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

To: wildandwonderful who wrote (15194)	2/7/2002 10:23:22 PM
From: exdaytrader76	Read Replies (1) \| Respond to of 18137

Hi, you are in Finland, right? I would say save your money. Internet learning or week-long seminars will not teach you how to make money. Find someone making money and be around them. However, it's hard to say that no one ever made money from what they learned on a pay web site. There is lots of great information for free though, like www.daytradingstocks.com and the DTF thread summary. www.hardrightedge.com has a free article that helped me a lot. For the couple grand that you could easily drop on education, you could trade small share sizes with a cents/share broker for a while and depending upon your discipline see how slowly you can lose money while learning. Some people learn from some chat rooms. Threei has one at www.realitytrader.com that I have heard good things about. As for Pristine, we had their educational chat room for a while. It was hard to tell if they made much money - some people say they fudge on their success record. If you do ever trade with a Pristine chat room, buy the stock when the moderator says he is looking to buy it, not after he rings the little bell to buy it because the price shoots up right away very briefly. I can't say it is definitely because of all the Pristine minions hitting the button or if Pristine is just trading common setups or what. Pristine really seemed to encourage chasing the entry. Maybe they make money; I don't know. Most of their gig was moving averages and buy after 3 bars down sell after 3 up. Oliver Velez seems to have made a career out of The Amazing Moving Average. Maybe I'm just jaded.

To: wildandwonderful who wrote (15194)	2/8/2002 9:11:33 AM
From: hypostomus	Read Replies (4) \| Respond to of 18137

If you want to learn about ants, you watch ants, not take a course or read a book. Subscribe to a cheap realtime service that will chart down to one minute intervals, preferably including the ability to chart the "nominal price" (the average of the bid and the ask). If it can chart tick data and provide time and sales, so much the better. Pick a high volume stock and watch it every day, every minute, for several days. Get a feel for randomness, persistence, time durations, periodicity, predictability. If you have a mathematical bent, characterize price and volume behavior in every way you can think of. Overlay price with short term simple moving averages (5, 10, 15, 20 periods) and observe the interactions with each other and price. Draw trend lines and observe confirmations and violations. Draw Fibonacci levels and observe how price behaves there. Observe the action around round numbers. Form your OWN theory of the market and what works. Note how trends start (a v- or tweezers-bottom, a second higher bar, price crosses the 5ma, a third higher bar, the 5 ma turns up, price crosses the 15ma, etc. Pick some point in this sequence of events as your "system." Codify that into simple trading rules. Then just dive in and trade those rules small at a cheap reliable broker like IB. You can read all the books and take all the courses you want, but it doesn't really sink in until you DO it. The best lessons are the ones you learned the hard way, with money on the line.