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*Originally posted by Ohioguy: *
If you have tight stops so that you do not lose money if you are wrong, then your let your winners ride and net a good return.
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You get the stops from the stoch as well...right? As soon as it hits 80 or maybe comes back to 79? Or is there some other trick?
Lemme run a few trail runs on computer with the STOs ;-)
All in all.....its pretty interesting. Thanks for the info.
Who me,
See on my example charts little green dots below the price? This is called Parabolic Stop and Reverse. It is a device which trails a price move, and when the stock reverses direction the little green dots switch from below the price to above, or vice versa. (The indicator is abreviated-- SAR)
That is what I use to set stops. I will annotate a chart for you.
Give Alcan (AL) a shot. Has gone up since the 80s. Diamler Chrysler has been killing me (DCX). I'd also recommend Nissan Motor (NSANY). They are about to release several products which have quite a demand and are bound to perform well.
hskhan I think you are thinking too long term. These guys are looking at returns on hourly deals.
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*Originally posted by hmcq: *
hskhan I think you are thinking too long term. These guys are looking at returns on hourly deals.
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I bought Alcan yesterday (Family invests in them in the real world), to my surprise they merged with Pichiney. Bling Bling :D. Long term is the safest way to go.
[QUOTE]
*Originally posted by Ohioguy: *
Who me,
See on my example charts little green dots below the price? This is called Parabolic Stop and Reverse. It is a device which trails a price move, and when the stock reverses direction the little green dots switch from below the price to above, or vice versa. (The indicator is abreviated-- SAR)
That is what I use to set stops. I will annotate a chart for you.
[/QUOTE]
Few more newbie questions.
Does it work equally well in short (2-3 months) and Medium terms as well?
What indicators can be used to protect your investments against massive falls in a stock (other than following the company closely)?
Is there an indicator for this-stock-has-been-over-sold-for-too-long and I should invest my money elseware? Stoch with RSI? StochRSI seems to be a better indcator for reletively shorter term trading.
Can you recommend some books/material on few of these indicators....espacially the actual calculations (I can figure out Stochastics I guess).
Who me, good questions.
Theoretically indicators work equally well regardless of the period. The period can be a minute, an hour, a day, a week or a month, and the effect should be the same.
As far as an indicator that can tell you when something is too oversold, well, that is sort of the holy grail of technical issues. What I use, and it is on my charts, is the ROC indicator, or Rate Of Change. This is simply a measure of the speed and intensity of the drop or rise. It DOES NOT mean that the price cannot continue to drop, simply that the most intense drop has already happened. If you look on my charts , the ROC usually bottoms before the other indicators do. Once again, guessing the exact bottom is nearly impossible, what you want to get is the middle 70% of each move. That eliminates a lot of the risk.
As far as catastopic drops, this is perhaps my biggest pet peave. I stopped trading individual stocks for that reason. I trade qqq's which is a basket of the 100 biggest Nasdaq stocks. Sometimes I will trade the SMH's which is a basket of semiconductor stocks that is a little more volitle.
By the way, Alcan took a big jump the other day, the chart looks quite good for intermediate term investors.
I think the web site i use, stockcharts.com has an explaination of the indicators, it may have the formulas too, I will check. Don't get too crazy with indicators, pick one or two that are reliable, and back test them to see how they work. The rest of trading is money management and "feel".
Amazon has a pretty good supply of trading books, my favorite is by Martin Pring, but i do not know the name of the book. Larry McMillan is also very good, with a focus on option trading.
2nd! BTW the ladder only updates when a user logs in. No?
My favs : NSANY, AL, NT, & NTL
P.S. Oxigene Inc sucks.
where is the link to get game? how do I join??
Changez, PM who--me, it is his creation.
hskhan:
P.S. Oxigene Inc sucks.
There are no stocks, only trading vehicles......
When's the new league start?
Sorry guys. Got a bit busy at work.
I'll add shorts and longs in a couple of weeks. If everyone agrees I can initialize the database so we can start again from fresh, with current features.
Six months sound ok? or should we start with 3 months?
Made 290 on Nissan. Got greedy, didnt sell, woke up and now - just 11.96.
Alcan keeps making me proud made 281. Should I sell?
wow! i actually read many of the posts, and still
2 complicated for me…
but u all seem to be having fun and learning! gr8 :k:
zidee its really not that complicated... you should try it out.
how? and what do i have to do?
don’t laugh…but is it anything like the popular game ‘monopoly’? if so, then i’m surely going to lose ALL of my money!
believe me i’ve wanted to get into stocks and things, but no time and honestly, absolutely no understanding…its all gibberish to me! 
Its simple....
Option 1) Give me all your money :D
Option 2) Give it to some broker
Option 3) Put it in the bank and see it loose value over time
Option 4) Learn a little bit about the way the financial markets work and understand what you are looking to do
Remember the job you do almost always is driven at a certain level because of the need for money and without it you would have a lot of opportunities closed to you.
I hate this! Stupid Nissan killed me! Should of sold!
hskhan, get rid of Alcan as well, it is in for a downgrade.