Best Thread How To Make Money Trading The Markets.

[seguna]

Hmmmnnn...not quite clear.
Are you saying Richard is advocating for or against using stops?...Either on this thread or in general trading?

 

[darktone]

Hmmmnnn...not quite clear.
Are you saying Richard is advocating for or against using stops?...Either on this thread or in general trading?

Im saying that I understand the seeming logic behind the use of a stop order. I understand Richards view. I shared this view a long time, a looooong time. I now see it as flawed.

As I understand it. Richard is advocating the use of a stop order. And not using a stop order means your are sitting there 'watching yourself losing money.' Maybe he can clarify.

I dont like like stop orders as they dont seek value, they seek loss.
That really is all im saying here. Its Richards thread.

 

[Mistermoneymaker]

to all thise on this thread that keep trying to disprove Richards style of trading whilst implying that he is anything but honest and sincere in his comments and trade explainations, please simply leave and stop cluttering this thread with rubbish as the rest of us actually appreciate his comments and are hungry for his pearls of wisdom.

 

[seguna]

As I understand it. Richard is advocating the use of a stop order. And not using a stop order means your are sitting there 'watching yourself losing money.' Maybe he can clarify.

I dont like like stop orders as they dont seek value, they seek loss.
That really is all im saying here. Its Richards thread.

This is where we see it differently. I'm not so sure Richard is in all cases.

From what I've read on this thread so far, he pro-actively manages his trades and exits at first sign of 'breakdown'. That may or may not involve the use of stop orders, he doesn't always say.

I'm sure he'll clarify soon...:smart:

By the way I agree with you in part about stop loss orders in general.

 

[fxstrategist]

Not a good day for emerging market stocks, lets see how long the risk aversion pesists.

 

[Mr. Charts]

BABA was a pre-market alert. As it raced North on rising candles I jumped on board and got a good bite out of the move, not being in as early as I could have been and I exited, as it proved, a bit on the early side, but still a very nice profit using the particular method in this thread. You do need practice and some experience with this sort of high ATR stock, so it's not for beginners to trade in large size, but you simply reduce position size to match your own chosen risk profile as explained earlier in the thread.
+68c per share

 

[Mr. Charts]

I used this method on two of my five trades today.
The loser was SNY where I lost one cent per share. I always cut losers fast when/if the price turns 180 degrees against me. Personally I have never sat and watched myself lose money in directional or unhedged trades, even in my early days of trading. For many years now I have only traded directionally and that suits my style just fine. If a move reverses against me, I exit quickly and almost take a sort of professional satisfaction from doing so.

 

[Mr. Charts]

AAL was traded twice, the first time using another of my methods and that was more profitable than the second one shown here.
The latter was a rising candle method one and produced a nice bread and butter sort of trade of +21c per share.
Extirpate the weeds when they are small and let the flowers grow and bloom.

 

[Mr. Charts]

This is where we see it differently. I'm not so sure Richard is in all cases.

From what I've read on this thread so far, he pro-actively manages his trades and exits at first sign of 'breakdown'. That may or may not involve the use of stop orders, he doesn't always say.

I'm sure he'll clarify soon...:smart:

By the way I agree with you in part about stop loss orders in general.

Correct, seguna. I always use mental stops, never hard ones as actual price action is vital in decision making in entry, exit and trade management.
Richard

 

[rexlord]

I honestly cannot believe this thread is parts of the FAQ on this forum.

The idea behind this thread is to show it is not difficult to make money from day trading US stocks

Nothing could be farther from the truth. It is difficult. The vast majority of traders lose money. And the vast majority of traders who claim big profits - lie about it.

given good methodology and the self-discipline and control to follow and trade it

Given you have an edge, it is possible to be profitable. But there are only slight edges in the US stock market. So unless you are really sure that your methodology has an edge, you can be self-disciplined as a robot and still lose money.

You need to see what is in front of your eyes and act accordingly on that evidence – nothing else, no hope, no fear.

Don't you first need a way to measure whether what you are seeing has an edge? Once again, you can trade like a robot, but if you have no edge - you will be consistently losing money.

Above all you need self-control and the humility to realise you are not the master of the markets, you are not “clever”, you are merely an individual who is going to carefully choose high probability situations to make consistent money from the markets.

The psychology mumbo-jumbo sure sounds nice. But you are implying that "choosing high probability situations" is as easy as being able to "see what is in front of your eyes"? Once again, there are no edges in the markets that are so blatantly obvious. Why? Because, once again, the vast majority of traders lose money.
Another problem with this statement is that there is no such thing as a "high-probability" situation. There are edges which tip the scale SLIGHTLY in one direction over the other. But there is no such thing as a high probability situation. If there was, then we'd all only trade these "high probability" situations.

I often use specific triggers to confirm the trade entries and often the exits. Those triggers are level2 buy and sell pressures and Time & Sales... but often enough to give me a powerful edge.

If your edge is in reading Level2, then what do the charts you are posting have to do with anything? Aren't they worthless without the Level2 reading, where your edge is?

This thread will only include charting, not level 2 buy and sell pressures and Time & Sales.

