Richard Weissman introduces the reader with a process-driven approach to trading. In addition to the development of mechanical trading systems, the significance of trader psychology is discussed throughout the book. Mr. Weissman calls it the framework of “reprogramming the trader.” He provides a clear understanding behind the conceptual development of mechanical trading systems as well as demonstrates possible mistakes by system developers and ways to avoid them. His main lesson for the reader is that flexibility enables traders to succeed in all kinds of trading environments. Download your copy now..
MECHANICAL TRADING SYSTEM
Friday, November 25, 2011
COMMON MISTAKES IN TRADING
$$$ COMMON MISTAKES IN TRADING !!!
- Trading for excitement & thrill and trading with a high ego.
- Trading with money that can't afford to loose & being too emotional about money.
- No trading plan and lack of record keeping.
- Not cutting losses and not letting profits run.
- Letting small losses turn into large losses.
- Not sticking to plans & changing strategies.
- Bottom fishing/catching falling knives.
- Fighting the trend - shorting bulls and buying bears.
Thursday, November 24, 2011
GOLDEN RULES FOR TRADING
GOLDEN RULES FOR TRADING
- Divide your capital into few equal parts (preferably 10), never risk more than one part of your capital on any one trade.
- Trade only in active & high volume stocks/ futures.
- Always use stop-losses and never over-trade and stick to your risk management rules.
- Never let profit turn into a loss. Use trailing stops to protect and lock your profits.
- Never get into the market because you are anxious from waiting, and never get out of the market just because you have lost your patience.
- Do not guess where the top and bottom of the market is, but let the market signal its top and bottom.
- Never average a loosing trade, also avoid taking small profits and big losses.
- Only trade with genuine risk capital, and be aware of the risk of losing.
- Always trade within your capabilities, financial and otherwise.
- Never let greed or fear take control over your winning positions.
- Avoid Tips & Rumors. This are spread by people with vested interests.
GOOD LUCK ALL...........
Wednesday, November 23, 2011
TYPES OF TRADING
TYPES OF TRADING
There are several types of trading styles that persons seeking to profit from short term trades in the market may wish to use. Here is a brief description of the most widely used short term trading styles.
- Day Trading
Day traders buy and sell stocks throughout the day in the hope that the price of the stocks will fluctuate in value during the day, allowing them to earn quick profits. A day trader will hold a stock anywhere from a few seconds to a few hours, but will always square off all of those stocks before the close of each day. The day trader does not own any positions at the close of any day therefore immune to overnight risks. The objective of day trading is to quickly get in and out of any particular stock for a profit on an intra-day basis.
Day trading can be further subdivided into a number of styles, including:
Scalpers: This style of day trading involves the rapid and repeated buying and selling of a large volume of stocks within seconds or minutes. The objective is to earn a small per share profit on each transaction while minimizing the risk.
Momentum Traders: This style of day trading involves identifying and trading stocks that are in a moving pattern during the day, in an attempt to buy such stocks at bottoms and sell at tops.
- Swing Traders
The principal difference between day trading and swing trading is that swing traders will normally have a slightly longer time horizon than day traders for holding a position in a stock. As is the case with day traders, swing traders also attempt to predict the short term fluctuation in a stock's price. However, swing traders are willing to hold stocks for more than one day, if necessary, to give the stock price some time to move or to capture additional momentum in the stock's price. Swing traders will generally hold on to their stock positions anywhere from a few hours to several days.
Swing trading has the capability of providing higher returns than day trading. However, unlike day traders who liquidate their positions at the end of each day, swing traders assume overnight risk. There are some significant risks in carrying positions overnight. For example news events and earnings warnings announced after the closing bell can result in large, unexpected and possibly adverse changes to a stock's price.
- Position Trading
Position trading is similar to swing trading, but with a longer time horizon. Position traders hold stocks for a time period anywhere from one day to several weeks or months. These traders seek to identify stocks where the technical trends suggest a possible large movement in price is likely to occur, but which may not be fully played out for several weeks or months.
Wednesday, November 2, 2011
Wednesday Trading Tips: Bearish May Continue if below 2920
السلام عليكم
Hi traders,
CPO ended lower on Tuesday at 2923lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for uptrend. Upside tone may develops if open >2950 and close >2980. CPO may downside bias if open <2930 and close <2910. I'm expecting CPO may play 2900-2950 today. Please take your position nicely...
CPO ended lower on Tuesday at 2923lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for uptrend. Upside tone may develops if open >2950 and close >2980. CPO may downside bias if open <2930 and close <2910. I'm expecting CPO may play 2900-2950 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. SHORT at high level if open below 2920
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Monday, October 31, 2011
Tuesday Trading Tip: Bullish Tone if Above 2950
السلام عليكم
Hi traders,
CPO ended lower on Monday at 2938lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for uptrend. Upside tone may develops if open >2950 and close >2980. CPO may downside bias if open <2938 and close <2920. I'm expecting CPO may play 2900-2950 today. Please take your position nicely...
CPO ended lower on Monday at 2938lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for uptrend. Upside tone may develops if open >2950 and close >2980. CPO may downside bias if open <2938 and close <2920. I'm expecting CPO may play 2900-2950 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: MIX
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. LONG at lower level if below 2880 and overnight
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Monday, August 15, 2011
Monday Trading Tip: Bullish Tone Continue Expected
السلام عليكم
Hi traders,
CPO ended higher on Friday at 3015lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for correction. Upside tone may develops if open >3020 and close >3050. CPO may downside bias if open <3005 and close <2990. I'm expecting CPO may play 3050-3000 today. Please take your position nicely...
