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To: Fiscally Conservative who wrote (24640)	7/22/2003 12:03:20 AM
From: chowder	Respond to of 206184

Finallythere, I don't have the time to respond properly to you tonight. I will do so tomorrow. Thanks for your thoughts. I look forward to getting back to you. dabum

To: Fiscally Conservative who wrote (24640)	7/22/2003 11:44:19 AM
From: chowder	Read Replies (6) \| Respond to of 206184

FinallyThere, I have been researching the results of professional traders. I have come across some traders that we don't hear about who have had incredible success. We don't hear about these traders because they don't manage money for the public. They trade for institutions, hedge funds and themselves. These traders aren't out for the notoriety as they don't need it. Their results speak for themselves. There are two traders who trade for William O'Neil's organization of Investor's Business Daily fame, who have had some incredible returns. One of these traders recently had a 3200% profit over an 18 month period. 3200%? I wouldn't have believed it if you told me that but, I've got it right here in front of me. It was verified in an interview by TradingMarkets.com and I've got the book right here in front of me. You aren't going to believe the results of his partner. Try over 70,000% over a 4 1/2 year program. YOU HEARD ME RIGHT! 70,000%! These guys are running lots of institutional money and they admit these sort of returns aren't consistent. Some years they only do 500%, others 100%. There are some who will say those returns were obtained during the bubble years. Yeah, so? What did Warren do? What did you and I do? I didn't come close but, I have learned some ideas from them on how I can improve. I'm getting some terrific ideas on how they accomplished those results and it's giving me an entire new outlook on the market. This month's copy of Stocks & Commodities Magazine came in the mail Saturday. Lo and behold, they had an interview with a trader who outperformed those in the book. The man's name is Dan Zanger and he achieved a 164,000% return in 18 months. He turned $11,000 into $18 million over an 18 month period. It's a record! He doesn't use technical indicators at all. The only thing he uses is chart patterns, price and volume. That's it. Of course, he's not up 164,000% during the most recent 18 months but, he is up 60% over the last six months. Again, tremendous results given the condition of the market during the time these results were being obtained. What hasn't changed is his methods and strategies for investing. That's the beauty of his system. When most people are having a difficult time in a bear market, these guys are getting the results we had in a bull market. In a bull market, they are getting record returns! I have a list of stocks I went back and researched, that met the criteria these guys use in the selection of their stock picks. One stock is up over 700% since January when the buy signal came in. There are 14 other stocks with returns already in excess of 100%. In just six months! And, this is the most recent six months. A successful trading system should work in bull or bear markets. The percentages won't be the same but, being able to outproduce the market and most investors by a considerable amount should be. Everything is relative. I don't expect to get a 1000% rate of return but, I now can conceive raising my results from 30% per year to 60%. I now can conceive not having a negative return in any year. Last year my portfolio was up 39%. This year it is up 28% year-to-date. I can now see how I could have done much better if I had used some of the principles and techniques used by the most successful traders. Those who think small, buy small. Those who think big, buy big. That's why some automobiles cost 13 grand and others 60 grand. I don't think that I'll ever outperform the most successful traders but, I can learn from them. I can try to understand their strategies and tactics and put them to use. A good strategy is one that is consistent and provides profits that are consistent with market conditions. A system that should be strong in a bull market or bear. In a bull market like the bubble years, several thousand percent. In a bear market like the last few years, 30-60% is conceivable and being achieved. dabum