Best Thread How To Make Money Trading The Markets.

[Mr. Charts]

Here are two trades from today in the same stock, CLDX.
There was excellent news pre-market and it was also a gapper so I had it on my alert list an hour before the market even opened.
I read through the news stories and look at the pre-market gappers before open, then repeatedly scan for more possible opportunities after open.
Both of the two trades used the particular set up in this thread (and also one of the other ones I use).
The first produced a profit of 31c per share.

 

[Mr. Charts]

As always the pointer is at entry and the screen shot taken at exit.

The second trade was a little later after it consolidated/paused and that was even better producing 107c per share profit.

I traded nine times today, with three losers and six winners, as listed on my blog.

This method and my others work well on most equity markets and often on indices.
I know people who use them on the UK, German, Indian and Australian markets, not just the US market.
If you like this method test it out on your own markets paper trading initially until you are confident and consistent.

It can easily be adapted to options, though the forex market having few good trading pairs present fewer opportunities.

 

[Mr. Charts]

These two trades went against the negative direction of the day.
When you trade like this you need to be flexible and realise that although it feels better to trade in the general direction of the market, you are trading the individual stock, not the overall market so always trade what you see, not what you think should happen.
I hope some people find these posts helpful and useful in their thinking and trading.
Richard.

 

[dojistar]

Here are two trades from today in the same stock, CLDX.
There was excellent news pre-market and it was also a gapper so I had it on my alert list an hour before the market even opened.
I read through the news stories and look at the pre-market gappers before open, then repeatedly scan for more possible opportunities after open.
Both of the two trades used the particular set up in this thread (and also one of the other ones I use).
The first produced a profit of 31c per share.

Hi Richard, good to see you posting your trades again. Are you still using Esignal and do you use Esignal to read through the news pre-market.

 

[SpreadDoctor]

Hi Richard, good to see you posting your trades again. Are you still using Esignal and do you use Esignal to read through the news pre-market.

I am sure Richard will reply in good time but from his screenshots it looks like he is using Interactive Brokers TWS platform. The good thing about IB is that when you have an account you get a free bundle of live data for the main exchanges so there is zero monthly cost. People complain about TWS not being intuitive but once you get used to it, it is fine. Esignal is really superb but once you start adding in exchange data it starts racking up the monthly cost. I use the $50pm delayed Esignal just to chart my pairs and spreads, as TWS doesn't have this functionality. no sense paying the extra for tonnes of exchanges when I have the ratios in real time via TWS and my stat software. If you added in all the exchanges for Esignal real time CME, NYSE, NASDAQ, LSE, CBOT etc you are looking at $300pm+

 

[Mr. Charts]

Thanks for the comments, DJ and doji.
I stopped eSignal a couple of years back as IB gave me everything I needed for nothing.
Ironically, eSignal contacted me shortly after I left and asked me to write an article for their education section !
It's worth a read IMHO

http://www.esignallearning.com/education/marketmaster/strategy/scanner/marketscanner_strategy_RichardJoyson.aspx

Richard

 

[dojistar]

Richard, so you use I.B for yours news feed.

 

[barjon]

Thanks for the comments, DJ and doji.
I stopped eSignal a couple of years back as IB gave me everything I needed for nothing.
Ironically, eSignal contacted me shortly after I left and asked me to write an article for their education section !
It's worth a read IMHO

http://www.esignallearning.com/education/marketmaster/strategy/scanner/marketscanner_strategy_RichardJoyson.aspx

Richard

Richard

Can't comment on the method in your eSignal article, but love it that there seems to be 2 entry set-ups and 8 reasons for exit. That should concentrate the minds on what's important

Cheers

jon

 

[Mr. Charts]

Richard

Can't comment on the method in your eSignal article, but love it that there seems to be 2 entry set-ups and 8 reasons for exit. That should concentrate the minds on what's important

Cheers

jon

It's a reflection of my cautious nature.
No over-analysis leading to paralysis or entry hesitation wanting certainty (since there isn't any certainty in the markets, only probability).
Be decisive and take what the market offers and don't be greedy.
Hope you are enjoying your retirement from mod-hood - though there are far fewer trolls, idiots and aggressives around these days; probably due to Steve's clean out policies.
Richard

 

[Mr. Charts]

Richard, so you use I.B for yours news feed.

No, dojistar. I like briefing.com and read the pre-market news stories before open -as well as catching up on the previous night's post market stories.
If I get time during trading I have a quick look at the current news stories. For example today I saw this on briefing at 0952 Eastern:

SFXE SFX Entertainment (-17%) at new post-IPO lows after missing Q1 estimates -- call starts at 10:00 (5.71 -1.15)

I thought the company might talk up the price and the shorters might get squeezed so I looked for a possible bounce. I alerted my own members as soon as I read the story and waited to see if a rise would start happening. Shortly afterwards it bounced up and I got 29c per share of the move and others made money too, thanks to the briefing.com news story.
Richard

 

[dxx]

"...I hope some people find these posts helpful and useful in their thinking and trading.
Richard."

Your post are very helpful and useful Richard, and the main reason I come on this site. Thank you.

:clap:

 

[dojistar]

Richard thanks for the info. I will check out Briefing.com.

 

[lexcorp]

Do any of you actually trade a Mr Charts style of trading live on US stocks?
Any interest in starting a small chatroom perhaps?
I've been trading my interpretation of his method for a few weeks.

 

[dojistar]

Do any of you actually trade a Mr Charts style of trading live on US stocks?
Any interest in starting a small chatroom perhaps?
I've been trading my interpretation of his method for a few weeks.

Lexcorp, A chat room could be a good idea if you get the right people in the chat room and you notify each other of good stocks that are trending strongly, but getting the right people is a BIG BUT.

 

[lexcorp]

My best trade today was WWE

 

[Omoh101]

Lexcorp I will be interested in such a chat room. I trade a blend of Mr. Charts methods and other methods.

 

[Mr. Charts]

"...I hope some people find these posts helpful and useful in their thinking and trading.
Richard."

Your post are very helpful and useful Richard, and the main reason I come on this site. Thank you.

:clap:

Thank you, dxx
Richard

 

[Mr. Charts]

Here's a nice strong trender from today.
I ran a scan at 0946 Eastern time (1446 UK) and spotted MET. It's the sort of chart I really like as the probability of a break to a new high was strong.
In fact I jumped on it before the break out because the price action was very strong as I zero-ed in on buy and sell pressures and trades printing off (the latter is beyond the scope of this thread).
I exited as shown for +34c per share as I saw price action failing.
Anyone simply using the chart (without any knowledge of or skills in reading price action) could have gone long on the breakout and exited according to the chart rule I've suggested in this thread would have made 25c per share.
This is simple and obvious chart reading.
If you trade on the clearest and most obvious charts you are much, much more likely to succeed than if you use lots of analysis and lots of indicators on unclear charts
This type of method is not difficult, imho.

 

[grahamjonesfr]

Thanks Richard for your posts, very informative.

When you are getting out of a trade that has gone wrong do you use a market or limit sale?

Thanks

Gray

 

[Mr. Charts]

Hello Gray,

Thank you.
I use market orders 99% of the time. If the trade has failed or having been profitable appears to turn against me, in other words the momentum has turned, I want to be out as fast as possible before any loss becomes greater or any profits are reduced.

Richard