40:46 AM
Traderblues....my point exactly. I monitor muddy's (after gleaning them on my own parameters) and trade high volatility/volume stocks each day (QCOM/SBUX/BRCM etc.). Sometime the muddy's go, sometimes not. I have a full-time job...so my overall point is finding the system that best fits a persons needs and exploiting the hell out of it. I can trade one stock through broadband on the cell, but cannot monitor the muddy's....so those days, muddy's are off the table.
I don't work percentages for daily goals, but targets based on what I can squeeze based on P/S/R of the big dogs (usually 200-500). I've learned a few lessons trying to "hit a percentage at all costs".
Good post. :)
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wallman
299 posts
msg #49114
- Ignore wallman |
1/10/2007 9:22:41 AM
(12:57) Muddy: Elle,FMDAD finally green 1.69
This was spotted going GREEN Monday.
Watch it at open today.
Will be near $4 out of the gate.That's 137% in 2 days.
I'll take my chances on GREEN.
You may have the "reds"
Respectfully,Muddy
P.S.I don't stay glued to the PC all day either,I take at least an hour break everyday and walked away from trading for 16 months just recently.
Because I knew what I could do if/when I returned with GREEN holds.
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corsino
259 posts
msg #49115
- Ignore corsino |
1/10/2007 11:03:30 AM
Well, at least the topic woke some people up. It was getting raher boring around here.
Anyway, I think you can do things in daytrading that won't necessarily work in other types of trading.Also, trading is a skills endeavor and some people just have the gift for it.People like Wallman no doubt have that gift and he makes money regardless of what system he chooses to use.The majority of the rest of us can do our best using the same systems and still struggle. I've read statements like "using this system is like taking candy from a baby". Well, it may be for them. They can probably use any system out there and take candy from us babies.In basketball,guys like Kobe Bryant probably think " This game is easy, all you have to do is shoot the ball into the basket."
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wallman
299 posts
msg #49117
- Ignore wallman |
1/10/2007 12:48:57 PM
OBCI CBLI called by 2 different folks EARLY
Right at this moment we are live in chat,they are flying.
So it's just not me who does this.
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corsino
259 posts
msg #49119
- Ignore corsino |
1/10/2007 1:27:59 PM
What about BHIP?
But do you hold them overnight?
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stocktrader
294 posts
msg #49124
- Ignore stocktrader |
1/10/2007 4:53:49 PM
"when are you sleeping?"
LOL!
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TheRumpledOne
6,411 posts
msg #49125
- Ignore TheRumpledOne |
1/10/2007 5:29:42 PM
What about BHIP?
Say you bought 1000 shares and you are up $1,000... are you going to risk that overnight?
Perhaps you sell 900 shares and let 100 ride overnight.
Why take the chance on giving it back?
Say you bought 10,000 shares... If it were me, I would have cashed in my chips and would be sleeping overnight without a worry.. AFTER THE PARTY...LOL!
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