35854 replies to this topic

[TheSource187]

This is the right group to be in. There are many different trading styles but you need to figure out what works for you. Keep your plan as simple as possible. Don't be scarred to do paper trades with no money spent. If I had been part of a group like this when I started I am sure I would be a lot richer. so my wisdom for you would be the following:

 

The trend is your friend, if you are not sure of the trend sit it out. 

 

If you miss an entry into the market and you see the market shoot in a direction, unless another entry point presents sit the trade out, DON'T jump in late it will just cost you money.

 

Dont try to emulate the success of others, someone on the group might make 500 points and you only made 100, your 100 points is more than you had before.

 

Books on traders teach you one thing and one thing only, the guy how wrote it just got you to give him money, a very good trade for the writer.

 

A successful traders get to the point they just know what the market is doing, he will be drawing information from 100 different places that will help make the play for him.

 

There is no one system that works.

 

You don't have to trade every day, if the day feels wrong sit it out. 

 

Day trading is hard to get right, 

 

What you have got yourself into is going to cause you great pain, school fees are very expensive , if you get it right you will earn a living, if you spend another 5 years after that you may earn a good living. 

I suggest you go and draw out half of the capital you have, put it under the bed, you will need it on that day your account goes from good to gone, it will happen, start preparing yourself for it now. 

 

Remember that in order to make yourself a small fortune on the stock market you need to start with a large one.

 

Good luck

 

G

Hi thanks a lot for the advice, I agree 110% with what you said. I've heard lots and lots of people say that beginners always blow their accounts. But this is something I won't do, it might stay at the same level for a while, or even decline a bit but I am determined to not blow it, I'll beat those statistics definitely. Lol, maybe. Anyway..

 

Have a great day guys. 

[Casenova]

Don't know what this little drop is, surely we should go up.

Tencent 2.5% up

BHP 0.5% up

Sasol 2% up in US

US up a lot

I think the market will be flatish untill 10 AM ish.

[mx125]

Don't know what this little drop is, surely we should go up.

Tencent 2.5% up

BHP 0.5% up

Sasol 2% up in US

US up a lot

 

[grantmu]

This is a great thread, I learn something new everyday, I started trading the 1st of September and my goal is to have 50 million in 4 years.. maybe that's a bit extreme but I believe I can do it, success is all in the mind. I've read some of the posts here about the big losses, I saw a book on the net, Cat Davey - Making Money from CFD Trading, maybe I'll buy this at the end of the year, but what I've read about the book is that she had a string of 11 losses, that's sad.. and may be enough to make you quit trading forever, but I think if you love something, or you're really passionate about it then it doesn't matter how many times you fail, the best thing to do is just to keep going, keep growing and learning, eventually you'll be a master at this game. Just keep going. Maybe we could give out some tips here that we each learned or recommend some books, seminars, webinars, etc.. so we can help each other learn and get better. 

This is the right group to be in. There are many different trading styles but you need to figure out what works for you. Keep your plan as simple as possible. Don't be scarred to do paper trades with no money spent. If I had been part of a group like this when I started I am sure I would be a lot richer. so my wisdom for you would be the following:

 

The trend is your friend, if you are not sure of the trend sit it out. 

 

If you miss an entry into the market and you see the market shoot in a direction, unless another entry point presents sit the trade out, DON'T jump in late it will just cost you money.

 

Dont try to emulate the success of others, someone on the group might make 500 points and you only made 100, your 100 points is more than you had before.

 

Books on traders teach you one thing and one thing only, the guy how wrote it just got you to give him money, a very good trade for the writer.

 

A successful traders get to the point they just know what the market is doing, he will be drawing information from 100 different places that will help make the play for him.

 

There is no one system that works.

 

You don't have to trade every day, if the day feels wrong sit it out. 

 

Day trading is hard to get right, 

 

What you have got yourself into is going to cause you great pain, school fees are very expensive , if you get it right you will earn a living, if you spend another 5 years after that you may earn a good living. 

I suggest you go and draw out half of the capital you have, put it under the bed, you will need it on that day your account goes from good to gone, it will happen, start preparing yourself for it now. 

 

Remember that in order to make yourself a small fortune on the stock market you need to start with a large one.

 

Good luck

 

G

[TheSource187]

This is a great thread, I learn something new everyday, I started trading the 1st of September and my goal is to have 50 million in 4 years.. maybe that's a bit extreme but I believe I can do it, success is all in the mind. I've read some of the posts here about the big losses, I saw a book on the net, Cat Davey - Making Money from CFD Trading, maybe I'll buy this at the end of the year, but what I've read about the book is that she had a string of 11 losses, that's sad.. and may be enough to make you quit trading forever, but I think if you love something, or you're really passionate about it then it doesn't matter how many times you fail, the best thing to do is just to keep going, keep growing and learning, eventually you'll be a master at this game. Just keep going. Maybe we could give out some tips here that we each learned or recommend some books, seminars, webinars, etc.. so we can help each other learn and get better. 

[Plasma]

Wise words G

[grantmu]

And a landing strip for Plasma. Will see you guys tom. Going to bed now. Leaving at 4 for Newcastle from Pietermaritzburg to be in time to do some homework before markets open. HAVE TO DRIVE GRANTMU, IN A CAR. Thanks again for the advice.

enjoy the trip and mind the taxis

[mx125]

looks like up but I will make my decision at about 8 30 as to my play for the day, will check what the East does overnight before I commit money to this thing. 

