There are many different approaches to making money in the markets. Many know the usual approaches of movement, trend, volume, etc. trading. Trading when the market is opened is trading on a different level. However, there are different approaches and the trading of the pre-market phase and the trading of gaps in the short term [...]
The Arms Index (TRIN) The Arms (TRIN) Index is a very well known and very important intraday market analysis tool. It is a unique tool that gives us information that you normally don't see in the markets. It compares the number of rising stocks with the number of falling stocks and expresses this ratio graphically. [...]
Batting Average and Sharpe Ratio What's a good Sharpe ratio? As we already know, such questions do not have easy answers. Some traders will raise some number here such as 2.2 or 3.1 or 1.8. These numbers could be excellent ratios. However, a Sharpe of 1.0 can also be excellent. This depends on a completely [...]
Good traders and their profit-loss ratio Good Traders always keep their average winners significantly higher than their average losers, though this amount may vary with different traders and different tactics. That is a simple statement on the surface. But in truth, in that statement lie most all of the things that make a trader a [...]
Learning from mistakes – avoiding losses Good Traders actually cherish mistakes, saying, "Great, I have just eliminated a problem from my trading that will never happen again". This is a follow up to the previous lesson. It is important because it is not enough to just glance over your trades and determine if you made [...]
On your way to becoming a better trader: phase 4 Today we are dealing with phase 4 - the already successful trader. As a beginner in stage 1, the goal is to get there. There are 1000 books under the title 'How to become a successful trader' and one potency more than the last wisdom [...]
On your way to becoming a better trader: phase 3 In the last article we have been dealing with phase 1: The unsuspecting and phase 2: The semi-informed. Today we try to shed light on what you can do in phase 3: The Semi-Pros to improve your existence as a trader. Semi-Pros are basically characterized [...]
On your way to becoming a better trader In the last issue, we analyzed what levels a large percentage of prospective traders go through. Today we want to briefly address some of the points you need to consider on your way to becoming a better trader. Phase 1 - The unsuspecting or soldiers of fortune [...]
Your Progress as a trader One of the most difficult things for a trading beginner is to find out how far you are in trading. Many traders at this stage may feel that they are making significant progress, but the account may not show it yet. But how do you know where you stand? Here [...]
A Breakout Strategy A very common trading strategy is to trade breakouts from sideways consolidations. There is an almost "foolproof way" to avoid being caught with outbreaks that fail. Well, of course nothing is "foolproof", but here is an idea that helps to avoid many mistakes. Just let the symbol break out clearly and then [...]
