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Hi everybody,
I hope the following isn't too long-winded... Sorry about all the arrows
below>>>
I would add a few things: For starters you need to figure what time frame
you can play for the biggest moves. In my experience with the stock market
the big moves take several days or weeks. You need to do the research and
find out what really works. For starters, forget about standard indicators
and systems (like all the stuff that comes with Tradestation). On the other
hand, there are some statistical things that work pretty well. Also there
are a couple patterns that work OK. You can get an edge in the stock
indexes if you look at the VOLUME and price action in the actual stock
market. Other futures don't have anything parallel to this as far as I know.
Forget about the micro-wiggles, stick to the time frame. Daytrading is very
difficult. Naturally, since that's how everyone would love to trade.
Probably your broker will make more money than you do. Remember that you
can afford to be patient and wait for the right situation. Try not to enter
a trade "just in case it might work and you'd hate to miss out!!"
It's really important not to go for the home run. In otherwords don't bet
too big, or you will have trouble giving things as much room as the
backtesting would indicate is needed.
Sorry about the length of this post, but maybe someone can benefit from my
experience. Now that the cat is outa the bag I hope you all won't make it
harder to get my entries ;-)
Best regards
Phil
>Reply-To: "Neal T. Weintraub" <thevindicator@xxxxxxxxxxx>
>Please post this to the entire list.
>-----Original Message-----
>From: Phil Lane <logical@xxxxxxxxxxxxx>
>To: Neal T. Weintraub <thevindicator@xxxxxxxxxxx>
>Date: Tuesday, July 21, 1998 9:09 AM
>Subject: Re: omega-digest Digest V98 #349
>
>
>>I think the "average" trader suffers from a number of gremlins. Like acting
>>impulsively. Or not having a real edge. There are endless distractions.
>>Forget about the Fed, CNBC, economic reports, etc. This stuff only creates
>>confusion and uncertainty. The best thing is to operate in total isolation.
>>Just you and the market.
>>
>>If you stick to the tried and true, to the exclusion of everything else,
>>you will benefit immensely. For example, let's say you bought the SP on
>>close on 6/23... That was the first of 3 "follow-through" days as described
>>by William O'Neil. Or lets say you bought MOC on 6/16, that was one of our
>>"compression" signals. Or both. Either way you'd be very happy. Depending
>>on your account size you'd be up hugely at the moment.
>>
>>The point is, you really can get an edge with this method. If you're
>>interested I'd recommend studying the Nasdaq composite, paying particular
>>attention to the volume. It will pay you to wait patiently for the right
>>signal, then go for it.
>>
>>Keep the faith!
>>
>>At 10:47 AM 7/21/98 -0700, you wrote:
>>>The question I have.
>>>Do think the average trader can beat the market that is yielding between
>25
>>>and 30%?
>>>-----Original Message-----
>>>From: Phil Lane <logical@xxxxxxxxxxxxx>
>>>To: Neal T. Weintraub <thevindicator@xxxxxxxxxxx>
>>>Date: Tuesday, July 21, 1998 7:02 AM
>>>Subject: Re: omega-digest Digest V98 #349
>>>
>>>
>>>>Hi Neil,
>>>>I spent too many years out beating my head against the wall with stocks.
>>>>Things got a little better when I realized that you have to correspond to
>>>>the overall market. William O'Neil gives a great description of how to
>read
>>>>the market. But the problem of stock picking remained. I got really tired
>>>>of watching the market go up while my stocks went down.
>>>>
>>>>Now I just master the obvious and trade the index futures. This amounts
>to
>>>>a huge simplification. And you're totally diversified. No more getting
>>>>chopped in half with a bad earnings report. No more upgrades/ downgrades,
>>>>etc.
>>>>
>>>>I base the entry signals on price/volume action in the stocks indexes,
>>>>especially the Nasdaq. This can mark exact turning points to use to trade
>>>>the futures.
>>>>
>>>>Thanks for the questions..
>>>>Best regards
>>>>
>>>>At 07:41 AM 7/21/98 -0700, you wrote:
>>>>>I know what you mean.
>>>>>I guess I must ask what you trade Stocks or Futures?
>>>>>Omega is not needed to back test your ideas. Traders use Visual Basic or
>>>>>common software.
>>>>>
>>>>>Try Trading Recipes...
>>>>>-----Original Message-----
>>>>>From: Phil Lane <logical@xxxxxxxxxxxxx>
>>>>>To: omega-list@xxxxxxxxxx <omega-list@xxxxxxxxxx>
>>>>>Date: Monday, July 20, 1998 3:11 PM
>>>>>Subject: Re: omega-digest Digest V98 #349
>>>>>
>>>>>
>>>>>>>Maybe I can raise a very different point here - when trading 100%
>based
>>>on
>>>>>a
>>>>>>>system, I find the emotional stress to take a trade and make the
>decison
>>>>>>to be
>>>>>>>gone and its much easier (for me) to trade than to decide intuitively
>>>all
>>>>>>the time -
>>>>>>>anybody similar ?
>>>>>>>
>>>>>>>Ofcourse this only works on systems I know and I have tested and I
>>>believe
>>>>>>in -
>>>>>>>so I somehow "KNOW" what to expect,,,,,,,,,,
>>>>>>
>>>>>>Right on!
>>>>>>I prefer to use (and eternally search for additional) specific trading
>>>>>>rules that can survive the test of history. This way you can estimate
>the
>>>>>>odds. You don't necessarily need TS to do the research, but it's
>helpful.
>>>>>>Personally I hope a less obnoxious company will come out with a better
>>>>>>product. Or if all else fails you could draw charts on paper bags
>etc...
>>>>>>
>>>>>>Phil
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