Its gambling? Gambling is usually a game of chance. Stocks, by the level of your education and ability to read signals, charts, etc., is not exactly chance. Now, if you pick a stock because the name is cute, yea, thats chance. Gambling, its really no different than someone who risks capital to open a restaurant or business. Or someone who spends 60K for a college degree and a masters to get a job that hopefully will be their at graduation.
i love your videos...it´s a great motivation for me...i´m learning day trading but´s it´s really difficult for me..trading the same stock (at&T) it´s pretty tiring some times ...and really frustrating...bye.
Playing gaps on the open will require smaller size as the moves can be violent and hurt when you are wrong. In a bear market like today, "they" gap the market up and bid for a few minutes and the market looks like it has "hope" for a rally. Then the selling begins just like today.
Bear market: sell gaps, bull market: buy gaps.
In your example I would sell at any closure of gap from the prior day and then re assess what is happening.
I don't know if there is any way to manage risk when gambling. What I have learned from Steve and Andy is how to balance risk by determining momentum of a stock, with minimizing actual capital loss. In essence, these guys are are showing you high percentage winning trades.
Now they are telling you they are changing tacticts because that's what the market is dictating.
Not changing yet. But trying to have a backup plan in case we have another month like June. Any change will likely involve some sort of fade tactic for small scalps. Time will tell us if we need to adapt (again). Great time for a BOOK RECOMENDAION: "Who Moved My Cheese?"... the perfect book for times like this.
Adapting. Much better than my "changing" description!
Re: fading gaps. Are you mainly looking at morning gap up/down from prev day close? ie. The A.M. gap down tends to rebound back to the open price or prev day close, where you would take a long position on the bounce back to the open or prev day price.
(and the opposite on a gap up, shorting on the way back down to the open price).
Cut size, contain risk, adapt to change. Very true. Faliure to do so under these market conditions can be psycologically and financially quite costly.
Can you tell me why going short is more dificult than taking a long position ? I presume you mean it`smore risky ? Why ?
Thanks.
Steve.
morgandrim 2 years ago
Its gambling? Gambling is usually a game of chance. Stocks, by the level of your education and ability to read signals, charts, etc., is not exactly chance. Now, if you pick a stock because the name is cute, yea, thats chance. Gambling, its really no different than someone who risks capital to open a restaurant or business. Or someone who spends 60K for a college degree and a masters to get a job that hopefully will be their at graduation.
matstermanxxx 3 years ago
i love your videos...it´s a great motivation for me...i´m learning day trading but´s it´s really difficult for me..trading the same stock (at&T) it´s pretty tiring some times ...and really frustrating...bye.
yakuzatube 3 years ago
Playing gaps on the open will require smaller size as the moves can be violent and hurt when you are wrong. In a bear market like today, "they" gap the market up and bid for a few minutes and the market looks like it has "hope" for a rally. Then the selling begins just like today.
Bear market: sell gaps, bull market: buy gaps.
In your example I would sell at any closure of gap from the prior day and then re assess what is happening.
sgomez858 3 years ago
"Trading" is just like gambling. The odds are stacked against you but sometimes you win and you think you have it figured out.
RandomWalkTheory 3 years ago
Trust me. I know. I wish it was as easy as cooking.
Haroldesp 3 years ago
I don't know if there is any way to manage risk when gambling. What I have learned from Steve and Andy is how to balance risk by determining momentum of a stock, with minimizing actual capital loss. In essence, these guys are are showing you high percentage winning trades.
Now they are telling you they are changing tacticts because that's what the market is dictating.
jamesfreddyc 3 years ago
Not changing yet. But trying to have a backup plan in case we have another month like June. Any change will likely involve some sort of fade tactic for small scalps. Time will tell us if we need to adapt (again). Great time for a BOOK RECOMENDAION: "Who Moved My Cheese?"... the perfect book for times like this.
sgomez858 3 years ago
Adapting. Much better than my "changing" description!
Re: fading gaps. Are you mainly looking at morning gap up/down from prev day close? ie. The A.M. gap down tends to rebound back to the open price or prev day close, where you would take a long position on the bounce back to the open or prev day price.
(and the opposite on a gap up, shorting on the way back down to the open price).
jamesfreddyc 3 years ago
Nope, you're just not smart enough to figure it out and probably too arrogant to think other people can.
Bad combination for a trader
Frankenpalin 2 years ago
Cut size, contain risk, adapt to change. Very true. Faliure to do so under these market conditions can be psycologically and financially quite costly.
Haroldesp 3 years ago