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

To: TFF who wrote (1341)	12/2/1997 3:25:00 PM
From: Ira Player	Read Replies (2) \| Respond to of 12617

Day trading doesn't require that you understand the longer term prospects of the company or industry you are investing in. You are looking at the short term volatility to make a profit. Pattern recognition is the primary skill. Position trading requires an understanding of the company and industry you are investing in. If you are going to "take it home", you need to be aware of pending information releases. Many of these are scheduled and can actually be a profitable pass time, if you have taken the time to analyze the company and can anticipate response. Information is seldom released during the trading day to avoid having to halt trading of the stock. Therefore, the day trader is generally insulated from "gap" movements in the stock and can ride swings in relative safety. (Note the term relative. Like mountain climbing with ropes is relatively safer than free climbing, while both entail significant risk.) Holding a position overnight without a clear understanding of any pertinent news is risky to your capital. Most day trade targets are selected for volatility. The additional time that is required to determine if it is a safe overnight hold is probably better spent looking at more potential targets. Enjoy the ride. Ira (As stated before, my day trading is limited. I am migrating to day trading from position trading. Argument welcome and expected)