Day Trading

Has anyone on this forum had any experience day trading?

If so where you successful?

Here's a good place to start.

Long S&P futs at support.

Wish me luck

Exit some @ 1223.5

Breakeven stop on the rest

The 123 pattern at resistance (the orange line) looked ugly enough to raise my stop to just under those central pivots (the green and yellow dashed lines)

In retrospect it coulda been a nice short entry.

Another excellent setup for a long.

2X/3X bottom (depending on time frame used) at pivot, fibzone and daily 3 day cycle support.

You gotta be prepared to re-enter if necessary.

Anyway just thought I'd show my method once again.

Cheers

I have day traded quite well over the past 18 months. I scan the ASX website, looking for company annoucements that are price sensitive.

In the mining stocks look for the word "Uranium"

In the bio/healthcare stocks look for words like "New Discovery", "Bird Flu", "HIV", etc

In the Energy stocks look for words like "Oil Discovery-especially the thick black kind"

Stocks than announce...Profit upgrades are also a good bet!

Watch for directors buying large sums, you can bet a good annoucement is on the way.

It is just a case of scanning the annoucement quickly, then placing a bid at pre-open or buying in at market, and hoping for the best. Don't be too greedy though, take your profits and run.

Best to get in quick, wait for the initial rush to be over, then either exit or wait for the next rally. Depends how game you are!

Highest day trade amount I collected was $10,750 in 4 hours on one stock.
The least amount of time I have spent on a stock is 2 minutes and collected $1200

Kris.

Your losses? Had any?
Your statement that without a job you'd have to stop trading was/is concerning?

Day trading (Buy and sell in the one day) is the trading equivilent (to most novices) of flying a fighter with a car licience. Crashing and burning are the most likely result.

Infact Id go as far as saying that unless your trading options or futures your chances of success (Day trading) are pretty well ZERO.

The important thing to note about daytrading, is that depending on the markets traded, the techniques are entirely different.

What works with speccies, doesn't work with indexes, and visa versa. Indexes are best traded off levels, with speccies you just catch the momentum.

Currencies are a bit different again.

A bit of clairvoyance never goes astray in any market of course.

Cheers

Day trading (Buy and sell in the one day) is the trading equivilent (to most novices) of flying a fighter with a car licience. Crashing and burning are the most likely result.

Infact Id go as far as saying that unless your trading options or futures your chances of success (Day trading) are pretty well ZERO.

Click to expand...

totally disagree, when i first started training i got burnt trying to day trade on big announcements because being the newbie i was i would chuck money at anything...

You would get burned by the old buy on rumour sell on fact ...

The key is to only jump on if you know its going to run hard... don't take every oportunity that comes along.. and have a tight stop..

The first thing on the checklist is has the market been expecting an announcement like this? if yes be wary, this will be the exit for many....

If its out of the blue with great content it might be worth a tickle...

only ones i have done recently are SIE & RBY.. finished with RBY now after three trades in the last 2 day...

I have a small parcel dedicated to these every once in a while trades.. it compliments the other stuff...imho.. just don't get greedy...

Kris

Thanks for the kind words.

Think Mime would appreciate a balanced view.

So again--Your losses had any?
Is your nett position positive over ?? years?
Any other comments other than how "Lucky"/"Brilliant" you have been.

Like you I've had some spectacular results both positive and negative.
Consistent profit has always come from longer term---for me and over the years most 95% that trade stocks that I've come in contact with report the same.

Its natural for people to want instant gratification like $10K in a day.
Reality with stock is that without a sizable capital base and the right gear and the time to be glued to a screen--with a sound method of trading--day trading spectacular returns are rare occurences spectacular losses more prevelant.

tarnor said:

totally disagree, when i first started training i got burnt trying to day trade on big announcements because being the newbie i was i would chuck money at anything...

You would get burned by the old buy on rumour sell on fact ...

The key is to only jump on if you know its going to run hard... don't take every oportunity that comes along.. and have a tight stop..

The first thing on the checklist is has the market been expecting an announcement like this? if yes be wary, this will be the exit for many....

If its out of the blue with great content it might be worth a tickle...

only ones i have done recently are SIE & RBY.. finished with RBY now after three trades in the last 2 day...

I have a small parcel dedicated to these every once in a while trades.. it compliments the other stuff...imho.. just don't get greedy...

Click to expand...

Tanor

Hmm how then do you KNOW that any share will Run Hard?
How do these gems standout and more importantly how do you get on at the lower portion of any run and get out at the top of any major down turn?
CONSISTANTLY?

Yes--COMPLIMENTS

I'll quantify success as a consistant profit worth the time and effort which to me would be a good return on $s invested say 20% + a year.
For the time and effort which would equate to total attention to a tick screen while in a trade that could equate to an 8 hr day.
I really dont think people consider the actual cost of gaining a return--Books,Software,Hardware,Seminars,Brokerage,Losses.
Rate it back to hrs spent for most traders trading < $50K and I'm sure you'll find some head scratching.

