Owner: A Trade A Day URL:www.atradeaday.com Join Date: Tue, 18 Sep 2007 14:00:04 -0500 Rating:0 Site Description: A source for trading ideas. Site statistics:Click here
Merge Time Frames to Make More Money 2007-12-03 02:00:46 One method introduced to me that I find useful is syncing time frames to support my trades. In the past, I found myself looking at trades in a vacuum. If I was trading a pattern forming in the daily charts, I would only look at the daily charts, but just focusing on one time frame leaves out a lot of information.
I think most traders are familiar with looking at a larger time frame when looking at a pattern. When I look at a pattern in the daily charts, I like to zoom out and look at the weekly and monthly. The reasons are support and resistance on larger timeframes can prove to be very strong. This longer term support and resistance can influence how your trade plays out.
But what about looking at smaller time frames to support a larger time frame? Why do this? Well, again we have support and resistance to consider. But the real power from smaller time frames is that they allow you to leverage your smaller time frame gains to pay for your larger time frame risk.
When I see a pattern Read more:Frames
, Money
Trading Ideas Update 2007-12-02 02:00:17 I’m out of the EDU trade and the IBM trade. Both for nice gains. Personally, I think IBM had a lot farther to drop, but we’ll see. I’m very bearish on the market, but I’ll let the patterns dictate my actions.
The NXY trade has setup, but I’ll bet dollars to doughnuts that it bounces and stops me out. Why not exit the position? My method necessitates that I let it hit the stop before exiting.
Not much else here. Oh, btw, I won Trader Bubs’ contest. I made the closest guess of the 11/30 close of the Dow Jones Industrials. I guessed 13325. The Dow closed at 13371, a difference of 46 points or .3%.
How did I get so close? Simple. Last month I programmed a stock trading robot called LUCK.
See you Monday!
Read more:Trading
, Update
Gearing up for the Holidays 2007-12-19 01:01:53 I’m offically off the rest of this week.
Here’s a selection of articles to keep you going.
A Free Tool to Find Good Trades
Making Money with Sectors
Hammers
Top 5 Trading Cliches
Read more:Holidays
Top 5 Trading Ideas for 12/18 2007-12-18 01:01:20 Let’s see if I can put some 1-2-3’s to work.
Here are 5 stocks flashing the 1-2-3 setup. Entry is intraday. You’ll have to check with your broker to see if there are shares available to short.
1. MAR
MR could end up being a bear trap as today’s action may have already trapped some. I’ll be ready to go either way.
2. PL
3. SVU
4. IM
5. LTD
Good Luck!
Read more:Trading
Trading 1-2-3's 2007-12-17 01:01:50 This is my second article in my 5 part series on the patterns I trade. In part 1 I discussed trading bases.
In part 2 we’ll take a look at one of my all time favorite day trading patterns. It’s called the 1-2-3. I first learned this pattern from Toni Hansen and the Trading
from Mainstreet crowd. Toni has a description of the pattern on her site. However, the 1-2-3 is really easy to envision.
It starts with a wide range bar. Marubozu-like, but the heads don’t need to be shaven. The next bar/candle in the pattern is a narrow range candle. The one requirement of the narrow range candle is that the high of the narrow range candle and the high of the previous day’s wide range candle need to be the same. The entry is over the high of the narrow range candle. Entry is executed intraday.
There are a few reasons why I like to trade 1-2-3’s.
1. They’re easy to see. There’s no guess work when it comes to picking out a 1-2-3. Wide range candle, narrow ran
Trading Ideas Update 2007-12-16 01:01:54 No specific trade updates this week. I expect as the year draws to a close, I’ll have fewer trades. I like to use the end of the year to get ready for next year. I like to plan out goals and review my trading from the year.
As we move into next week, I’ll continue my setup articles. In the mean time. Here’s a selection of my strategy articles to check out.
Extreme Moves
Marubozu
Rolling Over
Cutting Losses
Read more:Update
, Trading
Something Completely Different 2007-12-15 02:00:13 Continuing with my theme from two weeks ago. I have another interesting aviation video:
Danger - Low Flying Aircraft
Link Love Friday 2007-12-14 01:01:17 Excellent post by the option addict on The Anatomy of Trading Breakouts.
Do you Gamble or Invest?
Here’s a cool list: Personal Finance Blogger Net Worth. Congrats on your new edition.
Are you Addicted to Money?
For you bond traders out there, enjoy the Better Odds for Risk Takers.
Do you know When to Sell?
