So You've Been Trading Less than 2 years?

[Ken]

Here's a friendly, non-sarcastic, non-judgemental "safe" haven for all of you who are new to trading ... feel free to ask questions and I and our other traders will pitch in and share "lessons learned" so you don't have to make the same tough mistakes many of us did, back in the 90's in day and swingtrading stocks.

Ask away - what vexes you? What's "puzzling your progress"? Let's hear it.

-ken

[StaticVoid]

Can someone explain the +/-'s of Single Stock Futures vs Options. They seem like the same thing but SSFs have less volume.

[StaticVoid]

Question regarding systems.

I was just reading "Propulsion Plays" in the book Mastering the Trade. This play was to to wait till a 8-day EMA crosses over a 21-day EMA then buy when the stock pullbacks to the 8-day EMA.

How could one accomplish this? Is there anyway to set up these parameters in any trading platform? I use IB so details on this platform would be best but please let me know if this could be done anywhere.

I know one could program this using IB's API but Im wondering if these sort of "systems" are standard anywhere.

Thanks!!!!

[GoldMiner1849]

Hi,
I started trading early 2000 when friends were showing me large profits from the outrageous market movers. I read many TA books and took an online course, but never had a mentor. I didn't have a good strategy and lost 1/3 my life savings. In mid 2001 I gave up.
In Jan 08 I decided to restart my career as a daytrader and to do it "right" this time: develop good strategies; keep tight stops; trade minimal capital; learn as much as I can.
My goal is to retire from my current job and make a living daytrading. I have about a year or so until I'm eligable to retire and I want to be ready to daytrade for a living at that time.
Presently I have about $2K to trade with. I use TD Ameritrade and Medved Quotetracker. Because of limited capital I'm daytrading the QQQQ short term options in quantities of 20-50. Of nearly 20 trades to date I've had two "horrible" trades that I didn't "stop" out on, some "so-so" trades and some good and very good trades. All told, if I didn't have to pay option fees and trading fees I'd be profitable.
I know trading options is risky, but without the funds to trade stocks effectively I'm willing to take that risk. The short term spread is often $0.01 on near-the-money calls so I risk 3-5 cents or $150-$250 on a trade. Again, I think my strategy is sound as I would be profitable if there were no option fees and I eliminate the "horrible" trades.
I think the biggest problem I have is the confidence that I'm doing things correctly. I buy calls using the following strategies: fade gap downs; try to catch 7:00 am and 1030 (PT) bounces; and jump on momentum plays if bounces aren't evident.
I'd like to get some classroom training and, if possible, recommendations on brokers and software that doesn't cost an arm and a leg to use....at least not until I'm being profitable enough to be able to cover those costs.
Any advice on trading strategies, training, software, bokers greatly appreciated.
Pro-to-Be.

[Ken]

Hi - although this isn't individual trading advice, I can share that someone should plan on burning through at least 10-30K just learning how to daytrade, taking several years, before even hoping to become a break-even, much less profitable, trader. 2K you can't do anything on.

ken