The road to become a profitable trader . not too many around here are too far down this road judging by the quality and content . took this from MDS forum , thought they wouldnt mind as it really is relevant . at a guess would say most here are between 1 and 14 . the ones that are further down the list probably dont post much id say . one attribute to become a good trader is critical thinking . work on it guys

............. pete


1. We accumulate information - buying books, going to seminars and
researching.
2. We begin to trade with our 'new' knowledge.
3. We consistently 'donate' and then realise we may need more
knowledge or information.
4. We accumulate more information.
5. We switch the commodities we are currently following.
6. We go back into the market and trade with our 'updated' knowledge.
7. We get 'beat up' again and begin to lose some of our confidence.
Fear starts setting in.
8. We start to listen to 'outside news' and to other traders.
9. We go back into the market and continue to 'donate'.
10. We switch commodities again.
11. We search for more information.
12. We go back into the market and start to see a little progress.
13. We get 'over-confident' and the market humbles us.
14. We start to understand that trading successfully is going to
take more time and more knowledge than we anticipated.

MOST PEOPLE WILL GIVE UP AT THIS POINT,
AS THEY REALISE WORK IS INVOLVED.

15. We get serious and start concentrating on learning a 'real'
methodology.
16. We trade our methodology with some success, but realise that
something is missing.
17. We begin to understand the need for having rules to apply our
methodology.
18. We take a sabbatical from trading to develop and research our
trading rules.
19. We start trading again, this time with rules and find some
success, but over all we still hesitate when it comes time to
execute.
20. We add, subtract and modify rules as we see a need to be more
proficient with our rules.
21. We feel we are very close to crossing that threshold of
successful trading.
22. We start to take responsibility for our trading results as we
understand that our success is in us, not the methodology.
23. We continue to trade and become more proficient with our
methodology and our rules.
24. As we trade we still have a tendency to violate our rules and our
results are still erratic.
25. We know we are close.
26. We go back and research our rules.
27. We build the confidence in our rules and go back into the market
and trade.
28. Our trading results are getting better, but we are still
hesitating in executing our rules.
29. We now see the importance of following our rules as we see the
results of our trades when we don't follow the rules.
30. We begin to see that our lack of success is within us (a lack of
discipline in following the rules because of some kind of fear)
and we begin to work on knowing ourselves better.
31. We continue to trade and the market teaches us more and more
about ourselves.
32. We master our methodology and our trading rules.
33. We begin to consistently make money.
34. We get a little over-confident and the market humbles us.
35. We continue to learn our lessons.
36. We stop thinking and allow our rules to trade for us (trading
becomes boring, but successful) and our trading account
continues to grow as we increase our contract size.
37. We are making more money than we ever dreamed possible.
38. We go on with our lives and accomplish many of the goals we had
always dreamed of.

Hi all

It really does'nt take a great brain or tons of books, software and seminars to daytrade.

It does however, take focus, attention to detail, patience, belief and courage. Your powers of perception are trained by use. So yes you do start to know when a stock is likely to run. The hardest part about daytrading is you need to know and act quickly when you are wrong.

Cheers
Happytrader

Paper trading looks good start, but having to pay for live feed data with no chance to recoup some of the expenses is very tempting to dip the toe.

Probably better start will be free End of Day Data, free charting program, free books from the library, free Fin Rev, Shares mag and few more available at the local library, some of them are few months years old, but for absolute beginner it doesn’t matter that much.

With just the computer and Internet connection to pay for, it is much easier to spend countless hours paper trading.

I know not the real thing and when money gets into picture sometimes we become different person, but this is one of the cheaper ways to start.
And much easier to walk away if it is not our cup of tea.

My post is under assumption that Day Trading is closer to extreme end of Trading, if wrong, apologies.

NAB getting hammered at the moment, does anyone think it's oversold, currently down -0.76. Could be a good time to buy ???

How much is the dividend payout going to be? Take that off and some.

Cheers
Happytrader

Dah, I doesn't go ex div until 21/11/2005

Yippo

It does'nt have to. It's called double dipping. Check out some of my other posts in regard to this.

Cheers
Happytrader

I'm starting to thing nab oversold (damn - sold my puts yesterday!) but I really cant see much of a support until about $31.90. There is a support at about $32.47-9 but it is relatively weak (in my opinion) and has already started to trade throught that.

malachii

PLEASE NOTE - MY CHARTING SKILLS LEAVE A LOT TO BE DESIRED. I ALMOST GUARANTEE THAT ANYONE WITH ANY KNOWLEDGE WILL NOT AGREE WITH MY SUPPORT LINES. PLEASE PLEASE PLEASE DO NOT THINK THIS IS ADVICE OR THAT I KNOW ANYTHING AT ALL!!!!!!!!!!!!!!!!!!!!!!!!