Sometimes you can be right about a stock and still lose money, so how unfair is that! Have you ever been in a stock where you have done all your market analysis and traded your plan only to be stopped out by the smallest of margin? You then see it make new highs and substantial gains whilst you’re left on the sidelines with a loss!
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Being Right & Yet Still Losing Money – The Psychology of Trading
February 18, 2011 By Leave a Comment
A Day in the Life of a Day Trader
February 7, 2011 By 1 Comment
We all have our own daily pressures with work but to some people trading the stock market always sounds very glamorous. This is why today’s update has a brief overview of the day in the life of a day trader. We hope that this is educational and insightful to people who want to learn how to become traders and by showing you a slice of what we do on a daily basis so you can see the method behind the structure.
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Don’t Second Guess the Stock Market!
January 28, 2011 By Leave a Comment
Approaching the stock market always with the same set of rules allows you to remove what we believe to be one of the fundamental problems with traders which is their desire to want to second guess the price direction. Eliminating this desire will help you become a more consistent trader and can be key to your success in trading the stock market.
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Today’s Stock Market Tips
January 27, 2011 By Leave a Comment
We hope that our stock market tips and our technical analysis of the SP-500 have alerted you to some of the fantastic possible trading opportunities in the market. In the last few weeks we have identified tops and potential bottoms in the market all in real time.
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Understanding Stock Market Phases – Update
January 13, 2011 By Leave a Comment
Today’s video is packed full of information and explains about the importance of analysing what stage of the phases you are in on each time frame.
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A hidden gem on CNBC.com!
August 29, 2010 By Leave a Comment
Charles Carlson highlights key elements in trading:
It is very rare that I find any useful comments on CNBC.com from a “pro” or “strategist” but it does happen from time to time! The problem is CNBC.com publishes what sells and not necessary what is useful for the reader which is of course not only CNBC’s fault but also the readers fault. Many traders look for excitement in trading and are therefore drawn towards, for example, doom and gloom headlines. The thing is, successful traders don’t care where the market is heading in the future, they only care that they read the current market correctly. Dow might be heading for 5000 or 15000 in 2013 but what happens right now is more important as traders cannot afford unlimited drawdown. What would happen to the trader if on the way down to 5000 Dow climbs 20% which then gives the trader a margin call? The trader would lose all his/her money and therefore not be able to profit on the prediction of the Dow hitting 5000. [Read more...]
Trading is a numbers game.
August 27, 2010 By Leave a Comment
Traders/Investors move the market – News is only an indirect reason.
We often read and hear interviews in the news where some guy predicts Dow will go to, for example, 5000 or 15000. These predictions are often based on looking at a macro economy such as GDP, unemployment rates, interest rate and so on. Other predictions are based on computer programs which run a lot of mathematical calculations. If predicting where the market is heading was that easy we would see a lot more successful traders than what we are seeing today. [Read more...]
Reaction Vs. Prediction
August 24, 2010 By 1 Comment
React on current market conditions instead of predicting future moves:
Today I read an article on CNBC.com where a strategist called Charles Nenner predicts Dow will hit 5000. Original article can be found on this link: http://www.cnbc.com/id/38826988. He not only predicts that Dow will hit 5000 but he also gives a time frame which is 2 – 2.5 years. Nenner uses cycles in order to predict moves and dates. Here at Stock-Market-Strategy we believe in cycles. The stock market, real estate market and commodities all move in cycles. Nothing goes up forever and we will always see bull and bear markets. But this is as far as we go when it comes to cycles. We do not use them to predict market moves as there is no rule saying that a cycle has to be a certain length, making it impossible to predict moves without a big margin of error. [Read more...]
