I totally agree with Sleepless, Teresa and Jerry. Scalping and position trading demand the same skills. But its interesting how in hindesight, "longer term holds" are now the way to go. When a scalper tells you he is leaving a position, he is being honest. When Jerry or Teresa are saying this is looking good or they/she are in a trade they are committed. When someone posts 10 picks and 3 go well even for two days and take the credit for letting 'winners run' they are just cashing in on the luck of the trade.
When someone finds a good trade using the 'dart system' and then takes credit for the gain 1-3 days later they are not 'position traders'.. they are just traders who might have gotten 2 points but are 'taking the credit' for the entire gain. That credit is incidental and DOES NOT belong to the one who happens to mention that trade along with 5 others that did not fare as well.
That is someone who is uncommitted to a trade taking the 'credit' of the trade turning out to be a longer term hold. When Jerry stands behind a trade or Teresa they are being honest.. and if they don't get the whole 'beef' of the trade they are still standing behind a trade and showing that one who commits to a trade and follows through through an entire day of fluctuations is the one worthy of following.
On Market Gems, we don't get the entire trade, we might miss the third or fourth day, we usually suggest a hold based on your own risk management set up. To say someone is 'sweating' out a scalp when he/she is milking a trade through 2-3 days is just popping up after the third day and saying 'see I told you this was a swing trade'...I've been through the entire gamut and only those that are novices are influenced by these proclamations. If the market holds strong, we MIGHT hold another day or get in on the morning of the second day for more gains, but don't be conned by those that 'held winners' through the entire trade AFTER THE FACT and when the stock has appreciated 20% or so. They are just as surprised as anyone else.
In my estimation, although I happen to hold a trade through most of the session, we call a continuation of the trade and track the trade 'ad nauseum' through the entire day. If the stock closes in the 80% percentile AND it is not overbought we suggest that depending on what you want from the trade you might keep a percentage of the trade. We try to committ, as much as possible.. we don't post 80 trades a day and take credit for 10 that might go up. When Teresa or Sharck or or any trader follows a trade, they give you the best set up and 'blueprint' for making the best choice possible. The rest is up to you. If by luck, you happen to hit on a winner for 2-3 days you have had the market internals on your side, there is nothing YOU did to move that stock, except just remain on the sidelines and coming in at the END for the 'encore' bows when the trade happens to go well because the NQ's and SP00Z just happen to be on the up side. |
