StockFetcher Forums · General Discussion · I need some advice about curtailing losses<< 1 2 3 4 >>Post Follow-up
curmudgeon
103 posts
msg #56380
Ignore curmudgeon
11/3/2007 11:57:30 AM

This is true. "Trading in the Zone" is a good book to read.

This is a great thread...sure beats listening to the crickets chirp in here. I canceled all my pay sites except this one so I don't get to interact with other traders much outside of here.

TheRumpledOne
6,358 posts
msg #56383
Ignore TheRumpledOne
modified
11/3/2007 12:40:13 PM

The Usefulness of a Cup Is in Its Emptiness

By Rick Pendergraft

The ancient Chinese proverb "the usefulness of a cup is in its emptiness" applies to life, learning... and trading.

Not being able to receive and translate new information is bad in any situation, but it's a death sentence for a trader. That's because each and every day you're exposed to news that can and will affect the markets. If your mind is too full to process it, you're doomed to miss out on opportunities.

One of the most common things I've seen traders do is come to a conclusion about a trade and then stubbornly stay with it - even when new information coming in tells them they're wrong. Their minds are full of old, possibly outdated, conclusions, and there isn't any room for new ideas.

Trading is an art comprised of two simple actions: getting in and getting out. And having a clear, open mind is critical to getting in and getting out at the right time.

If your cup is extremely full and in danger of overflowing, you might want to step away from the markets for a few days to clear your mind.

========================================================

"Trading is an art comprised of two simple actions: getting in and getting out. And having a clear, open mind is critical to getting in and getting out at the right time. "

IT'S NOT WHAT YOU TRADE, IT'S HOW YOU TRADE IT!


SFMc01
272 posts
msg #56400
Ignore SFMc01
11/3/2007 2:42:56 PM

TRO: would you clarify something you said earlier in this thread for me, please.

You said, "When you Milk the Cows, you look to see if the stock has gapped up/down, to get a clue as to which way the price may break first. You enter when open +/- $.10 is crossed. It doesn't matter which way the stock gapped."

Knowing that the MTC filter referred to identifies stocks with a historical record of having highs above the opens, does this mean that you buy when it is +$.10 and/or you sell short when the price is -$.10? Or, possibly ignore the stock if it goes down $-.10?

Thank you ... Steve

TheRumpledOne
6,358 posts
msg #56405
Ignore TheRumpledOne
11/3/2007 3:41:57 PM

"Knowing that the MTC filter referred to identifies stocks with a historical record of having highs above the opens, does this mean that you buy when it is +$.10 and/or you sell short when the price is -$.10? Or, possibly ignore the stock if it goes down $-.10?"

Yes, go long at open + $.10 and go short at open - $.10

You decide if you want to ignore the trigger.



TheRumpledOne
6,358 posts
msg #56407
Ignore TheRumpledOne
modified
11/3/2007 3:57:50 PM

=====================================================================

Trading Rules

=====================================================================


1. Plan your trades. Trade your plan

2. Keep records of your trading results.

3. Keep a positive attitude, no matter how much you lose.

4. Don't take the market home.

5. Successful traders buy into bad news and sell into good news.

6. Successful traders are not afraid to buy high and sell low.

7. Successful traders have a well-scheduled planned time for studying the markets.

8. Successful traders isolate themselves from the opinions of others.

9. Continually strive for patience, perseverance, determination, and rational action.

10. Limit your losses - use stops ! ( mental imo )

11. Never Cancel a stop loss order after you have placed it!

12. Place the stop at the time you make your trade.

13. Never get into the market because you are anxious because of waiting.

14. Avoid getting in or out of the market too often.

15. Losses make the trader studious - not profits. Take advantage of every loss to improve your knowledge of market action.

16. The most difficult task in speculation is not prediction but self - control. Successful trading is difficult and frustrating. You are the most important element in the equation for success.

17. Always discipline yourself by following a pre - determined set of rules.

18. Remember that a bear market will give back in one month what a bull market has taken a three months to build.

19. Don't ever allow a big winning trade to turn into a loser. Stop yourself out if the market moves against you 20% from your peak profit point.

20. You must have a program, you must know your program, and you must follow your program.

21. Expect and accept losses gracefully. Those who brood over losses always miss the next opportunity, which more than likely will be profitable.

22. Split your profits right down the middle and never risk more then 50% of them again in the market.

23. The key to successful trading is knowing yourself and your stress point.

24. The difference between winners and losers isn't so much native ability as it is discipline excercised in avoiding mistakes.