CPO ended higher on Friday at 3015lvl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Otherwise it may continue for correction. Upside tone may develops if open >3020 and close >3050. CPO may downside bias if open <3005 and close <2990. I'm expecting CPO may play 3050-3000 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. LONG at lower level
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Friday, August 12, 2011
Friday Trading Tip: Bullish Tone Expected, May have correction
السلام عليكم
Hi traders,
CPO ended higher on Thursday at 2993vl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Upside tone may develops if open >2980 and close >3000. CPO may downside bias if open <2950 and close <2920. I'm expecting CPO may play 2970-3020 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. LONG at lower level
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Thursday, August 11, 2011
السلام عليكم
Hi traders,
CPO ended lower on Wednesday at 2937vl with low volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Upside tone may develops if open >3950 and close >2970. CPO may downside bias if open <2940 and close <2920. I'm expecting CPO may play 2910-2970 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. SHORT at higher level
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Wednesday, August 10, 2011
Wednesday Trading Tips: Bears. But rebound may dominan
السلام عليكم
Hi traders,
CPO ended lower on Tuesday at 2920vl with high volume traded. Likely bears may tests 2850-2900 if CPO can sustain below 2950lvl. Upside tone may develops if open >3930 and close >2950. CPO may downside bias if open <2920 and close <2900. I'm expecting CPO may play 2910-2960 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
CORRECTION/RETRACEMENT: Yes
GOLDEN TIP:
1. If CPO open gap down - LONG at 2900 area
2. If CPO open gap up - LONG at 2920 area
Note: Don't believe me, please believe your self. This setup was from my perspective only.
Tuesday, August 9, 2011
Tuesday Trading Tip: Bears.......Nightmare for the Bulls
السلام عليكم
Hi traders,
CPO ended lower on Monday at 2994vl with high volume traded. Likely bears may tests 2900 if CPO can sustain below 3000lvl. Upside tone may develops if open >3024 and close >3035. CPO may downside bias if open <3005 and close <2090. I'm expecting CPO may play 2970-3020 today. Please take your position nicely...
MAJOR TREND: DOWNTREND
SENTIMENT: BEARS
If CPO open gap down - SHORT at 2995-3000 area
Monday, August 8, 2011
Monday Trading Tip: Bearish Expected, If below 3050
السلام عليكم
Hi traders,
CPO ended lower on Friday at 3051lvl with high volume traded. Likely bears may tests 3000 if CPO can sustain below 3050lvl. SHORT at higher point........
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Monday, July 25, 2011
Monaday Trading Tip
السلام عليكم
Hi traders,
CPO ended higher on Friday at 3140lvl with high volume traded. Likely bulls may tests 3150 if CPO can sustain above 3120lvl. Upside tone may develops if open >3140 and close >3150. CPO may downside bias if open <3130 and close <3110. I'm expecting CPO may play 3125-3175 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Publish Post
Publish Post
Wednesday, July 20, 2011
Wednesday Trading Tips: Bulls vs Bears
السلام عليكم
Hi traders,
CPO ended higher on Tuesday at 3107lvl with high volume traded. Likely bulls may tests 3150 if CPO can sustain above 3100lvl. Upside tone may develops if open >3105 and close >3120. CPO may downside bias if open <3095 and close <3070. I'm expecting CPO may play 3085-31340 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Tuesday, July 19, 2011
Tuesday Trading Tip: Bears.......
السلام عليكم
Hi traders,
CPO ended lower on Monday at 3078lvl with high volume traded. Likely bears may tests 3000 if CPO can sustain below 3100lvl. Upside tone may develops if open >3120 and close >3140. CPO may downside bias if open <3090 and close <3070. I'm expecting CPO may play 3050-3103 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Monday, July 18, 2011
Monday Trading Tip: Bearish Expected, If Open Gap Down
السلام عليكم
Hi traders,
CPO ended lower on Friday at 3116lvl with high volume traded. Likely bears may tests 3000 if CPO can sustain below 3100lvl. Upside tone may develops if open >3132 and close >3145. CPO may downside bias if open <3120 and close <3110. I'm expecting CPO may play 3090-3140 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Wednesday, July 13, 2011
Wednesday Trading Tips: Bearish May Continue if below 3050
السلام عليكم
Hi traders,
CPO ended lower on Tuesday at 3034lvl with high volume traded. Likely bears may tests 3000. Upside tone may develops if open >3055 and close >3070. CPO may downside bias if open <3040 and close <3030. I'm expecting CPO may play 3010-3060 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Thursday, July 7, 2011
Thursday Trading Tip: Expected Bearish Tone if Fail to break 3050
السلام عليكم
Hi traders,
CPO ended lower on Wednesday at 3029lvl with high volume traded. Likely bears may tests 3000. Upside tone may develops if open >3040 and close >3060. CPO may downside bias if open <3025 and close <3010. I'm expecting CPO may play 3000-3050 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
Tuesday, July 5, 2011
Tuesday Trading Tip: Bulls vs Bears
السلام عليكم
Hi traders,
CPO ended higher on Monday at 3050lvl with low volume traded. Likely bearish if under 3000. Upside tone may develops if open >3065 and close >3080. CPO may downside bias if open <3055 and close <3030. I'm expecting CPO may play 3020-3075 today. Please take your position nicely...
If you need updated CPO Fundamental Data please log on to http://fcpomillionaire.blogspot.com/
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