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 : The Final Frontier - Online Remote Trading -- Ignore unavailable to you. Want to Upgrade?

To: ojai who wrote (784)	11/3/1997 7:31:00 PM
From: GeneM	Read Replies (2) \| Respond to of 12617

Tim: Datek, believe it or not, is one of the better ones. I kind of shy away from them because they don't do OTC-BB stuff, and sometimes I like to play with the pennies. Let me try to give you a little more insight into some of the things that I do, maybe you might see something that titillates you: I like the action (in a gambling sort of way); and, rather than go to a casino or the race track, I chose the market. The reason I chose the market is because, unlike a casino or the race track, you don't just throw away losing tickets or bets (you can't get totally wiped out). The only time you lose (if you do) is when you sell. If you don't sell, you really don't lose; but, when you win, the upside is tremendous, and is only limited by you. For example: for the most part I day trade. When I do day trade, I begin by defining parameters. If I chose a stk. that I like at $10, I will buy 1,000 shs. at that price. For my $10,000 bet, I am willing to take a 2% risk [$200.00]; so, I place a protective stop at $9.80 (if I really like the stk. I might increase my risk some). If the stk. goes to 11, I will sell half my position [500 shs.] and recoup 5500 of my 10k, leaving me with 4500 in play [or, 500 shs. at a cost of 9]. At that point, I am no longer a day player, as I now want to capture as much of the run-up as I possibly can. I am now, in essence, a position player. Here's where I go back to my 3 MA's; and, when the 5 penetrates the 10, and both go below the 50, I am looking to pull the plug. More than likely I will have gone below the top at this point, but I will have milked the play. You always have to let your winners run some, but only on stks. that show good fundamentals and TA; if those are lacking, then the stk. will be just a pure day play. Hope this helps some. GeneM