Of course. This way your superhuman Level2 reading abilities can remain a great mystery.

The method I’m going to show is fairly straightforward and works well with stocks which are either strong or weak and clearly trending.

Don't you first need to define "trend" in your understanding so everyone is on the same page?

There will be examples and then descriptions and clarification to follow.

Your charts are cherry-picked examples of places where the candles look pretty and moving in one direction.. with no mention on how you create a watch-list. Oh, sorry, I forgot. You just read the news and you have your watch-list ready. It's that simple.

it is absolutely vital that losses are kept to a minimum.

This is false. Keeping losses to a minimum is a sure way to bleed your account to $0.
Tight stops in a noisy market such as the US stocks is a sure way to rack up loss after loss after loss which will add up very quickly.

There were plenty such opportunities to make money this afternoon using this straightforward technique.

So what is the edge in this techniques? I must have missed that part. Oh, that's right. The edge is your Level2 reading. But you didn't share that part.. The "technique" then clearly has no edge without that piece. So what exactly is the point of this thread then?

 

[Mr. Charts]

Here's another example from today. I alerted ITEK on my list more than an hour before market open.
Why? The company had come out with very good news and it had gapped.
All I had to do then was to wait and see if one of my dozen set ups occurred. Sometimes depth of market skills and experience help in timing and decision making, sometimes they are not even necessary.
The stock price moved up but didn't produce a set up till later. Patience helps.
My entry was not optimum as I didn't see it until the surge of rising candles was well established as I was looking at other stocks as well, but I had this one up on my screen of charts so it wasn't long till I spotted the move.
I got a good chunk of the move, +182c per share, that's $1820 for those trading 1000 shares, $910 for 500 and pro rata of course.
I do think preparation, method and self control are absolutely key to finding and awaiting high probability situations to trade.
In any stock, a strongly moving price is more likely to result in profit than a stock with no direction or which is choppy on your chosen time frame.
Like many things in life, once you have the pre-requisite knowledge, skill and some experience and have your mental approach sorted out it is no longer difficult to be profitable. Of course nothing works 100% of the time, trading is a probability business not a certainty. Keep the losers small and let the winners run.

On this occasion I'll show my time stamped alert (UK time) and if a mod thinks I shouldn't have, he is obviously free to delete the image if he chooses.

 

[Mayberry RFD]

I alerted ITEK on my list more than an hour before market open.
Why? The company had come out with very good news and it had gapped.

Big deal I had it on my list also and so did a lot of traders. How can you take credit for putting it on a list when it had gapped and it had good volume.

 

[Mayberry RFD]

All I had to do then was to wait and see if one of my dozen set ups occurred.

Your setups are like everyone else's Breakouts, Reversals and Gappers.

You just seem to pick the correct stock that makes a move in your favor.

Of course this is all after the fact. Never live.

 

[Mayberry RFD]

In any stock, a strongly moving price is more likely to result in profit than a stock with no direction or which is choppy on your chosen time frame.

I thought you only traded clean moving stocks. Some of the candles on this trade were pushed way down by sellers that is very risky.

 

[Mayberry RFD]

Like many things in life, once you have the pre-requisite knowledge, skill and some experience and have your mental approach sorted out it is no longer difficult to be profitable. Of course nothing works 100% of the time, trading is a probability business not a certainty. Keep the losers small and let the winners run.

I know of no trader who trades as well as you do. Even NAZ who is familiar with your methods does not use them.

How do you keep your losers small when you hold your trades almost past the 50% level of the previous candle?

If your methods were so great everyone would use them and make big profits. If you traded live then I would believe you. But you have never done that in your history of trading.

 

[Amit 1986]

I know of no trader who trades as well as you do. Even NAZ who is familiar with your methods does not use them.

How do you keep your losers small when you hold your trades almost past the 50% level of the previous candle?

If your methods were so great everyone would use them and make big profits. If you traded live then I would believe you. But you have never done that in your history of trading.

Mayberry RFD,

I am a trader that uses Mr. Charts methods. He is the real deal.

Amit

 

[RonnieR]

I am a trader who does not use Richard's methods on a day to day basis for a number of reasons.

He publishes his watch lists, continually revised when he is on line, and his trades, as 'live' as is possible, to his subscribers.

I am not good enough or fast enough to respond to his broadcasts, which came as a massive surprise to me, and I currently cannot observe the intraday markets as closely as he does.

When I can, his methods are validated. I concur with Amit. Richard is the real deal for a serious intraday trader.

 

[Anthz]

I'd came across this method here years ago, paper practiced for some months and intraday trading the US stock market since last year, it works for me. Anyone here doubting this method, have you tested it personally before judging it with your own subjective personal views ?

Anthony, SG

 

[markettiming]

I'd came across this method here years ago, paper practiced for some months and intraday trading the US stock market since last year, it works for me. Anyone here doubting this method, have you tested it personally before judging it with your own subjective personal views ?

Anthony, SG

did mr charts teache you 1-2-1? or did you buy only his video courses?

 

[tar]

bewayopa thanks but your reports are late ...