Read more:Friday
Top 5 Trading Ideas for 12/13 2007-12-13 01:01:27 Should be interesting to see what direction the market picks going into the Christmas holiday. We’re in a corrective bull move from the drop that started on 11/7. The major indexes are caught between their 50 SMA and 200 SMA. The Dow and NASDAQ need to move back into the 50 SMA and off the bottom of the channel. To be honest the channel looks ominous. At best you’re looking at a channel that will break to the upside. At worst we’re looking at a bear flag. I guess it’s not necessarily bad price action. It all depends on what types of setups you’re looking for. I threw in a potential short for idea #5. You always need to be ready to take a trade in either direction.
Here’s the Dow w/channel
NASDAQ Composite showing similar action.
So what’s the best course of action. You can always scale back your trading. As we get closer to the holiday, I like to slow down and start doing my goal setting for next year. I’m always doing analysis and look Read more:Trading
Trading Bases 2007-12-12 01:01:40 This is the first part in my five part series on the patterns I trade.
In technical analysis, there are 10's of patterns, with 100's of indicators and about a million ways to interpret what it all means. With all these options, it's easy for a would be trader or investor to suffer from information overload. After all, we all want the best, most profitable setup and we spend hours researching books, blogs, and newsletters to find the best system.
I'm going to say something that should give you some peace. You can make a career as a discretionary trader with only one pattern, one setup. If you're just starting out, or you haven’t had the success you would like, take a step back, read this series, then pick a setup. Study its eccentricities, when it works, and in what context.
The first of my patterns that I trade consistently is the base. A base occurs when price moves tightly in a horizontal direction. I don’t place a time restriction on the pattern. I do like th Read more:Trading
Top 5 Trading Ideas for 12/11 2007-12-11 01:01:42 Trading on a Fed day can be risky. You don’t really know what the Fed is going to do with rates, and when the descision is announced is the market going to sell off or run to new highs? Sitting on your hands is the best course of action, but if you’re a risk junkie like me then you’re probably going to take a setup if it occurs.
**WORD OF WARNING**
I will be taking these setups if they occur after the fed’s descision, not before. While I am a risk junkie, I’m not suicidal.
1. RIG
2. CBG
3. QLD
4. BBBY
5. AVR
Read more:Trading
66th Festival of Stocks 2007-12-10 01:01:47 Welcome to the 66th edition of Festival
of Stocks
. This is my first time hosting the carnival and I’m very excited to havereceived some very excellent submissions.
So without further ado…
Jose DeJesus MD presents Your Money - Secrets of Interpreting Morningstar Ratings Profitably posted at Physician Entrepreneur
Jose DeJesus MD presents Your Money - The Flight To Quality posted at Physician Entrepreneur
The Investor’s Journal presents Lessons from the Dot-com Bubble posted at The Investor’s Journal, saying, “If you take the Dot Com Bubble for only its face value, all you see is what happens when a stock market gets overvalued and crashes, but if you look deeper you can find plenty of timeless lessons that every investor should learn.”
ATradeADay presents Merge Time Frames to Make More Money posted at A Trade A Day, saying, “Put the odds in your favor by finding trades that are in synch over different time frames.”
Va
Bucket Shops of the 21st Century 2008-03-11 02:01:42 I have a love/hate relationship with the Forex “market”. I had always wanted to give forex a try, so about a year ago, I opened an account with Oanda.com, now fxtrade.com. The account size was very small, $300. I’ve been trying to see past the hype for a better part of a year, but in [...] Read more:Century
Soldier Throws Puppy Off a Cliff 2008-03-05 01:01:27 **Warning This Video Contains Cruelty To Animals***
Ok, I’m going to warn you. This soldier abuses this innocent puppy. I can’t contain my rage for this “person”. I want him to come to justice. How could someone destroy something so innocent. Share this video. This guy needs to pay for his actions!
I know my tag line [...] Read more:Puppy
, Cliff
What Goes High Must Go Higher 2008-03-04 01:01:48 Have you seen the amazing bull market in commodities? Let’s take a look at a few charts:
Been sleeping under a rock? Oil has been on a rampage!
Gold looking good. Some experts are predicting $3500/oz!
Soy! Soy! Soy! Even Milhouse could make money in this market.
When I first graduated from college, I got a job as a [...] Read more:Higher
My First Blowup 2008-03-03 01:01:32 I thought it would be interesting to share my first blowup with you.
Since I was thirteen, I’ve had a love of the stock market. I’m not sure I can tell you exactly why. Maybe it’s the thought of making money out of nothing. Perhaps, it’s the ego boost that goes from making money from [...] Read more:First
Additions To My Blogroll 2008-02-28 01:01:28 I’m making some over due additions to the blog roll.
First up is Thewild1. You can read the wild1’s work at www.thewildinvestor.com. That’s alot of W’s. This is an investment blog. One in which I frequent daily.
