Trading the US the Naz/Mr. Charts Way

[neil]

The evening trader

For evening Dow traders - 5 min charts.

 

[neil]

Rimm so far

No, but I was going to......honest!

Well done Boy ( Note Volume Bars)

 

[Naz]

First of all i notice that the Nasdaq is diverging from the Dow and the S&Pat the moment.Thats what i cam e on the thread to say.

I just noticed Waynes post which i found interesting.He's right once you can get the emotional/psychological thing right its a great business.

I always try and criticise myself on each trade and analyse if i could have made it any better.I also try and analyse my feelings and emotions as well.

I'm really interested in the psychology of trading to me its a key part of the trading game.

Naz

 

[Naz]

Here is the divergence i was talking about yesterday.

 

[boy]

A little dough

No much follow through here but enough for a loaf!

 

[neil]

Just a quick note re something I noted yesterday:
As an evening trader I noted RIMM and my personal favourite "CAT, both offered evening trade for the patient trader, both breaking out of 5 minute consolidations.
By the way - Well done Boy

 

[neil]

No Evening trade today

Just a quick note re something I noted yesterday:
As an evening trader I noted RIMM and my personal favourite "CAT, both offered evening trade for the patient trader, both breaking out of 5 minute consolidations.
By the way - Well done Boy

...But no trades today (evening) for me. CAT and Dow (RIMM also I think) made their moves in early afternoon. Another good lesson in discipline.....sitting on my hands to avoid boredom trades.


Ps. Hope no one minds me posting my musings here ?

 

[Mr. Charts]

Neil,
Please post!
You've hit on one of the key problems traders face.
They sit and look and feel an urge to trade. They think they should - must - trade because that's what they "are there for".
Wrong - they are there to make money; that's the bottom line. They are not there to take whatever trade comes along - at least that's what I tell people I train.
Only take the high probability trades.
Don't over - trade.
Be like a sniper, wait and take your time and conserve your ammunition.
Fire away regardless and the opposition will take you out as you expose your position to them.
Then you make every trade count.
Richard

 

[Salty Gibbon]

Yes, I agree.

I used to trade like crazy, jump into 2,3 or 4 trades at a time and get hopelessly lost.

Now that I have instilled some discipline into my trading I am content to just sit and wait for the right opportunity to show itself. The result is that I do only a few trades every day and like Neil says, sometimes none at all.

Actually, just sitting and watching price action unfold is an education in itself. I once sat for 3 weeks just watching and watching ( no trading ) and just trying to get a feel for how the market works. I began to understand how prices move - the ebbs and flows, ups and downs etc. It also helped my discipline, as did a couple of other things.

It can be worse than watching paint dry but it does help in the long run.

That's my take on it for what it's worth.

:cheesy:

 

[Mr. Charts]

Tuesday May 19th

Not much in the way of pre-market excitement today.
NFLX (hard to borrow)
BEAS
BOOM (hard to borrow)
CYBX

I'll try and post as much as I can, but dealing with a new project has taken up a lot of time, sorry.
Richard

 

[Mr. Charts]

Leading indicators at 10 EDT
CYBX conference call at same time - should be interesting and possibly profitable
Richard

 

[Mr. Charts]

Not much in the way of pre-market excitement today.
NFLX (hard to borrow)
BEAS
BOOM (hard to borrow)
CYBX

I'll try and post as much as I can, but dealing with a new project has taken up a lot of time, sorry.
Richard

 

[Mr. Charts]

Leading indicators at 10 EDT
CYBX conference call at same time - should be interesting and possibly profitable
Richard

 

[Mr. Charts]

I'll move this to "pre-market news and comments"

 

[The Beyonder]

I agree with Richard/Salty

Unfortunately, I sometimes get so bored I start playying online games/surfing etc and then miss good set-ups.

Must stay focussed.

 

[Mr. Charts]

Of the ones I pointed out y'day:
BEAS - too small a trading range
BOOM closed the gap but not shortable
NFLX collapsed three dollars but not shortable
CYBX I tracked carefully. The newswires came out with summaries of what was being said at the conference call (which you can listen to live anyway) and my favourite feed at 10.26 EDT (3.26 pm UK) published the vehement words of rebuttal which were very convincing. The price reversed and rose a whole $3
I hope some here read my last post and grabbed some of that profit............
Nicely profitable and very logical.
Richard

 

[neil]

Thurs and Friday

Thursday was a sit on hands day (two out of five days this week)
Today - Friday - the Dow has movd up this evening but CAT (the US share I watch) is in a chop.

Interestingly RIMM, the share some of you watch, has a nice breakout pattern, note the volume bars and narrow price bars.

 

[Naz]

I agree if you sit back you can get the feel for what's going on,not only intra day but EOD.Sometimes that feel can translate into the bigger picture.For me over the last 10 days it been the strength of the Nasdaq.

For me it was INTEL's strength.You dont go anywhere major on the Nasdaq without Intel.its a tier one general.

I thought the key date was May 11 and 12.The Nasdaq pulled back and held.Chart 1 showed what Intel did on those dates.I have two accounts for trading the Nasdaq one for intra day and one for end of day.I went long EOD at that time on three major Nasdaq stocks and i'm still running them.One of which was GOOG because its so damn strong.Second gif.

I reckon sitting back and watching can really pay off and reap some good rewards.

Naz

 

[neil]

FMD New York

Here is a share that raced away from the off. It was among the $ gainers on Prophet.net charts.
Sadly I did not notice until I happened to wonder what the $gainer/loser facility was for and, by then, the price was already $43 - ho hum.

Notice the volume coming to life.

Even if I was watching from the off, how soon would Prophet have identified the share as a riser? Unless someone can tell me how potential risers/fallers are quickly spotted I think I will keep to my small list of volotile stocks and YM.

 

[neil]

How does one pick 'em

It is horses for courses.

I always have the futures up to see what's going on.If the futures aren't going anywhere on a particular day then trading them can be a bit tough.However there are thousands of US stocks out there and you can bet that some of them will be moving strongly.Just find out which ones are and get among the action.
That means every day there are oppertunities to be found both long and short.So IF you can get your trading right and it can sensibly become your job and a full time occupation.

Naz

How ?