Infant to Trading

[tech/a]

"Simulation" is another term of undefined value for any beginner

Play the ASX trading game and grow your skills without risking your dough. IMO.

Love it.

Search Pete 2 posts.
on his trading

 

[Betavegeta]

I agree with practising on a simulation first, especially the ASX Sharemarket Game since it takes into account actual liquidity and has a somewhat expensive brokerage fee which makes it harder to get away with non beginner friendly methods such as scalping. In fact I'm playing it myself now even though I've already been trading for around 4 years on a live account (although right now I'm just using it to gauge how my strategy compares to others').

I wish I had started with simulations rather than diving straight into live trading which resulted in me losing a few thousand dollars when I was starting out but hindsight is 20/20...

 

[dmgkgkgh12]

Thank you all for the responses.
The reason my dad wanted me to "be a sponge" is because he has seen how I study to be where I am right now, and also closely replicates how he's studied throughout his university years as well as during his career. And although sometimes I do feel like it sounds almost like half of an advice, I'm confident it's going to provide me quite a good foundation. As I have mentioned, I am a health professional and I have just been so distant from finance and economics.

At this stage, I am just trying to build capital (not too large) so that I can start trading sometime soon. For me, my capital is the ammunition and my accumulated knowledge will be the firearm.

But also to mention, signing up to this forum gives me a sense of optimism and I am already loving the support from the community here.

 

[Warr87]

I've heard of some advice from some big names that someone should wait 1yr before they start trading for real. This gives them enough time to learn, figure things out a little bit, paper trade, look through different system types, and then hopefully not lose too much money.

As for capital, most will advise you that $20,000 should probably be a minimum for an equities account. If you had $10,000 and 20 max positions, that limits you as the minimum parcel size is $500 (so if your account is ever below $10,000 then you wouldn't be able to fill a maximum of 20 positions). Additionally, if you started with $100,000 and you go into a 20% draw down within the beginning, that's a huge emotional toll to take on (particularly for a beginner).

If you are a bookworm like me you will appreciate some good books. I can recommend some too you if you would like.

 

[Joe90]

It seems you know how to study, so start consuming books and taking notes. There are hundreds of authors and an infinite number of trading methods. You will be overwhelmed initially. As your knowledge grows you will start to see similar themes and consensus across multiple authors. I've always maintained that society's defined knowledge on any topic is inversely proportional to the amount of published material available. So there is a lot of BS to wade through and validate. And its a consuming addictive topic.

If you start down the system development path, be very thorough with your understanding and practice of out of sample testing when you backtest.

Don't be in a rush to enter the markets until you properly understand how to manage risk and protect your capital. Nick Radge has a great little ebook to get you started here, Successful Stock Trading - A Guide to Profitability, I would recommend you start with that. Its available online as a pdf (somewhere..?).

Longer term trading/investing - ONeil, Minervini, Nicholson, Stan Weinstein, Guppy, Alan Hull (bit out of date now). Finding a stage 2 trend to get on in the current environment will be a challenge.
Shorter term discretionary TA - read all the Peter2 threads here on AFL (hard to surpass Peter's content).
Systems trading - Nick Radge, Kevin Davey, David Aronson, Howard Bandy. Search all posts by ACrary (Alan Crary) on the elitetraders.com forum.
Psychology - Douglas, Trading in the Zone
Software - Amibroker & Norgate data. Most thorough author is Howard Bandy, he favours shorter term trading 1-5 days or so. Llewelyn James (online) has some good intermediate ebook content, and .afl code and videos available via subscription.

Swing trading and breakout trading methods - read the Stockbee website.

AbeBooks and BookFinder are both good sites to find (used) trading books online. Drop me a PM for some other sources.

 

[tech/a]

Bloody hell
I've owned everyone of these in the last 30 years!

 

[Joe90]

Oh ****, I left some out... There's another pile of books in my office....

All they do is reinforce how little I've learnt and how much I fail to retain. Been at this for six years now and still very much the apprentice.

