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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: TraderAlan who wrote (3625)	9/6/1999 9:34:00 AM
From: marketbrief.com	Respond to of 18137

hi alan, i thought you were rather gentle there, lol. Gross tape fighting and then doubling, tripling, and quadrupling down is the kind of thing that should be severely discouraged... then again there really isn't a need since folks will blow out right quick if they continue along that path. ~Smart$

To: TraderAlan who wrote (3625)	9/6/1999 9:45:00 AM
From: HairBall	Read Replies (2) \| Respond to of 18137

TraderAlan: I agree. To many have seen A@P do this and "now" think it is "the" way. I suspect many that have followed A@P into some of his short positions (he is often way early) using his methods, but not having large sums of capital to work with, were forced out at a significant loss, by shorting to soon. I suspect many have experienced this fate, but have never publicly posted their outcome. Most likely they were embarrassed and or feared a backlash from the A@P groupies. It is not just enough to believe a stock is going to retrace. The true art is selling short near "a" top. That can be accomplished using a variety of technical indicators. Of course, no trading systems is 100% so a disciplined money management strategy should be employed as well. Regards, LG

To: TraderAlan who wrote (3625)	9/6/1999 11:54:00 AM
From: Tai Jin	Read Replies (1) \| Respond to of 18137

Okay, it's obvious that my technique is anathema to the scalpers and traders here. Of course, I don't like being in a losing position anymore than anyone else. I try to determine a top as best I can. As I said, the alternative to holding is to get out immediately and reenter later if the stock is still going the wrong way. That's probably the preferred method for most traders. I've tried to short stocks on the way down and I can tell you that it's almost impossible to do until it gets near a bottom. Using ARCA in this case is actually the way to go since you can place a sell order below the market and it will try to fill you on any upticks. Anyone who tries to trade like I did should understand the risk. You limit your risk by taking a small initial position. You have to be very confident of your chart reading skills. If you can't take the risk or are not very confident of your position then you should definitely exit immediately. I don't want people to think that my technique is the right or preferred method. ...tai