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Strategies & Market Trends : Momentum Daytrading - Tricks of the Trade -- Ignore unavailable to you. Want to Upgrade?

To: Ken Wolff who wrote (1571)	10/4/1998 11:28:00 PM
From: Roman S.	Read Replies (1) \| Respond to of 2120

I usually use $200 as a limit on losses I'm willing to take, so I just figure how many ticks down I should place it. Ken, I was wondering whether EBSC qualifies as one of those coiled stocks ready to spring after being dumped for no good reason? I'm in Friday and did violate a 'top ten' rule about holding overnight, but felt I could use this as a position trade instead of a day trade as was originally intended, but I couldn't <vbg> get that extra 1/4 I was looking for. I was giving daytrading a try for a week, because I had surgery and got to stay home where I have RTIII, but no level 2. Still, it was a good experience even though I came out even for the week. I'm using 2 computers, both at 56k,2 telephone lines, and 2 ISP's. When I've tried in the past to run it all on one computer, RTIII gets slowed down by about 10-20 seconds, and that just doesn't cut it. Usually have one window for my online broker, one for Yahoo to scan news and % gainers that might be up and coming on the complete list which shows 20 stocks instead of the 10 on RTIII(even though it's 15 min delay), and the RTIII. So I put the RTIII on it's own, and use the other for the Yahoo and broker (NDB). Can't complain much about their service, because when I enter a market order and hit the 'submit' button, I usually see my trade within 5 seconds. I've been lucky getting filled on limit orders below the current bid a couple times, too. Unheard of you say?? Well, it's true. Doesn't happen often, but sometimes does. I appreciate the input from all on this thread, and I've lurked for quite some time. I'm being a sponge to all the techniques out here so that someday when my nest egg gets built up to about 50k, I may go into it full time. While working, I sometimes get a couple daytrades in because of internet access at my desk, but you just can't 'see' all of it without RTIII which doesn't come thru because of the firewall. So the best at work that I can do is shoot darts with the best of my ability, and place those stops while I have to work. Check the quote every 15-30 minutes, and if it shows $200 or above for profit, I usually take it. If I get stopped out, I just wait for the next day. I've also been very sorry when I haven't used those stops. Those $150-200 stops cost me $500-750 in the end when I couldn't watch the action and just was too sure of myself. The market humbles very quickly. Sorry for the long winded post, but it's been awhile since I let it out. Again, would like any thoughts on EBSC. (Started a thread for it, if anyone would like to post their comments there). Thanks in advance and have a good week. Heigh Ho,Heigh Ho, it's off to work I go on Monday.

To: Ken Wolff who wrote (1571)	10/5/1998 9:47:00 PM
From: ozzi	Read Replies (1) \| Respond to of 2120

Ken, Could you please explain to me what I missed or did not see in this particular trade. This morning, I looked over your morning calls and saw good action on a dumper, AZPN. Gapping down approx. 40% in the morning and still showing minor selling till it hit around $7. I know I probably should have bought at the pause and then rode it up for the gain of about 3/4. I hesitated however, because I was expecting another bottom, below 7. Just after 11am EST it reached another bottom at about 6 5/8, or at least I thought it did. There was a substantial pause and wavering of price. I knew this had to be the last bottom. Needless to say, the sucker tanked again right after I purchased it, to seek yet another and its last bottom. I was able to get out with a 3/8 loss. What should I have been looking for, that I neglected? If I kept it and did not follow the cardinal rule referencing "stops", I would have gotten my $'s back, after the eventual end of day buying. First of all I do not have level II, and I also trade at work which also limits my time to watch the stock. I know its not the idea scenario, but its the best I can do for now. When a stock is wavering back and forth at a pause, and there is no clear direction on a dumper. Is this not a sign that buying is about to take place. Remember those without level II cannot see the volume of buyers and sellers. If I did not purchase and just waited for the buying as it did at $7 in the morning, I would have missed the trade. This is why I believe you must go by your gut feeling at the pause in some circumstances. Obviously I was wrong again. Please shed some light on what I am doing incorrectly. Thanks, Gary