|
PureBytes Links
Trading Reference Links
|
Regarding Norm's and others' suggestion of longer terms trades:
I'm coming around to that point! I sure was ready to give up the stress of
scalping! My new system sees the trades. I believe this system will suit
my personality. All things point to go, but I've been afraid to pull the
trigger for one reason. I'm afraid to hold anything overnight. A stop
won't protect me from a major move overnight against me.
Help me face that fear and I'll be ready to go!
> The bottomline is that the daytrader must undergo many times the
stress
>than does a longer term trader in quest for a return on capital that is
attained
>by very few and that probably more likely would be attained if they
lengthened
>their time horizon. Additionally, if one has a successful long term trading
>strategy, there is no reason that one couldn't keep another job or
profession,
>entering orders before the market opens, and therefore maintain another
income.
>So the cost of daytrading is potentially loss of an income from another
job,
>business, or profession, paying high fees and commissions for quotes and
>brokerage, and unknown and unlimited personal and health costs due to the
very
>high stress.
>
> I was a floor trader in Chicago for 12 years, so I know about
>daytrading.. It was alot of fun when I was in my 20s. It was less fun in my
30s.
>It was then, in anticipation of where I wanted to be in my 40s, that I
started
>to train myself to trade from off the floor and started a long journey
toward
>learning how to trade on a longer term basis. I had studied many traders
and
>money managers and concluded that the really big money was made from off
the
>trading floor on longer term positions. I don't think George Soros or
Warren
>Buffet do very much daytrading. Yet, they both started with relative small
sums
>of capital and have built up their capital far beyond what most daytraders
would
>ever dream.
>
> I have spent the last dozen years on a path that has taken me from
holding
>positions for as little as a few seconds to a few hours to now taking
positions
>that I sometimes hold for weeks or months. I am very happy in my current
trading
>and life style. I am now away from the trading floor, the high stress of
short
>term trading, and I live in a paradisic part of the world. I find it very
ironic
>that the rest of the world seems to be rushing in the opposite direction.
They
>remind me of the moth wanting to fly toward the flame, a brilliant but
short
>existence.
>
>Relaxedly,
>
>Norman
>
>
>
>
>>
>>
>> linda@xxxxxxxxxxxxxx
>> Climb the mountains & get their glad tidings: Peace will flow into you as
>> sunshine into flower; the winds will blow their freshness into you &
storms
>> their energy, & cares will drop off you like autumn leaves. John Muir
1838 -
>> 1914
>>
>> -----Original Message-----
>> From: Dtrader <dan@xxxxxxxxxxxxxxxxx>
>> To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
>> Date: Thursday, April 01, 1999 12:19 PM
>> Subject: was [Bull Market]
>>
>> >
>> >
>> >on the other hand, so do 90% of artists, musicians and most new
businesses.
>> >
>> >i'm not real sure this statistic has much relevance.
>> >
>> >dan
>> >
>> >
>> >
>> >-----Original Message-----
>> >From: Norman Phair <ericrogers@xxxxxxxxxxxxx>
>> >To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
>> >Date: Thursday, April 01, 1999 1:59 PM
>> >Subject: Re: Bull Market
>> >
>> >
>> >:I have heard figures as high as 90% of the people that do day trading
>> >:fail. No work, no reward.
>> >:
>> >:Norman E,
>> >:
>> >:> "Peter M. Beckwith" wrote:
>> >:>
>> >:> Great post, Ira.
>> >:>
>> >:> Not only are there more on-line trading commercials than beer and
auto
>> >:> commercials, but the content and substance of these commercials is
>> >:> completely off-line. The firms that sponsor these commercials hire
>> >:> teams of lawyers to settle suitability of investment lawsuits and
>> >:> arbitration suits all them time from people who lost their shirts(not
>> >:> to mention their homes) after daytrading on the internet for a couple
>> >:> of months. You would think that after all of the horror stories out
>> >:> there about people who didn't understand what margin was or that if
>> >:> the stock goes against you x percent you have to meet the cash
>> >:> requirement, the firms themselves would take a more responsible
>> >:> stance. Instead, most of us who keep CNBC on in the background have
>> >:> to watch an Ameritrade commercial about a mom and housewive who can
>> >:> take the kids to school and throw some money in a biotech company to
>> >:> the tune of $1700/day or the guy who owns his own island, etc...
>> >:>
>> >:> I don't know what we are going to see with this market, but one day(I
>> >:> hope) we can look back and just laugh at how absurd those commercials
>> >:> really were. I am hoping it is sooner rather than later and then
>> >:> maybe, just maybe the public will understand that trading is a
>> >:> profession, not a hobby that you take up in your spare time...
>> >:>
>> >:> Pete Beckwith
>> >:>
>> >:>
>> >:
>> >
>
|