25. In trading as in fencing there are the quick and the dead.

26. Speech may be silver but silence is golden. Traders with the golden touch do not talk about their success.

27. Dream big dreams and think tall. Very few people set goals too high. A man becomes what he thinks about all day long.

28. Accept failure as a step towards victory.

29. Have you taken a loss? Forget it quickly. Have you taken a profit? Forget it even quicker! Don't let ego and greed inhibit clear thinking and hard work.

30. One cannot do anything about yesterday. When one door closes, another door opens. The greater opportunity always lies through the open door.

31. The deepest secret for the trader is to subordinate his will to the will of the market. The market is truth as it reflects all forces that bear upon it. As long as he recognizes this he is safe. When he ignores this, he is lost and doomed.

32. It's much easier to put on a trade than to take it off.

33. If a market doesn't do what you think it should do, get out.

34. Beware of large positions that can control your emotions. Don't be overly aggressive with the market. Treat it gently by allowing your equity to grow steadily rather than in bursts.

35. Never add to a losing position.

36. Beware of trying to pick tops or bottoms.

37. You must believe in yourself and your judgment if you expect to make a living at this game.

38. In a narrow market there is no sense in trying to anticipate what the next big movement is going to be - up or down.

39. A loss never bothers me after i take it. I forget it overnight. But being wrong and not taking the loss - that is what does the damage to the pocket book and to the soul.

40. Never volunteer advice and never brag of winnings.

41. Of all speculative blunders, there are few greater than selling what shows a profit and keeping what shows a loss.

42. Standing aside is a position.

43. It is better to be more interested in the market's reaction to new information that in the piece of news itself.

44. If you don't know who you are , the markets are an expensive place to find out.

45. In the world of money, which is a world shaped by human behavior, nobody has the foggiest notion of what will happen in the future. Mark that word - Nobody! Thus the successful trader does not base moves on what supposedly will happen but reacts instead to what does happen.

46. Except in unusual circumstances, get in the habit of taking your profit too soon. Don't torment yourself if a trade continues winning without you. Chances are it won't continue long. If it does, console yourself by thinking of all the times when liquidating early reserved the gains that you would have otherwise lost.

47. When the ship starts to sink, don't pray - jump.

48. Lose your opinion - not your money.

49. Assimilate into your very bones a set of trading rules that works for you.



petrolpeter
439 posts
msg #56411
Ignore petrolpeter
11/4/2007 10:15:23 AM

Warren Buffet ell get another good chuckle out of this stuff.

contrahawk
68 posts
msg #56413
Ignore contrahawk
11/4/2007 12:13:42 PM

petrolpeter:

don't you find a divergence between the principles which govern the activities of an investor (Omaha) and those of a trader (TRO)?

miketranz
668 posts
msg #56416
Ignore miketranz
11/4/2007 9:49:00 PM

The best piece of advice on losses was written by Marlyn.........

karennma
6,386 posts
msg #56428
Ignore karennma
11/5/2007 9:28:40 AM

TheRumpledOne
TheRumpledOne 11/2/2007 7:23:00 PM
I take advantage of the open.
The best way to get your "milk" is to buy at/near the open, at/near the open price. IT IS THAT SIMPLE. All runs to high and low must pass through my "buy zones". Which are the open + $.10 and open - $.10.
=====================
====================

Well, looks like we'll get plenty of practice on the -0.10 at the open.
Looking at the pre-market, I'm screwed on everything I bought Friday.




karennma
6,386 posts
msg #56429
Ignore karennma
11/5/2007 9:30:40 AM

Gap DOWN on every single thing!


StockFetcher Forums · General Discussion · I need some advice about curtailing losses<< 1 2 3 4 >>Post Follow-up

*** Disclaimer *** StockFetcher.com does not endorse or suggest any of the securities which are returned in any of the searches or filters. They are provided purely for informational and research purposes. StockFetcher.com does not recommend particular securities. StockFetcher.com, Vestyl Software, L.L.C. and involved content providers shall not be liable for any errors or delays in the content, or for any actions taken based on the content.


Copyright 2016 - Vestyl Software L.L.C.Terms of Service | License | Questions or comments? Contact Us
EOD Data sources: DDFPlus & CSI Data Quotes delayed during active market hours. Delay times are at least 15 mins for NASDAQ, 20 mins for NYSE and Amex. Delayed intraday data provided by DDFPlus