four
5,087 posts
msg #124426
- Ignore four
modified |
7/19/2015 8:20:49 PM
K,
PS http://tfl365.com/day-19-how-to-invent-a-trading-system/
" I tend to not let my winners run because I don't know when the running will stop. "
Runners stop when your system says the running has stopped. Just like your system says the running is still going.
Simplified system: Car moves when gas is in the tank (running)... Car stops when the gas tank is empty (trade ends).
I can be in the driveway (0 miles) or up to 400 miles away. It All Depends.
|
karennma
8,057 posts
msg #124427
- Ignore karennma |
7/19/2015 8:47:33 PM
four
2,272 posts
msg #124422
- Ignore four
modified 7/19/2015 7:45:21 PM
K,
When would you have said enough and (draw down = __________% over the 2 year time frame) taken a loss?
=====================================================================================
Re: NFLX
Honestly? NFLX was a hypothetical. And, for me personally an unrealistic one. Back in Oct '14 didn't NFLX drop from $675 to $375 -- or something like that? JP claims he remained long in his retirement account.
Not me!!! THAT alone would've scared me out of it. And I prolly would NOT have gotten back in it for a long time.
That's the other reason why I "scalp" or prefer staying in cash -- FEAR.
My first rule of trading is "KNOW THYSELF".
I know I'm afraid, and I know my first trading priority is capital preservation.
For me, trading is not about making money, it's about not losing money.
I also know I don't "chart" well enuf to know when a market has run it's course.
Other people (here & elsewhere) have a much better handle on that than I.
So, I rely on OPCs (other people's charts) and read OP's opinions .
I know what I know and I know what I don't know.
If I get confused, I don't trade, and stay in cash.
For me, cash is a position.
Funny, JP thinks what I do is "risky". IMHO, I'm very conservative.
|
four
5,087 posts
msg #124428
- Ignore four |
7/19/2015 9:00:42 PM
"That's the other reason why I "scalp" or prefer staying in cash -- FEAR."
--
I notice the goal is not to make a profit but instead to reduce fear. I wonder: Why do you trade, if not to make a profit? Boredom, Excitement, Stress, Enjoyment, Distraction...
|
karennma
8,057 posts
msg #124429
- Ignore karennma |
7/19/2015 9:08:44 PM
novacane32000
238 posts
msg #124423
- Ignore novacane32000
modified 7/19/2015 8:03:17 PM
Karen I kinda see what ur saying.
Looking back through my trade log (Exactly 5 years) I have 989 trades.
45% of my net profit came from trading CRD.B on just 33 trades.
47% of my net profit came from trading RMTI on 115 trades
=======================================
Exactly!
IMHO, KNOW what you're trading.
I don't know how some traders just pick different symbols everyday and then pick a whole new batch the following week.
I can't do that.
I follow a few that move and trade 'em over and over.
I've posted many of them here .... AAPL, SWKS, AMBA, SKX, CYBR, LCI ...
Sadly, I made $$ on CYBR & LCI, then lost it all because I deviated from my discipline.
Every time I start following more than 3 stocks -- I lose.
|
karennma
8,057 posts
msg #124430
- Ignore karennma |
7/19/2015 9:31:25 PM
BTW, post-split, I'm very interested in NFLX now ...
(See chart)
http://finance.yahoo.com/news/5-charts-netflix-shareholders-see-140726244.html
|
four
5,087 posts
msg #124431
- Ignore four
modified |
7/19/2015 9:41:22 PM
Thanks.
As Ed Seykota says: Thanks for sharing your process.
|
karennma
8,057 posts
msg #124432
- Ignore karennma |
7/19/2015 10:10:09 PM
My pleasure ... of course!
LOL!
|
karennma
8,057 posts
msg #124434
- Ignore karennma |
7/20/2015 7:41:39 AM
Pre-market is a great time to trade.
AMBA up $1.00 in pre-market.
I should just buy this & "let my profits run", eh?
I'll put in a stop and see how it goes.
|
karennma
8,057 posts
msg #124435
- Ignore karennma |
7/20/2015 7:45:49 AM
AMBA - $112.50
Too bad I didn't keep the shares I had @ $108.
|
karennma
8,057 posts
msg #124437
- Ignore karennma |
7/20/2015 8:01:21 AM
I'm glad we had this dialogue.
Made me realize, for the amount of money I want to make, my positions are too small.
But trading 1000 shrs per trade instead of 200-500?
THAT IS risky ...
If I'm gonna do 200-500 shrs per trade, I'll have to do more than one trade 1X per day.
Sigh ....
So much work!
:>(
|