Here is an excellent example of complete nonsense:
Let's assume I am looking to do a short-term trade, but I'm not familiar enough with what I do, and I need a stock to play.
Here is one suggestion:
CHKP might be good for a daytrade along with CA.
Message 15895474
Let's assume this means "go long". We get a confirmation that our assumption is correct:
CHKP looking for 50.60 by 9:40
Message 15895545
Now, that sounds like a target price, right?
OK, so I went long at the open at 50.25.
So I am supposed to look for 50.60 as an exit? 45 cents on a fifty dollar stock that is traditionally one of the most volatile stocks on the Nasdaq? That's goofy.
But wait, it looks like that target was not really a target...
CHKP, MUSE, CA nice.. nice.. all the pharmies and e-commerce hitting new HIGHS OF THE DAY!!!!!!!!
Message 15895656
So I guess I should not have sold for a 45 cent gain. Let's assume I didn't; now what? High of the day, what do I do now? Sell here?
What if I didn't buy at the open? Let's assume I didn't, since it's pretty risky on a stock with a high beta. I saw it moving up, so I got in, but I got in just below 51. Now what do I do? What's my risk/reward here? What if this goes against me? Where do I get out? What's my limit on my loss?
Of all the stocks on the Nasdaq, WHY TALK ABOUT THIS ONE? I maybe get fifty cents on a day trade? That's a scalp. I maybe get a buck? I'm reading a lot into this to assume that I went long at the open on a gap up and got out at the high of the day.
Of all the day trading patterns I might be looking for, is a fifty cent play on a gap up at the open at the top of the list?
This kind of commentary from someone who charges money for advice is, in my personal opinion, psychotic. What side am I on? Long or short? Where do I enter? Where do I exit? What is my risk? What possible reason do I have to pay attention to someone who doesn't understand risk/reward and doesn't define it?
The comments look more to me like someone was watching a group of potential trades, then made a generalized comment about a few, then watched what they did, then mentioned a few that did what I wanted them to do. That's not trading. That's horse manure. If I see another comment later that I should have exited right after 10 am, then I'll know I'm listening to a BS artist. |
