The Motley Fool Discussion Boards
Investing/Strategies / Short Term Trading
|Subject: Re: Tell me if I'm crazy,||Date: 6/26/2001 3:24 PM|
|Author: sonar69||Number: 5986 of 36651|
If you must trade with real $$$, know this, Trading is a loosing game - you will lose
money, the thing that will make you money is limiting your losses/protecting your profit.
Treat every trade as though it is with the last dollar you have and your chances of success
at trading should improve. Above all else, the number 1 rule to live and die by is, Protect
Protect profits and LIMIT losses...no matter what. These two rules alone would have save most of my losses in 1999 and 2000 when I followed LTBH.
I spend probably 20 hours a week reading books, message boards, and visiting other web sights. Have been for 2 years now and wish I had more time. Study, study, study.
I like stocks $5.00 to $40.00 and mostly trade QQQ. I think QQQ are an excellent way to start if you are short term. I like lower priced stocks because a $1.00 move is good money if you have 100 to 500 shares. Trading with $2000, $100.00 profit a month is 5%. 5% is huge in my book. I have averaged %8 a month since I started "trading" a few months ago. Mostly I look for strong short term trends in QQQ. Remember commissions. The lower amount you trade with, the higher % commissions are in relation to your profits. I gave up trying to hit home runs every day. Small gains each week that are higher than the bad trades are great. No one ever went broke taking profits. Winning the game is more important than hitting a home run.
In long HDWR $11.30 today. Thinking of getting out at $11.80 or so. Seems stuck here. Short HOMS $ 33.99 today. Going nowhere. I think I will be out by market close. Too iffy tomorrow.
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