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Strategies & Market Trends : Trading For A Living -- Ignore unavailable to you. Want to Upgrade?

To: Dave who wrote (1085)	8/5/1998 6:11:00 PM
From: Len	Read Replies (1) \| Respond to of 1729

30 books?? WOW!!.. You may be overloading yourself with that many. Just my opinion though. Also, regarding commissions, these franchises pay about $7.00 per trade, and they are allowed to price them to traders at whatever they choose. So, depending on overhead (rent, utilities, hardware, etc), one franchisee may decide to undercut the competition significantly to ramp up quickly with clients. You would hope that they have run the numbers and found that they can stay afloat (and hopefully make some profit) at that level of commissions. I would just hope that they aren't reeling everyone in, only later to suddenly cite rising costs and raise the fees to $20 per trade or similar.

To: Dave who wrote (1085)	8/5/1998 6:53:00 PM
From: Allan C.	Read Replies (1) \| Respond to of 1729

I have a question about active daytrading in an IRA. As you saw from my previous post, JPR does not allow you to trade through your net worth more than once a day. (if I am understanding them properly) Is this correct? I have seen it many times by many brokers, but I still can't quite believe it. It would seem to me that a soon as you sell a position, your buying power should be released to you immediately. Even with the 3-day settlement rule, your "buy" should be ahead of your previous "sell". As long a you never own more money in stock than you have in your account, how can they prevent you from trading? This puts an IRA a a great disadvantage because if you put all of your money into a few position and they move against you early, (and you sell) you are stuck doing nothing for the rest of the day. And for those who say an IRA shouldn't be traded in, why not? It makes more sense to me to do your active trading in a tax sheltered environment and keep your "safe" long term investments in a regular margin account, which can grow tax free anyway -if you don't sell- It's the best of both worlds! Somebody tell me I'm wrong!!!

To: Dave who wrote (1085)	8/5/1998 6:56:00 PM
From: TraderAlan	Respond to of 1729

Dave, 120 round trips/month would definitely fry my brain. There is a Frequency/Profit curve in every discretionary system, i.e. an undertrading zone and an overtrading zone. Mechanical systems have less of a problem with this as the curve fitting done testing it "should" knock out bad trade selection. In discretionary ones, every time the trader contemplates an entry, he has to determine where in the range of: marginal opportunity<---------average----------->great opportunity the entry sits. The more you trade, the more average and below average opps are executed. Great if the system can find all the real dandies but odds are a good number of stinkers will be mixed in. I come from a 1-3 day position and 1-4 hour day trading background. Then I moved to 5-10 minute scalps, using low tech. Adding a EDT execution system now will force me to trade more than sitting back and watching Signal, partly to pay the additional transaction costs and partly due to the additional strategies it allows. But for me I still expect no more than 10-15 rounds per week. Considering all the EDT firms/books teach similar scalping techniques, I think the best money will come figuring out how to take my profit from all the folks trading that way. Alan