This is what I don't get.
What causes these quick runs? I don't see any news. Nothing different than this morning. I wonder how you find them before they go or as they start and know that it is a run and not a burp. How do you tell how big a run it will be? Where the stall is and whether it keeps going up or turns and reverses.
I know there are no crystal balls and if we could tell these things everyone would be rich, but c'mon, I just Don't Get It Yet!!!
Yahoo ate up my posts to you, so I will try to remember them and post the info again!_____________________________________________
"How's that for listening and learning."
Excellent. You will now follow your plan (post it on/near your trading computer). Following a plan is much harder than having one.
Not focusing on the big payout will liberate mental energy to focus on learning how to trade well. Once you got that skill, you can pull profits consistently out of the market, so it is well worth any effort to learn how to do that.
Keep a trading diary, use that as a learning tool. For ex, since one reason for your trading MRKL/MEM is that you think that they have little downside and large upside potential, if in reality that does or not turn out to be true, you can then learn why that was true or not true, write the reason for the failed/successful trades, and learn from that. But since you honored your stop losses/booked profits plan, you are still in the game capitalwise, and can profit from any learning mistakes.
Do not use margin for any overnight trades. It is not worth the risk for a beginning trader, and learning how to trade well is all about controlling risk. Margin for daytrades is ok.
Why would you buy EZY? Always have several reasons why you buy a stock (a tip is never one of those reasons, though a tip may lead into your discovering your own reasons why buying that stock fits into your trading plan)
Do you use scans to locate picks? There are many free scans located on the Net. They save time and open up the big universe of stocks for you.
I am hearing (again) the point that you have to be purposeful and patient.
i got back into Mrkl today. I was trying to get in around .76 but it didn't get down there. I bought now and plan on waiting it out.
The plan: I have two major holdings that I feel good about right now for the short term future. MRKL and MEM. diversified in two different sectors and both seem to have large upside potential and small downside risk. Once they hit mental stop loss price I sell them, once they run I re-evaluate whether to sell or hold. If sold I move to EZY_pa with Ava and wait there.
I have to get away from the day to day/hour to hour monitoring trying to find the big payout. It is driving me nuts and probably wouldn't pay any more than waiting.
How's that for listening and learning.
keep in mind that with a daytrading margin account, there is 4x buying power, so with $30,000 there is enough daytrading buying power to buy at least 2000 shares of the usual suspects, qqq, jiggy components of the qqq, stocks moving big, up or down on news.
About focusing on getting back losses, better to focus on trading well, which is, having a plan and sticking to it.
though losing is part of trading, especially for beginning traders, losses will cause psychological trauma, and will impede in learning the skills necessary to consistently pull profits out of the market.
it is capital and skill together that works. It is common that successful people in the world outside of trading, often have a very hard time because in order to succeed in trading requires a mind/skill set that is at odds with being successful in other endeavors.
Having conviction, believing that one's viewpoint is the correct one, etc. often can lead to big problems in trading.
What is your approach to trading? How do you find your candidates? Do you have a money/risk management plan? (How was it that you lost 8,000, what should have you done to have controlled your loses?)
In my experience, volume is an important factor. Usually, when a stock is dead in the water, it has no volume. I am actually surprised that UGHO is up today because it seems like it is running on a if come basis.
I like MRKL a lot better, inspite of it's shady history, because I think they have real product now.
Who knows, we have to keep watching and waiting.
Those are my experiences as well. I have a margin account and was around $20,000 to trade with, not that I could afford to lose it all. But like I said I got hit hard earlier this year when everything took a dive and got knocked down to about 12,000. Now I'm trying to build it back up and trying to be more conservative so that I don't get knocked out of the game.
Even with my account at $20,000 I don't think I could generate enough to grow and live off.
I agree the learning curve is steep and I think that it takes a big time investment to get up to speed to be successful.
I live in a short term world. Things I want done and changes that need made I make happen right away and don't stretch them out for the next ten years. Consequently, this is frustrating to me because it isn't that I want to be rich right now, rather I want to be knowledgeable, successful, experienced and playing the game at a higher level.
Oh well, so much for my lamenting. I will keep plugging along, learning as I go and looking out to the horizon and see how it goes.
Thanks for your thoughts.
now I consider trading my job, my business, and make enough to pay my bills and some (when I want I can always give myself a pay raise by trading bigger lots)
Needless to say, you need capital to begin trading, so you can learn. Most suggest you start out with capital that you do not need to survive with, and trade part time simply to learn how to. Then take it from there. Trading successfuly is possible but hard, and the learning curve is steep.
i started trading when it was suggested to me by my kind better half, that I should churn our capital, make gains, put those gains back, etc., with the expectation that our capital would grow.
I was not a great success nor was I a great failure, however I did not get knock out of the game and I persisted.