If you want to fail as a trader, study TA

[DionysusToast]

So does anyone actually believe that TA or RTA should actually be used in isolation? It's all about the context.

Indeed.

Take a stock like OSIP that yesterday jumped to $56 from the $30s. More than likely, it will stay at this level for some time.

It will appear as a distribution/accumulation/resistance level to anyone that uses RTA alone. There will also, more than likely be some talk of what the GAP means.

On the other hand, anyone that knows that Astellas announced it was planning to buy OSIP for $52 yesterday will know that the stock HAD TO move up to at least $52 yesterday. My only suprise is that it went so high.

So - context is EXTREMELY important and RTA does not teach that - unless I missed that page in the Alexander Elder books.

 

[nine]

So, still no beef from the OP.

And DT, admits he learned all he knows about analysing price action in the markets from Elder's books. Laziness is no excuse DT.

Lets drop the bulls excrement OP and show some beef. Or are all your postings pretentious BS?

 

[Trader333]

To answer the question well my preference is:

Do 1 trade in 30 to 60 min and make $2,000.

My reason for this is that it is more efficient making $2000 in 60 minutes as opposed to the same amount in an entire day.


Paul

 

[episteme]

Indeed.

Take a stock like OSIP that yesterday jumped to $56 from the $30s. More than likely, it will stay at this level for some time.

It will appear as a distribution/accumulation/resistance level to anyone that uses RTA alone. There will also, more than likely be some talk of what the GAP means.

On the other hand, anyone that knows that Astellas announced it was planning to buy OSIP for $52 yesterday will know that the stock HAD TO move up to at least $52 yesterday. My only suprise is that it went so high.

So - context is EXTREMELY important and RTA does not teach that - unless I missed that page in the Alexander Elder books.

I'd say that was just reaction to a news event - not the market context.

To ba a bit more simplistic Do you sell high and buy low - or buy strength and sell weakness? Is it a pullback to buy into or the start of a reversal?

My point is that the same TA signal may be used as a signal that you have reached a good time to decide - it's your understanding of the market will determine which you should actually do.

 

[DionysusToast]

I'd say that was just reaction to a news event - not the market context.

To ba a bit more simplistic Do you sell high and buy low - or buy strength and sell weakness? Is it a pullback to buy into or the start of a reversal?

My point is that the same TA signal may be used as a signal that you have reached a good time to decide - it's your understanding of the market will determine which you should actually do.

OSIP went to $52 on the open because someone expressed their intent to buy at $52. Now - of course this is news. If the price dips below $52 - it's an arbitrage opportunity, so the price won't dip below $52.

Now - in 6 months time, anyone looking at this area of price action will see support/resistance. The context of the price hovering around current levels is that there was someone wanting to buy the company. Once that is no longr the case, someone using RTA and not looking at the context of the jump to $52 may make some invalid assumptions on what will happen if price once again moves to that level.

When I talk about context, I mean the context of past price action - which is rarely considered in RTA.

 

[DionysusToast]

And DT, admits he learned all he knows about analysing price action in the markets from Elder's books. Laziness is no excuse DT.

LOL ! Cheeky !

 

[N Rothschild]

i think i have just realised who The Expert is....surely must be Depth Trade

 

[DionysusToast]

i think i have just realised who The Expert is....surely must be Depth Trade

You mean I'm not the only DT ???

 

[N Rothschild]

no, im pretty sure its depth trade, they both seem to share a god complex and this guy is clearly from the states aswell. it only clicked when i read DT and realised he was talking about you not the crazy yank

 

[The Expert]

Firstly, I am not anyone you know or knew. I have worked with many traders over the years, in many different markets, and I know what I know to be true about trading, from first hand experience. As that has now been settled, let us move on.

Thank You to all those who took the time to look back and post their answers to my questions, which will be addressed in due course.

To try and get a handle on what is happening when Grey1 trades the way he does, or any other trader that is trading multiple instruments, let us ask ourselves a few questions that may lead to the answers.

