|
PureBytes Links
Trading Reference Links
|
Kim:
I think there is a distinction between 'large range' days and overly-volatile
days, at least in my mind. For example, in the bond market, there are two types
of days I like to trade: One is a classic runaway trend day and the other is a
well-marked range day. If you add up all the tradeable area of the two days, you
actually might find that the 'tradeable' area in each of those type of days is
often the same. But there are also days that are just 'noisy' vaolatile. These
are found in commodities where the pit traders know the off-floor traders are
all long or short and the stops have accumulated--or in markets when news shocks
the markets and the market whipsaws back and forth.
Large range days are great to trade. Overly-volatile days are great to walk away
from. More traders should learn to 'cherry-pick' the conditions, meaning...trade
when the conditions suit you; don't trade if the conditions don't suit you.
There'll always be another market--but once your capital runs out...aloha.
Best,
Tim Morge
KIMBOLEGSA@xxxxxxx wrote:
> Hasn't 'day trading' always been extremely difficult? Isn't volatility the key
> to a 'day trader's' heart? I thought that it wasn't 'worth' daytrading in the
> less volatile markets of the past. Like trying to day trade OJ now. Given the
> volatility in the S&P, I've assumed that day trading is (relatively) easier
> now than it's ever been. If volume remains high and therefore volatility
> continues, the pitfalls of various order placement methods will always be a
> gut-wrenching experience. New ones will only offer a new variety of stomach
> pains. In the end the amount 'they' slip you will only determine whether or
> not you can 'scalp' which is only one type of day trading anyway.
>
> If my assumptions are incorrect then I had better get some tick data for OJ?
>
> Rgds,
> Kim
|