Next I am adding Eliott Wave and Fibonacci Charts at just-charts.blogspot.com. Can’t argue with that. I love charts and there [...] Read more:Blogroll
My Blog is Worth $430K 2008-02-27 01:01:02 Did you know my blog is worth $430K? It’s true! Check out my badge on the right. You’ve probably seen the badge on several other blogs. I think I was on HPT’s blog the last time I saw one.
Anyway, I decided to check out how the final piece in my bid for world wide [...] Read more:Worth
Trading Ideas for 2/26 2008-02-26 01:01:24 Here’s a quick look at three shipping stocks that I think are worth your time. If the market continues its advance out of the triangle, these three stocks are poised to move.
The weekly patterns for all three stock are positive. Each has bounced off the 50 SMA and is consolidating. I would like to see [...] Read more:Trading
All You Need is a Little Bit of Discipline 2008-02-25 01:01:14 So, where I live in New York State, there’s an idiotic commercial running for the New York State Lottery.
Don’t get me started on what a bane government-sanctioned lottery is to society. Sure you have to be mathematically challenged to play it from the start. It’s a money-sink for the ignorant and the desperate. Those [...] Read more:Discipline
Link Love Friday 2008-02-22 01:01:45 OMG!! Breaking News!! There’s a triangle forming in the indexes!
Word on the street is CNBC is talking triangles.
Corey is a master at trading triangles.
Does trading make you anxious?
Finally! Someone outlines a put selling strategy!
Trade 4 Cash is designing a new breakout system.
I’ve discovered the ultimate technical indicator.
And finally, If you like scotch, here is a [...] Read more:Friday
The Market Knows Something I Don’t 2008-02-21 01:01:21 Seems like countless blogs are tracking the symmetrical triangle that has formed. I did a quick scan of the Dow 30 components and it’s interesting to see the bullish patterns forming in these stocks.
CAT
DIS
JNJ
MCD
MMM
I’m seeing cups, double bottoms, and ascending triangles. What’s so peculiar is these stocks should get crushed in a recessionary environment.
I’m [...] Read more:Market
Scared is Not an Option 2008-03-13 02:01:11 I was having a conversation with another trader yesterday on the subject of trading ideas. What a surprise! Well, we were discussing the merits of a setup he was considering and I did my best to point out, what I considered, to be the merits/faults in this potential trade.
So today, I emailed him and asked [...] Read more:Scared
Trading Traps 2008-03-12 02:01:09 I have been lamenting the Fed’s insistence on playing to wallstreet. Sometimes I wonder if someone at the Federal Reserve has a personal vendetta against the value of the dollar. I know Mr. B and company are just trying to right this ship that is the U.S. economy. God bless them. I’m glad it’s [...] Read more:Trading
, Traps
When Will This Recession End… 2008-03-18 02:01:33 A little MSM for you reading pleasure:
Ok, so how do you know this Recession
is going to end. Honestly, it needs to get worse. As far as sentiment goes, when it can’t get any darker, you know the corner is close. It may be 6mo or 2 years, but it’s when everyone feels like there’s [...]
How To Overcome Emotional Trading 2008-03-17 02:01:10 It gets stated ad nauseam that successful traders control their emotions. Greed and fear cannot enter the decision making process. The reason why traders have trading plans is to mitigate the input of emotions into trading decisions. But I’m not a robot. I’m not a computer that mindlessly buys and sells based on some algorithm. [...] Read more:Emotional
, Trading
Link Love Friday 2008-03-14 02:01:52 Do you have the 7 habits of highly ineffective traders?
I’ve been keeping a trading journal for many years.
Here’s a cool short interest screen.
I learned traps from Brandon and Toni at Trading from Mainstreet. In this article Brandon defines a trap. Read more:Friday
Did Anyone Make Money Today? 2008-03-19 02:01:09 So, I’ve been getting sucked back into day trading. If I am honest with myself and my readers, I don’t want to do it. I think there’s a fundamental flaw with day trading. That flaw is the number of decisions a trader is forced to make. I can make swing trades and make a handful [...] Read more:Anyone
, Money
, Today
Link Love Friday 2008-03-21 02:01:06 I guess money does buy happiness…
Attention Tim Sykes haters.
If you’re thinking about trading commodities…
And finally, I thought this was an interesting take on the Fed as a Bank. Read more:Friday
Do Trading Ideas Help or Hurt? 2008-03-24 02:01:30 I am re-reading one of my all-time favorite trading books “Trader Vic - Methods of a Wall Street Master“. Vic talks about a trading idea he had as the result of keeping the books at Lehman Brothers. In turns out that several of the partners were building a sizable position in the stock of Superior [...] Read more:Trading
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