 

[bux2000]

Hi there, I confess to being a lurker for many years......
20 something years ago I developed what become an addiction for learning about the share market. I spent a lot of money going to Guppy seminars, trading seminars and the books... yes that box of books which I recently dusted off and got out of the shed. It did really take over my life until it was affecting my family when the stress of not knowing what the magic bullet was.......... if that makes any sense to anyone here. There was a lot of time spent on TNO I apologise to any one for the dark place I was in at that time .....Anyone who has had visits from the black dog.......... . It got to the point for the sake of my sanity and that of my family I just walked away.

Anyway in July 2018 I decided to just buy 3 stocks and hold them not touching them and see what happened I bought FMG well I have always followed it and wished I had the holding I had bought 20+ years ago ATS and HSN which had come up on one of Greggles searches at the time. Now I am certainly not blaming Greggles for any of my decisions.
FMG $4.43 HSN $3.16 ATS $0.51c which I still own

FMG well it is just a great story
HSN a growth stock still waiting to grow
ATS It looks like it may have come to a rounded bottom at this stage anyway. It has always seemed sound with a good story but well just not green

Recently with Covid 19 and recovery from a small operation I have been dabling, starting with ATS with a small buy at $0.012c and adding at buy $0.14c with that success, the Minister of finance was persuaded to invest...... using the word loosely.... very loosely. I had a very good portfolio going with a a very healthy percentage gain. Then I got cocky and got into the media stock SWM SXL and a punt SW1 yesterday was a very good lesson for me watching them spirally down the big white telephone. Those tight stops I was going to put in place missing in action.

Things I have learnt on my small journey

1. More money invested does not necessarily = a bigger $ return
2 Quality companies are not regarded equally (The mood of the market)
3. Stop losses are the most important tool you can employ.

Anyway today was a little better (with the absence of media) AJM and ATS being a glimmer of hope and yes I liked the story of AJM as well entry at $0.038c

Well thanks for listening
(Sucker for a good story)

bux

 

[NoFOMO]

Don’t use CMC overpriced gambling machine


Saxo offer the best platform to Aussies, white label and has many more tradable instruments than the American platforms. Also has CFDs that aren’t ridiculously leveraged so you can use them reasonably safely in a LongShort trading strategy


A further warning

Need to voice about Anton Kreil


By reading all the posts around the web I can see few who comment have ever done a Anton Kreil ITPM course


And his defenders here are obviously Anton trolls, or Anton himself. He’s a walking self-promoter who bags everyone else to make you feel your going to miss out, the best FOMO in the learner traders on the Web. Don’t waste your money.


Most of what you need to be trade well you can get for FREE


Anton Kreils courses are FOMO Mercedes priced con when you only need a Toyota, like this fabulous forums Trading Fundamentals - Skate's Beginners Version


Babypips gives you a good basic technical understanding


If you want a great Macro view of the world listen to religiously. Macrovoices


If you want to keep up with the worlds Macro info Tradingeconomics


If you want a great Bloomberg like platform Koyfin data


If you want a great all-round technical setup platform Tradingview


If you want to learn about how the market works read the front pages of Squeezemetrics

This site is closed for new premium subscriptions because they actually tell you where the markets are going with some accuracy.

If you want a site that you can still get some market direction using the same market analysis for a very small fee Spotgamma


If you want to learn to trade the Long Short Hedge fund way Macrovoices offers a great free course.


I’m happy to discuss AntonK course material, just send me an PM.


Anton is overpriced and full of himself and uses your fear and previous trading losses to sell to you.

 

[imaginate19]

I am also a learner like you - I have been looking where to start for the past two years (I haven't, it can be incredibly frustrating and daunting, I got some long-term and dividend shares instead, because that is the only way I could see any kind of 'progress').

I still don't know where to start with regards to trading.

So, what I would say to my Dad, if he said that to me would be - Is there any research you need on a company you are looking at right now that I can help you with?
- Make sure you offer him a few drinks before you do this! (hehe, I am only joking! But yes choose your timing )

Maybe your Dad can share with you what information he is looking for and then you go and find it and present it to him. That way you get a feel for the kind of things he looks for.

This doesn't mean that you aim to carbon copy what he does, perhaps you can analyze it and find an even better way.

Otherwise, tell your Dad that I am happy to do research for him for free!

Good luck and let's hope you get started before me.

Right now, he's asked me to straight up be a sponge. Just absorb as much knowledge as I can before I start trading - and I agree with him on this.

However, although I am always entirely open to learning things, I have absolutely no idea where to start.