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> From: ramon <rbarros@xxxxxxxxxxxxxxxxxx>
> To: T-BONDTRADER@xxxxxxx
> Subject: Re: Major Question? Day trading
> Date: Friday, July 31, 1998 5:48 AM
>
> Hi All
>
> I have kept out of this one so far as for me
> day trading or position, tape reading or
> indicators, etc all come down to what
> works for a trader. That point had been made so
> I had little to add.
>
> But on this issue of attitude, I can make a contribution.
>
> I don't know what Brent meant by "gunslinger attitude".
> He may have meant cavalier - certainly it appears
> Bill took it that way.
>
> Or he may meant that day trading requires quick decisive
> action and if the latter, I agree with him.
>
> For me, trading, position or day, has 2 phases. What Van Tharp
> calls the stalking phase where the predominant frame of mind
> is patience - letting the market come to you, letting it setup
> in the patterns that tells us we have a low risk trade. In this
> phase we do all the risk reward analysis, "what ifs" etc.
>
> The other phase is the action phase. We see the signal that tells
> us to take the trade. At this phase, the frame of mind is quick
> action. There is no room for second guessing as this sets up a
> mental loop which more likely than not leads to inaction.
>
> "I should take this trade but wait the last time I took this
> signal I lost money; may be I should wait a bit before acting etc"
>
> The main difference between day trading and position trading is
> often with day trading the two phases follow so closely to one
> another that they appear to be one. The successful day traders
> I know all have the ability to separate the two - they are aware
> when they are stalking and when they are acting. This is more
> difficult than it sounds especially in a volatile market.
>
> This difference is what the newbie has to grasp.
>
> If he has the ability to keep the two separate as well as the
> necessary temperament and inclination then day trading is the way
> for him; if not, he is better off with position trading. Unfortunately
> most newbies I know day trade because they either have insufficient
> funds to position trade or perceive they get more "bang" for their $
> day trading. My experience tells me that those are the wrong benchmarks.
>
> My unasked for advice is if you decide you want to day trade do so
> for reasons that give the chance to be among the 10% winners.
> These reasons have to do with your personality and mental aptitudes
> rather than on lack capital considerations.
>
>
> regards
>
> ray
>
>
> R Barros
> 101/25 Market Street
> Sydney NSW 2000
> Australia
>
> Voice: 61 2 92673470
> Fax: 61 2 92673478
> E-Mail: rbarros@xxxxxxxxxxxxxxxxxx
> ---------
> > From: T-BONDTRADER <T-BONDTRADER@xxxxxxx>
> > To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
> > Subject: Re: Major Question? Day trading
> > Date: Friday, July 31, 1998 2:49 AM
> >
> > . -----Original Message-----
> > From: BrentinUtahsDixie <brente@xxxxxxxxxxxx>
> > To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
> > Date: Thursday, July 30, 1998 4:57 pm
> >
> > Day trading generally requires a gun slingers
> > >mentality and skill.
> >
> >
> > The rest of your final 2 cents is fine, but I have to take issue with
you
> on
> > the above extract - at least so far as the Bonds is concerned. When
I
> say
> > day trading, I mean just that - not scalping. If you were trying to
> scalp
> > the Bonds, yes - even if you were trying to day trade the S&P, you
might
> > need to have that 'gun slingers' mentality. But not day trading the
> Bonds.
> > At least, certainly not the way I do it.
> > And, nor of course, would I propound it - especially to newbies.
> >
> > All I am suggesting is that you can learn to read the tape (I am
talking
> > Bonds here) and do not need conventional indicators by the ton to do
it.
> > The fact I don't recommend any, is only because I have not found a need
> for
> > them. Dear O dear, if I thought an RSI or triple crossover MA would do
> the
> > trick, I'd be the first to say so.
> > Why not? If someone has an indicator that works, use it. All I am
> > suggesting is don't waste a mass of time, energy and maybe money
looking
> for
> > some wonderful indicator to tell you what to do. Most newbie's search
> for
> > them and systems to be able to trade with buy and sell signals. I've
> been
> > there, done that and didn't bother with the T-shirt. Now I'm on the
> > T-Bonds and you don't need an indicator.
> >
> > I'll say no more because I am not trying to convince anyone to do
> anything.
> > I don't have to - I am not selling indicators!! But for some people I
> > might, through the manual, just save them a lot of heartache or banging
> > their heads on a brick wall trying to find a leading indicator that
will
> > give them their fortune...
> >
> >
> > Let's move on...
> >
> > Happy Trading
> >
> > Bill Eykyn
> >
> >
> >
> > >> T-Bonds. For clarity, let me say it again, DAY TRADING THE
T-BONDS.
> > >
> > >My last 2 cents regarding this. This is directed at newbies; it is my
> > >understanding that there are more losing day traders than any other
> > >approach to trading. In other words you had better be able to spit out
> > >three correct orders while most are trying to think of one. You should
> know
> > >yourself well enough to know whether or not this is your forte.
> > >
> > >Price patterns can be found in all time frames. By the way trading
price
> > >patterns is an interpretation of the past and therefore a lagging
> > >indicator. You can use indicators like Linear Regression and trade
based
> on
> > >the relationship of the indicator to price as well I suspect as
someone
> can
> > >trade a pattern.
> > >
> > >What you choose to do with your money in regards to buying anything
from
> > >vendor's is your business but 'buyer be where'. My recommendation is
to
> > >find the methods and approach to trading that works for you. In other
> words
> > >I'm not saying that you should use or not use indicators or what have
> you.
> > >You decide.
> > >
> > >Best Regards,
> > >
> > >Brent
> > >
> > >
> > >
> >
> >
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