Today the TF gapped up and moved to a level of 634 – 635 and stayed on for a while before moving up again.
While it stopped at 634-635, a number of signs occur:
– It was at a 20-day high
– T&S showed a series of huge buying
The 2 signs do not support each other – one shows a potentially high-risk, low-return trade, the other shows increasing demand.
In times like this, would you be tempted to just go with one of the signs? In this case, the 2nd one which is the right one eventually?
If u do that, u will be committing a mistake called Continue Reading »
I recently went to a seminar filled with many young, successful people. I won’t mention what sort of seminar it is, as the people who brought me in prefer to keep it in silence.
I saw many young people at the age of 19-25 who are earning a decent income and driving cars. To be honest, I wasn’t really impressed at all.
Instead, I was thinking, is achieving success at a young age really a good thing?
To answer that, I looked at Continue Reading »
People who know me will know that I seldom read books, so when I pick up a book, it has to be a damn good one.
Jesse Livermore is perhaps the most celebrated-greatest trader of all time. I believe that there are some other ‘greatest’ trader as well, but Jesse Livermore is the most well-known one among all. During the crash of ’29, he made a few million within a day. He was called “Boy Plunger” or sometimes “The Great Bear of Wall Street”. You can read more about Livermore here.
Let me tell you more about what you can get out from the book. In the book, Livermore shares his Continue Reading »
This industry group is in rotation:
Other than BA, all 5 aerospace firms(excluding TIE) have been consistently beating earnings. Other than LMT, their charts seems to be agree.
All charts have shorter term MA higher than longer term MA, hence they are already in a confirmed uptrend. This is a sector/industry in rotation – money is flowing in.
Now only 1 thing is left Continue Reading »
After a few months of break away from trading, reading a few more books on trading, I finally got a much better understanding of my principles and methodologies.
In the past I was too focused on simplifying things, to the point where I over-simplified everything.
I overlooked the fact that trading is no dice throw – it isn’t purely gambling. It is professional gambling.
I realized I had made so many mistakes in the past – Continue Reading »
For the past 2 weeks, I’ve lost all my winnings and a good 20% of my account.
I felt like a loser. I don’t know why things start getting wrong when I put real money. When I put paper money, I win 60%. When I put real money, it goes down to 90%.
When I put paper money, I put the trade and go to sleep. When I wake up the next day, I see +180. When I put real money, I put the trade and go watch TV, the next moment, my modem gets d/c, cannot work, my acct goes -220.
I don’t know if this is a matter of emotions? I followed what I did for paper money. Still, shit happens.
I’m really at a lost right now. It feels like Continue Reading »
I’ll just cut the “I-could-have-made-$XXX” bullshit and just say that I took a good position not as well executed.
Here’s the set up:
Think about these points:
1) Do you know how much you’re gonna lose? Or win?
2) How many people are using this indicator and the same setting? If many, what edge does it give you? If a few, how do you know it’ll work?
3) What principles of trading is your indicator based on? Do you even have principles when you trade?
Feel free to post any response to the above questions.
It didn’t dawn upon me when I first started trading, but now, come to think of it, is there ever a confirmation in Trading?
Yes. After the “signal” given by the indicators, we shall wait when the price goes to a certain level before we know that the move is “confirmed”.
In the chart above, on 22nd of Sept, Continue Reading »
Ok, as you can see, I’m not a very big book lover, and I don’t have alot of time to read books, so I make sure whatever book goes into my brain better be really interesting or useful.
In this case, The Best I Could is a very interesting book. It is an autobiography of the top criminal lawyer in Singapore, Subhas Anandan.
In Singapore, there is only a handful of violent crimes committed in its short 40+ year history and Continue Reading »
Check out these books:
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Peak Too Soon Trading Journal 