Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: TFF who wrote (5275)	11/8/1999 7:54:00 PM
From: Yak-attack	Read Replies (1) \| Respond to of 18137

its also essential if you use real tick III and you want to get out a of a position quick, how else are you going to prefernce and mm etc.., I disagree with your comments on L2, I think it is very essential and anyone that is too cheap is putting themselves at a disadvantage.

To: TFF who wrote (5275)	11/9/1999 12:39:00 PM
From: Cormac	Read Replies (1) \| Respond to of 18137

TFF- I guess I have never looked at Level II as an indicator...if that is how you perceive it and how you attempted to use it, no surprise at your dismay. Briefly I look at Level II as a portion of the inventory (existing in a state of possibility)that supply and demand must work its way through. I agree with other posters that it is a valuable (though not invaluable--valuable beyond estimation)tool, and as with all tools is subordinate to the skill and technique of the craftsman. I don't even look at the "print" as an true indicator...it is just a fact (another valuable tool) There is no panacea that will make all traders successful...there is no system that (in and of itself)will be successful on each and every day. A trader must be able to assimilate facts (the ability to correctly identify the facts can be an art form unto itself), opinions, patterns, history, expectations, past, present and future performance, etc...placing an arbitrary value (unique to that trader) on each factor...to come to a judgement as to the probability of future events/price action and subsequently traders reaction to said events/action...all filtered through strict parameters that the trader has built through experience, education and discipline...then they must put their judgement to the test by placing their trade and watching the future unfold...while never ceasing to refresh and update this assimilation process Is it any wonder that this business is not for the faint of heart. IMHO, a trader through education, repetition, practice, success, failure, discipline and experience can come to a place of fluidity -- where this series of assimilation and judgement become instinct...these are the traders that have an inordinate amount of success and consistency. I liken it to a rock climber who in the beginning looks and examines every hand or toe hold, rehearses every move in his mind beforehand...then as they progress through the learning curve they come to a point when their every movement is not rehearsed but they are in tune with the surface of the rock and can flow over every crevice and nuance with relative ease...it really is a thing of beauty to behold...another interesting fact, two climbers can get to the top of a difficult climb, one in the aforementioned fluid manner and the other in a more measured deliberate pace (although an advanced skill level is still needed) Hey, I have talked too much...sorry The safe and nice thing is that this thread is an exchange of ideas and diverse opinions...let us hope this never changes. Respectfully and still full of opinions, Cormac

To: TFF who wrote (5275)	11/9/1999 4:39:00 PM
From: E. Davies	Read Replies (2) \| Respond to of 18137

I've got a perfect example from today about the power of L2. In BEOS today between roughly 1:00 and 1:40 NITE decided to step in and try to stop the runup by sitting on the ask with 100 shares at 7 31/32 and taking in whatever buying came along. Just before 1:40 you could see that the sellers who were lined up at 8 right behind NITE decided to give up. The lineup behind him was very small. In addition the buyers started piling in at 7 7/8 and 7 15/16. At 1:45 NITE stepped out of the way. Seeing that one single move was a thoroughly obvious buy signal for anyone watching. You would never have known without L2 that a move in the ask from 7 31/32 to 8 was a major shift in the dynamics of the stock. The stock popped straight to 8 5/8 in a couple of minutes. Closed @15 1/2! Eric