Firstly, hello all, please bear with me as I am useless with official terms at the moment and hopefully this will make sense. (Questions will be at the bottom)
About 2 weeks ago I thought about daytrading and started reading as much as possible thats available to me. obviously decided not to go on a course as everywhere with real people recommends DONT DO IT!! Started going forums etc for help and discovered trading strategies that seemed simple at the time, however, got quite lost after a day or so and then began again reading about oscillators, Moving Averages, daily, 4hr,1hr,5Minute and 1Minute Charts. I then opened a demo account last monday and began trading on 1m charts on FTSE 100 index with MA20, MA50 and MA100 also with oscillator. I done ok, trading up to 20 times in day (£10 per pointwith 20x stop loss, somtimes 1minute trades some approx 30mins) when approx 65 and 35 were breached on the oscillator also when each of the lines crossed. After the first two days, I made a pact that I will never trade until 9.30am and after 3.45pm-ish as these, at the moment are too unpredictable. I have also developed a habit which seems to help. Each time the market moves against I SB again for the same amount at the lower/higher price, thus when it does go the way my "indicators" said it would, it was easier to make a profit.
Until today it was fine, then after the market dropped at about 10ish and continued to go down a couple hit the stop and bombed out, but the 4 that I had remaining carried on and then at 1.30 it bombed again but quickly resumed going back to where I thought it was going and in the end made a profit. I didnt want this happening again, so when it topped out on the oscillator again later on, I went against, but continued to go up. once again, it came back to where I thought it was going to go and made a profit. However, one both occasions (including some last week) I pulled the plug, made a profit, but still went the way I was predicting. The difference I have made today, is that I am now looking at 4hr and 5min charts with oscillator and MA20 etc... and now with all three charts, I am comparing what all of them are saying and if the general gist is that are going to go a particular way I go with, but am generally waiting out the losses to come back into profit.
1. Does this make sense?
2. Am I doing anything right?
3. What else can I do or should I be doing?
4. Do others refuse to trade at certain times?
Just so you know, I have also added 1.30pm (10 mins either side) to non trading hours now and am using real time charts.
I have no doubts that any questions from you guys will spurn more questions from me, so once again, please bear with me.
I look forward to hearing your thoughts,
Cheers
Dean
About 2 weeks ago I thought about daytrading and started reading as much as possible thats available to me. obviously decided not to go on a course as everywhere with real people recommends DONT DO IT!! Started going forums etc for help and discovered trading strategies that seemed simple at the time, however, got quite lost after a day or so and then began again reading about oscillators, Moving Averages, daily, 4hr,1hr,5Minute and 1Minute Charts. I then opened a demo account last monday and began trading on 1m charts on FTSE 100 index with MA20, MA50 and MA100 also with oscillator. I done ok, trading up to 20 times in day (£10 per pointwith 20x stop loss, somtimes 1minute trades some approx 30mins) when approx 65 and 35 were breached on the oscillator also when each of the lines crossed. After the first two days, I made a pact that I will never trade until 9.30am and after 3.45pm-ish as these, at the moment are too unpredictable. I have also developed a habit which seems to help. Each time the market moves against I SB again for the same amount at the lower/higher price, thus when it does go the way my "indicators" said it would, it was easier to make a profit.
Until today it was fine, then after the market dropped at about 10ish and continued to go down a couple hit the stop and bombed out, but the 4 that I had remaining carried on and then at 1.30 it bombed again but quickly resumed going back to where I thought it was going and in the end made a profit. I didnt want this happening again, so when it topped out on the oscillator again later on, I went against, but continued to go up. once again, it came back to where I thought it was going to go and made a profit. However, one both occasions (including some last week) I pulled the plug, made a profit, but still went the way I was predicting. The difference I have made today, is that I am now looking at 4hr and 5min charts with oscillator and MA20 etc... and now with all three charts, I am comparing what all of them are saying and if the general gist is that are going to go a particular way I go with, but am generally waiting out the losses to come back into profit.
1. Does this make sense?
2. Am I doing anything right?
3. What else can I do or should I be doing?
4. Do others refuse to trade at certain times?
Just so you know, I have also added 1.30pm (10 mins either side) to non trading hours now and am using real time charts.
I have no doubts that any questions from you guys will spurn more questions from me, so once again, please bear with me.
I look forward to hearing your thoughts,
Cheers
Dean
