Trader's Thread 05 (Jan 20 - Dec 26)

[winston]

Your Mindset Can Make or Break Your Trading Career

by Greg Diamond

Here are three specific steps to creating a successful mindset:-
1. Execute a sound trading strategy
2. Understand that losing is part of the process
3. Keep your emotions in check

Source: DailyWealth.com

https://dailytradealert.com/2023/11/09/ ... ng-career/

[winston]

How Trading Beats Buy-and-Hold

by Jeff Remsburg

The S&P 500 is up 14% this year, but just eight days explain most of the gains.

When prices are falling, we’re more emotional, prone to greater reactivity than proactivity.

We’ll have one basic market-timing rule. We’re invested when the S&P’s price is above the 20-day MA and we sell when the price falls below it.

Source: Investor Place

https://dailytradealert.com/2023/11/12/ ... -and-hold/

[winston]

8 Essential Guidelines for Successful Trading (Part One)

The simple approach is often the best -- and these rules are vital to staying in the game.

by Bruce Kamich

1. Wait
Wait until you find a stock just coming out of a four-month or longer base with increasing volume, rising moving averages, and superior relative strength (stronger than the market averages).

2. Confirm - Does the volume confirm it?

3. Don't Expect Too Much
Generally, look for opportunities to risk one dollar to make three. The three-to-one relationship will help tilt the odds in your favor.

4. Don't Trade Without Stops

Source: The Street

https://realmoney.thestreet.com/investi ... e-16144093

[winston]

8 Essential Guidelines for Successful Trading (Part Two)

Follow the price action -- that is real. Hope is just an illusion in the markets.

by Bruce Kamich

5. Keep It Simple

6. Watch for the Unexpected

7. Don't Follow Too Many Indicators
There are only two things that come from the marketplace - price and volume.

8. Don't Count On Hope To Bail You Out

Source: The Street

https://realmoney.thestreet.com/investi ... o-16144140

[winston]

3 Ways to Measure the Health of the Trading Action

by James "Rev Shark" DePorre

I look at three things to measure the intraday strength of the market;-
1. The number of stocks trading up 10% or more.
2. Number of stocks trading near their intraday highs.
3. Breadth.

Source: The Street

https://pro.thestreet.com/market-commen ... m_content=

[behappyalways]

The failure rate for day trading is extremely high
https://twitter.com/Mayhem4Markets/stat ... 1467603182

[winston]

Most Day Traders Fail. Here’s Why and What to Do About It

Ninety-three percent of day traders quit within five years. What do the 7% that remain do differently?

by James "Rev Shark" DePorre

Three Steps to Be Successful at Very Short-Term Trading
1. Develop a speculative mindset rather than a gambling mindset.
2. Manage capital carefully.
3. Use a variety of time frames.

Source: The Street

https://pro.thestreet.com/trade-ideas/u ... m_content=

[behappyalways]

The 5 Traits That Make A Trader Successful

1. Patience
2. Discipline
3. Adaptability
4. Education
5. Devotion

https://dashboard.verifiedinvesting.com ... successful

[winston]

Even Greats Like Druckenmiller Make Mistakes. So Learn From Them.

by James "Rev Shark" DePorre

Stanley Druckenmiller sold all his technology stocks in January 2000. After this sale, he watched a couple of "gunslingers" continue to rake up huge gains. He couldn’t help himself and had to play. He bought $6 billion of technology stocks in March 2000 and within six weeks, he had lost $3 billion on that single bet.

The big challenge in trading and investing isn’t developing effective strategies, tactics, and methodologies that should produce profits but actually sticking to the rules and taking the necessary actions at the right time.

There are certain things I’ve been working on since the day I started trading 30 years ago that I still have to work on every day. A good example is that every year, I make a resolution to trade bigger and be more aggressive when I feel like I have a good trade. Far too often, I don’t push hard enough when I have an edge, and I end up with small gains in exceptional situations.

My emotion is to not take on too much risk ... but I'm not taking into account how I can control that risk with stops, partial sales, time frame diversification, and other tactics.

You will always have doubts about a trade, and your emotions will push you to do the wrong thing. Develop a game plan in advance and then be cognizant of how you feel as your trade goes through its inevitable ups and downs.

Source: The Street

https://pro.thestreet.com/market-commen ... m_content=

[behappyalways]

Can Roaring Kitty Become The First Retail Trader Billionaire From His GameStop Bet?
https://m.youtube.com/watch?v=hYqWBcGG2QM