tag:blogger.com,1999:blog-9226230.post111982603637475823..comments2023-10-20T05:43:46.254-07:00Comments on All Allan: The Art of the TradeUnknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-9226230.post-1120073088317344202005-06-29T12:24:00.000-07:002005-06-29T12:24:00.000-07:00Hi Jack & Allan:I too, like Jack, make my trading ...Hi Jack & Allan:<BR/><BR/>I too, like Jack, make my trading decisions based on the intermediate term trends. Why you may ask? Because I am still a wage slave that only has time to check into the market briefly a few times a day. I can't act quickly enough to manage trades on short term trends.<BR/><BR/>I actually am commenting here to add that I have been using a stop loss disipline and it has helped me be more successful. On some trades I put the stop loss order in right after the buy order. On some trades I set an alert that tells me when a set price is violated. I watch the trade much more closely during that day for signs of complete collaps (which would prompt me to exit ASAP) and wait for that day's close to see if the price is still below the price I predetermined as my sell point, if so I sell the next day, no questions asked. I use this later strategy with my tighter stop loss targets to avoid intraday jiggyness.<BR/><BR/>I also use some manual trailing stops, where I raise the stop price as the stock price moves up. This becomes my exit strategy on certain trades as I keep moving the trailing stop up until I get stopped out. Yes I have left money on the table this way, but it seems to work better for me then trying to pick the exit point without stops.<BR/><BR/>CHEERS FELLAS!<BR/><BR/>Greg ReimanAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-9226230.post-1119887580923232072005-06-27T08:53:00.000-07:002005-06-27T08:53:00.000-07:00STANDING ASIDEI, too, have a very disciplined appr...STANDING ASIDE<BR/><BR/>I, too, have a very disciplined approach to the market; one very different from that of Allan. <BR/><BR/>I prefer to trade, long or short, with intermediate trends using suggestions (signals) from various indicators.<BR/><BR/>There are times, however, when the market seems to give a signal and then violates it - or I just misinterpret the action of the market.<BR/><BR/>That happened last week when the market collapsed for a few successive days just after I was pretty much convinced of two things: 1. that some distribution was going on during the period of the previous several weeks and 2. that the market would continue moving up in spite of what appeared to be some accumulating overall selling.<BR/><BR/>Then the market collapsed - and that is where my discipline shows up. I get stopped out. <BR/><BR/>I am a total believer in "stop loss" trades; most particularly on new positions. In fact, on new positions my stops are often only a half-point under my purchase signal. <BR/><BR/>If the market does not do what I think it should do I do not bother to reset my thinking at that point - I just get out of the way. I stand aside.<BR/><BR/>At such moments my trading activity is in concert with something I read in Jesse Livermore's book "Reminiscenes of a Stock Operator" more than 50 years ago: OPINIONS ARE OFTEN WRONG. THE MARKET IS NEVER WRONG.Anonymousnoreply@blogger.com