Now, if you were inclined to put a wager on the horses, say 3 to 4 times per week, what is the most important thing that you SHOULD do to maximize you chance of success?

Let's say that you are good at picking winners, and you make good money each and every week, what now is the most important thing you SHOULD do?

 

[The Expert]

i will go for 2) as in my opinion the least amount of trades is always the best option. (aslong as you can take winning trades ofcourse lol)

Always remember, we must face the reality of trading when we trade, as there is no room for what if's, maybes and should have been's.

 

[The Expert]

in broad brush terms, I believe Grey1 was buying strength and selling weakness.

Surely, he was also selling strength and buying weakness?

 

[N Rothschild]

"Thank You to all those who took the time to look back and post their answers to my questions, which will be addressed in due course."

zzzzzzzzz

 

[The Expert]

The Expert,

This thread has been polluted as you mentioned most of people dont think you are genuine. Just my 2 pence, it might be helpful if you can post/suggest what (instead of RTA) has been successful for you?

I hope this can divert energy back into positive and more objective side (which is to be profitable and not just a flame war winner), which I think was your initial intention. No offence intended.

I will continue as I set out. If you take heed and think about what I say then you should begin to see what it is all about, if you find that it is not clear to you, then this shows you exactly where you are as a trader, and, by listening to those who know you can put yourself in a position to change your trading results for the better.

Remember, I was once that soldier, so I know exactly how you all think, what it is you think about, and what it is you think you need to know (all trading related of course).

Believe me when I say that RTA is nothing but pure and utter rubbish, and all it will do is distract you from learning what you need to know in order to become a consistent profitable trader. Surely, it is very clear to see that it is all done for the purpose of 1)making money by selling books and course 2)heavily supported by the big players as they want everyone to stay on that path 3)it just does not work, for if it did, everyone would be making good money, and that will never happen as long as RTA is used.

 

[DionysusToast]

Now, if you were inclined to put a wager on the horses, say 3 to 4 times per week, what is the most important thing that you SHOULD do to maximize you chance of success?

Let's say that you are good at picking winners, and you make good money each and every week, what now is the most important thing you SHOULD do?

Interesting Questions.

1 - I would say that the most important thing you should do to maximise the chance of success is to put only a moderate amount into any one bet.

2 - Once you are good at picking winners... plough back your profits.

 

[The Expert]

"Thank You to all those who took the time to look back and post their answers to my questions, which will be addressed in due course."

zzzzzzzzz

You are way too eager and must learn patience, else you will never make it to the big league.

Why do you think every important person in a big company has his/her own office?

 

[The Expert]

Interesting Questions.

1 - I would say that the most important thing you should do to maximise the chance of success is to put only a moderate amount into any one bet.

2 - Once you are good at picking winners... plough back your profits.

1 - A sensible answer DT, but if the odds are good then you are not going to make much money with a moderate bet, compared to what you would have made had you bet the correct amount, are you?

2 - It should really say consistent winners, as it is no good picking winners if you have as much losers. As for profits, they are mostly for the Bank, not for the *******s.

 

[N Rothschild]

You are way too eager and must learn patience, else you will never make it to the big league.

Why do you think every important person in a big company has his/her own office?

im sorry but you have nothing to teach me im afraid!

 

[The Expert]

As DT has contributed a lot of useful information in relation to trading, I will allow him to say when we should move back to the US stocks section.

I am willing to stay here as long as it takes, but when DT feels the time is right we shall move back and continue where we left off.

We are very close to getting the basics clarified, for without the basics the US stocks section will be of no use to anyone, what so ever.

 

[The Expert]

im sorry but you have nothing to teach me im afraid!

Are you sure, I once thought like you and was certain I knew all I had to know about trading for profits, but what I did not really know was that there were a hand few of others making much more money than me, for much less effort. BTW, I am talking about ordinary Joe Soap people here, not the big shots who do not give a damn about anyone only themselves.

I am glad that I swallowed my pride and started asking them some questions, which were not always answered directly, but, when I got to know how they were asking the questions I was able to ask them in the same way, and this, led to me getting some very useful information from these few people.