What's your 'edge'?

[Splitlink]

Poor banks. They would rather issue Visa and Mastercard Credit Cards to those who spend what they don't have, than issue Visa and Mastercard Debit Cards to those who spend what they do have.

And to think Visa and Mastercard Debit Cards have been issued by many banks to those who do have since about 2 decades ago.

That's because they want everyone to owe them money so they can screw the interest out of them. Just think of all those pit bulls scalping away on credit cards and the banks don't mind because it's only a fraction of the 1 trillion quid that the British owe. (I've got some bank shares, by the way :cheesy: ) Once the scalpers have lost their limit, that's it, so they had better start winning quick.

Split

 

[Anonymous]

Come to think of it, banks don't seem to mind writing off bad debt, actually they somehow seem to enjoy it, or maybe they encourage it.

 

[Naz]

My edge is reading the bigger picture of whats happening in the US, then taking a swing trade in UK stocks that closely correlate to that market.

Get the heads up on a strong US direction before 4.30pm gmt, then take your uk trade and you can make instant profits the next day.Like today.

Pick stocks like Barclays that can lag the US by up to three days on its swing trade turns and and you can do the same with multi day swing trades.

The key is to fully understand the US markets.Thats where it all happens.


Alan

 

[Anonymous]

Naz,

Which US stock do you use to correlate to Barclays?

 

[Splitlink]

Naz,

Which US stock do you use to correlate to Barclays?

That's, probably, classified information.

Split

 

[Anonymous]

I can see the correlation between S&P and DJ dancing in the street, can't see Barclays doing the waltz with any New Yorker.

 

[Splitlink]

I can see the correlation between S&P and DJ dancing in the street, can't see Barclays doing the waltz with any New Yorker.

London used to follow the DJ closely a few years ago, but I'm not sure that it does the same today. Perhaps it does, I'll follow it a bit more closely. The ideas of others are always worth following up.

Split

 

[chump]

Split,
I don't watch the Ftse as much as Dow ,but I don't hink there is any question that there is a connection. Very common to see the biz done on ftse AM and then just stand still waiting for the Dow to open. Likewise common to see a big directional move on Dow be followed up by a similar reactive move on FTSE next day.
Probably best way to look at it would be to separate the days in to two halves and investigate from there.

 

[Splitlink]

Split,
I don't watch the Ftse as much as Dow ,but I don't hink there is any question that there is a connection. Very common to see the biz done on ftse AM and then just stand still waiting for the Dow to open. Likewise common to see a big directional move on Dow be followed up by a similar reactive move on FTSE next day.
Probably best way to look at it would be to separate the days in to two halves and investigate from there.

Chump

I do not see any similarity between with the two charts over the past two years. Whereas the Ft100 has had a bull market, rising 1300 points, the Dow has made wide, profitable, swings, in both directions.- but the overall direction has been sideways.I think that one should trade the markets on their own merits and not try to out guess one by watching the other.

Split

 

[Anonymous]

Find those with a high relationship, be they husbands or wives, aunties or uncles, nephews or nieces whatsoever. The more related they are the easier it is figure out where the other is going by going where one is going.

 

[sandpiper]

Split,

Whilst at a macro level there may appear to be no connection between the two, trading FTSE futures during Non-Farm cheese roll numbers, etc. the connection between the two becomes obvious. It would be nice if the FTSE had it's own personality but unfortunately, during the pm at least, much of the time it doesn't. At certain times you can even trade the FTSE (digitals or futures) without even watching the FTSE chart.

 

[SOCRATES]

Split,

Whilst at a macro level there may appear to be no connection between the two, trading FTSE futures during Non-Farm cheese roll numbers, etc. the connection between the two becomes obvious. It would be nice if the FTSE had it's own personality but unfortunately, during the pm at least, much of the time it doesn't. At certain times you can even trade the FTSE (digitals or futures) without even watching the FTSE chart.

That is correct.

 

[chump]

Split,
"I do not see any similarity between with the two charts over the past two years. Whereas the Ft100 has had a bull market, rising 1300 points, the Dow has made wide, profitable, swings, in both directions.- but the overall direction has been sideways.I think that one should trade the markets on their own merits and not try to out guess one by watching the other."

I think the original question was "is there any connection between FTSE and DOW" to which you say you cannot see any from a global look at the respective charts over the period of two years. Are you trading over a two year time frame ? I doubt it. The connection is simple . Traders timing and managing trades over short time frames (such as swings) look at the DOW for timing purposes to make sure there is not a rail crash happening right in front of their intended trade management. That's why FTSE often seems to be standing still waiting for the DOW to signal all clear. Scale of movement which you referred to has nothing to do with this connection. That is why the FTSE can make a directional movement while the DOW goes through a trading range.

 

[Splitlink]

Thanks, Chump, I've got you.

Split

 

[jasy22]

I'm not saying its neccesary to lose alot of money beforehand, its not. I did, but thats me. It taught me alot but my point is you don't have to win x 100% within the first few months in order to have a future in trading.

I agree with you, even the great Jesse Livermore the best trader ever, lost all his capital
on Wall St, before learning how to trade there - Reminicences of a Stock Operater

If you make mistakes - you learn what not to do!

 

[new_trader]

An interpretation of an edge is a tested and (for you) tradable trading plan that has:
- clear entry, stop and exit rules
- risk management rules to achieve your psych/money/living goals
- monitoring to make sure your edge is still statistically valid and warn of degradation.

I disagree. Some of what you say may be appropriate for a temporary mechanical edge but not a permanent edge. A permanent edge requires a deep understanding and proper interpretation of what you see. It is not statistically derived nor does it ever degrade. In fact, practice and experience intensifies the edge, it doesn’t degrade it, at all. If what you imply is true then you would have to question why people would read and recommend books written by people who lived and died decades ago, especially since nobody alive today (that I know of) has even seen them place a live trade as proof of their methodologies.

 

[nine]

LMAO ("I disagree.") Understanding enough to actually agree has never been your strong point.



I had kind of hoped that when you said you were leaving you would go.
Life is going to disappoint sometimes.

 

[new_trader]

LMAO ("I disagree.") Understanding enough to actually agree has never been your strong point.



I had kind of hoped that when you said you were leaving you would go.
Life is going to disappoint sometimes.

What a well thought out intelligent response from an ex-moderator. That's the best you can do? And the bugs bitch says I pick fights...

So this is the way it's going to be around here from now on? I better apply to be a moderator if that is the case.

 

[the blades]

And the bugs bitch says I pick fights.

I rest my case.

UTB

 

[new_trader]

Ah ! Yes........in consequence of the above it is patently clear owing to a process of logical progression that anyone properly armed with a view is likely to have an edge, whereas it is most unlikely that the holders of opinions are in posession of anything other than the opinions themselves and nothing else of any significance.

I rest my case.