No such thing as a dumb question.
Position Trading looks to take a long or short hold on a stock for anywhere from a day to several months. It generally looks to hold for 3+ days, but given that one should set loss limits, they may get filled thesame day as the trade if the stock turns down. In general, though, one looks to take advantage of either a positive or negative swing for as long as that postion is profitable.
Daytrading, in the strictest sense, inters and exits by close and is in cash overnight. however, I don't know of anyone who is a daytrader in that sense. When and overnight hold is justified, based on news, continued strength, etc. then that risk is mitigated somewhat.
I don't know of any decent books on Position Trading, but my definition is basically "Buy on positive reversals, sell/short on negative reversals, don't hold more than a week if it isn't going anywhere." One picks the stocks the same as ny techno-fundamental screen that you are familiar with, and I recommend learning charting/trendlining basics as well as Gap strategies.
Yamner executes through Pershing, which is monstrously large, and handles my Vanguard account as well as several other large IRA/mutual funds. I think the insurance is up to $750 million or so, but it could be less. Its more than I needed to worry about at any rate. They have been around for a long time. their website should say. or you could ask the Head trader, Steve Goldman on his SI thread.
The one thing I would reiterate, is that the December/January timeframe is not very conducive for postion holds due to volatility in the market driven my fund changes, Tax offloads, etc. The last two years ahs not seen the gains in small caps that we historically had, but as soon as the market settles down we should see more position hold situations. I do have 12 posted now - 11 long, 1 short, at the website, and will update them as they change.
lastshadow |
