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To: marvin litman who wrote (18076)	12/25/1998 7:07:00 PM
From: al	Read Replies (1) \| Respond to of 53068

something i found on the net ..... always good to refresh the rules of the game Ten Points For Beginning Technical Traders This is part of a larger Technical Analysis site provided by Equity Analytics, Ltd. Technical indicators can be quite confusing to the trader who is not used to using them. The first thing I always recommend to anyone is to read as much as you can. Below are some books that I recommend to people. Second, you have to be comfortable with the indicators you choose to use. Start out with the basic indicators like moving averages, RSI, and stochastics. When you get comfortable with those, move on and try to learn how some other indicators work. By the way, I find that the basic indicators which have been around for years seem to work the best. These are moving averages and RSI. There are literally hundreds of indicators around. Most of them aren't worth 2 cents. Technicians spend hours writing new formulas for indicators which may or may not give good results. We are always looking for an indicator which will provide us with better predictive results. And there are quite a few people out there making a lot of money selling these indicators and systems. Third, paper trade with the indicators you're using first with daily data. Make sure that you try to simulate real trading as closely as possible. To do this, evaluate your selections in the evening using end of day data. Pick the securities you want to trade and pick the prices you want to either go long or short. Pick the exact prices at which you will enter the trade. Set stop loss levels at that time and stick with them. If the trade moves in your direction and becomes profitable, move your stops up (trailing stops) and stick with them. Hold the stocks until you do get stopped out. Keep accurate records. Records are crucial. This process may take a couple of months. But it will be well worth the effort. Done right, you will get a good feel for the indicators and systems you're using; and you will see how well your indicators and systems are working. Fourth, don't even think about day trading until you can trade end of day profitably. Day trading is the hardest type of trading there is. It's incredibly difficult and nerve racking. And if you're making money trading end of day, why bother day trading. Profitable traders are far outnumbered by losing traders. Fifth, experiment with different indicators and their inputs. You may come up with something that works for you. And that's the key to any indicator. The indicator can be the best in the world, but if it doesn't work for you, it's no good. Find one or two that work for you and stick with them. Sixth, if you're working with systems, don't over-optimize the system. No system is going to work 100% of the time. If you can get a system to work in real time somewhere between 60% to 70% of the time, and you cut your losses early, you will make money. I have a friend who has a system which produces winners just 40% of the time. Out of ten trades, he has six losers. But he is able to cut his losses early. At the end of each year he's turned a nice little profit. I can turn any system into what looks like a winner by backtesting it and fitting it to the markets it's analyzing. However, it will never work in real time. After you optimize a system, test it on paper first and see if it is working in real time. Then trade it. Seventh, if you don't feel like trading, don't trade. The worst thing a trader can do is trade when he doesn't feel like it. The next worst thing a trader can do is make a trade which he isn't sure is going to be a winner. A trader has to be confident that every trade he makes is going to be a winner. They're not all going to be winners. But you have to have confidence in your judgment. Eighth, read all you can. There is an extensive bibliography in this web site. Take advantage of it. Start with some of the easier books and then move on to the journals which deal with some advanced theory on investing. Reading is one of the more important things a trader can do. The more you read and absorb, the better able you are to evaluate different strategies and tactics. Further, the more you read, the better able you will be to evaluate the more basic strategies. Keep pressing to learn more and more. The more you learn the more you will realize there is to learn. There's much more to trading than picking a couple of indicators and trading. Ninth, you should have a working knowledge of fundamental analysis. Despite the fact that you might be a technician by choice, a trader should have a good feel for the financial dynamics of an organization and be able to read balance sheets, income statements, statements of changes in financial position, and so forth. And he should be able to understand the formulas which indicate the financial shape of a corporation (i.e. quick ratio, accounts receivable turnover, price/earnings, etc.). Tenth, beginning traders have a tendency to listen to an analyst on television with charts and graphs, and fancy indicators on them, give his opinion on a security or an index, and then trade based on their analysis. I never trade based on someone else's analysis. They may be of a different opinion than you. Who's right. Only time will tell. However, if your analysis of the same security or index is sound, your opinion is just as valid as their opinion. Invest Your Time Before You Invest Your Money Test Your Strategy Before You Risk Your Money

To: marvin litman who wrote (18076)	12/26/1998 1:11:00 PM
From: Susan Saline	Respond to of 53068

NAVR chat Marvin, I liken this trading chart to those others such as ONSL EBAY INSP and other runners. Yet this one is still early ... and I really have no target for the price .... only traders and investors can ultimately define the value. The company itself .... Business Summary NAVR is engaged in the distribution of prerecorded music and personal computer software in the U.S. NAVR's products include compact discs, cassettes, personal computer software and interactive CD-ROM software. For the six months ended 9/98, sales rose 22% to $108.1 million.Net loss applicable to Common totalled $2 million, up from $541 thousand. Revenues reflect the addition of new customers. Net loss reflects higher S/G/A expenses associated with the Co's Net Radio subsidiary. ......... as I have frequently posted in the past .... I believe puters to be the wave of the futeure, and the future is still very early. I do not know which SYMbols will be the winners and which the losers, but post on the ones I feel have a good chance. This company has the "interest" of investors .... we, the people. Analysts have just recently, and somewhat reluctantly, joined in the adding of "net" stocks to their portfolios .... odd that we, the "little" people, actually 1-upped the fundies. Sue