Read this email.. A story acutally..
Very interesting.. It's not to make fun or ridicule. It's more to be cautious and ask yourself "why use TA?"
Author not written for privacy reasons:
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I haven't been trading long; about a year and a half to be exact. I can say
that it has been a bumpy road. I came out of the gates flying, thinking I was going
to make my million quick and retire. I was too naive. I found this turkey on the
internet, Mark Schultz. He had a newsletter that I asked for a free trial on. As it
turned out the guy is a profesional con-artist, and I lost 50% on my first investment.
I thought that I could trust him, and I got burned. That was learning expierience
one. Number two came a short time later. I was looking around on SI, and I came
across a thread where the people were sure that they had a stock that was going to
double in the next three months. They were all getting each other cranked up. I
thought that I had found the diamond in the rough, and I put the 50% I had left over
from mistake #1 into mistake #2. I promptly lost another 50%, and became thouroughly
discouraged. Fortunately I had only started with a small amount of money so the loss
was not devastating. It dod however caused me to sit back and think about what I was
doing. We were in the midst of the biggest bull market in the history of the Stock
Market, and I was losing 75% on my investments. It was time to make a change. I
picked up Sam Weinstein's book "Profiting in Bull and....", as well as Martin Pring's
book. I read them both, and quickly decided TA was the way to go.
I have been trying to read as much as possible about it, and plan to read the
last book on your list, I can't remember the name now. Anyway. I was looking around
for TA stuff, and came across your page. I like what you've been doing, and those
charts fascinate me. Prior to finding your page, I had invested in PACC, a stock that
you also watch.
I have pin pointed my investment problems. I like to use FA to find good
stocks, and TA to find entry and exit points. I am fine with the FA. I find the good
stocks, and I find good points to buy, but I don't have the means to follow them
properly. I mean find good exit points. For instance I invested in IMRS, a Y2K
compliance co, made a quick profit, and seemed to be on the right track. I figured
that the stock would continue to rise for at least a year. Recently, I have seen my
once 45% profit shrink to just 15%. Thsi is my problem.
I think, that I may be able to better watch these stocks if I have something
like Metastock. I'm sure that when IMRS peaked after it split, your sell indicators
would have been screaming sell. I had no way of knowing. Thus I removed my
sell-stop, in the hopes that the stock would recover. I was being emotional. Bad
move.
I have had some winning picks, and overall, I am well ahead. It has been nice
to follow the PACC chart on your thread, and know pretty much what to expect. I want
to have that capability for all the stocks. I think Metastock will give it to me. But
I have to learn how to use the tool so to speak. That's where you come in. You are
obviously a talented TA man, and I desperately need somebody like you to show me the
ropes. I'm not asking you to hand feed me your picks. I don't want that at all. I
want to learn how to do this for life. I'm young, and I have plenty of time to make
plenty of money. |