 

PS I do fly so there will be a heli pad.

And a landing strip for Plasma. Will see you guys tom. Going to bed now. Leaving at 4 for Newcastle from Pietermaritzburg to be in time to do some homework before markets open. HAVE TO DRIVE GRANTMU, IN A CAR. Thanks again for the advice.

[grantmu]

G. <br /><br />Pls send island coordinates and keep the Champaign on ice!!!

still have to negotiate with Sir Richard Branson for his Island

[grantmu]

It makes me feel much better that a professional trader like yourself also makes mistakes, although I am sorry you lost the money for my helli pad. Thank you very much for the advice I really appreciate it.  

Looks like we will be going up tomorrow if I look at the US. Can't believe they ran like that, S&P is over 2000 again.

looks like up but I will make my decision at about 8 30 as to my play for the day, will check what the East does overnight before I commit money to this thing. 

 

PS I do fly so there will be a heli pad.

[Plasma]

G. <br /><br />Pls send island coordinates and keep the Champaign on ice!!!

[mx125]

Don't worry just 2 weeks ago I got it all wrong and sent 70K to the market gods, but I think every trader here has done that more than once. One mistake I made when I started was to look at the bank every day and my eye gravitated to the amount in the bank, Then I learned that it is what you have available to trade is the important number, the bank amount is not important. 

 

The other mistake was to trade for an amount and not for points, I must have sent about 200 K down the drain because I would not trade for points when I started. Another advise point if I may, trade 2 small IG contracts only, and continue to do that until you can consistently add up the day at the end of every day and have at leased 100 points in the green. if you cant reach that then you are just throwing money away and I threw plenty. Those big trades look good when you win but they hurt like hell when you loose. 

 

G

It makes me feel much better that a professional trader like yourself also makes mistakes, although I am sorry you lost the money for my helli pad. Thank you very much for the advice I really appreciate it.  

Looks like we will be going up tomorrow if I look at the US. Can't believe they ran like that, S&P is over 2000 again.

[grantmu]

Believe it or not, there are people like myself that just jumped into trading blindly. I think that is what AJS and myself are referring to. Mistakes that I made when I started are still haunting me now. To get overexposed when you don't know what you are doing is very easy. I've been there. Learned a lot since and can truly say that I manage my trading and account much more conservative now and with much more success. I am doing now exactly what you've talked about, but only after paying huge school fees. One day when we all come together on that island of yours we will laugh about how and where we started and how much we lost before we started signing our own pay cheques. Better make sure you've got a helli landing pad on that island otherwise I'm not coming      

Don't worry just 2 weeks ago I got it all wrong and sent 70K to the market gods, but I think every trader here has done that more than once. One mistake I made when I started was to look at the bank every day and my eye gravitated to the amount in the bank, Then I learned that it is what you have available to trade is the important number, the bank amount is not important. 

 

The other mistake was to trade for an amount and not for points, I must have sent about 200 K down the drain because I would not trade for points when I started. Another advise point if I may, trade 2 small IG contracts only, and continue to do that until you can consistently add up the day at the end of every day and have at leased 100 points in the green. if you cant reach that then you are just throwing money away and I threw plenty. Those big trades look good when you win but they hurt like hell when you loose. 

 

G

[mx125]

loosing money is part of it, if I can give you some advise, holding a short is dangerous if the market is moving in the opposite direction, there is a good chance it will not come back to the level you are sitting at, you may be lucky in this regard in that we are trading in a narrow sideways thing BUT if it breaks out up you will only know that closer to 1500 points from here, and then you are in the dwang big time. now a long on the other hand I will carry as the market WILL ALWAYS GO BACK UP at some piont/ 

 

my advise determine your level of pain and set a sell point at that level, take the loss and move on. 

 

just my opinion. 

 

G

Thanks for the advice. I have considered that option and will probably take my loss at some point. You are 100% right on shorts being dangerous. Its just funny how your mind can spook with you on getting stuck with a long at 46000, while revisiting that 42000 level.  

[mx125]

I don't get the exposure thing either, we all trade and we are all supposed to be getting better at it. so I don't quite understand the type of trading where you build up long positions while this thing is going down. keep the money in the bank and when you see the turn buy. Most days will give about 200 points at the minimum. So if you do this right and set a reasonable target for the amount of money you want to make in a day with plenty of reserve where is the problem. I try and keep at leased the option of having the market go 2000 points against me.

 

I sometimes think it is turning and it dropped another 500 points, I get that but it is not a train smash.  

 

And if you want to make big money it is simply a matter of working out how much you want to make per 100 points 1 contract will give you R 5000 and 5 contracts will give you R25000 (working on IG rates)

 

so if you want to play 1 contract and have the buffer of 2000 points against you keep 100 K in the bank. if you are making R5000 per 100 points 100K is small change. 

 

it is just your ability to make points every day, money is just a by-product. 

 

There are not many jobs in this world that you can nominate you salary every day. and even more you CAN make that salary every day. I wish I had learned to trade at age 25, I would own a small island by now and just be trading from the beach. 

 

(by the way if that big drop comes along I might still be able to buy that Island) 

 

G

Believe it or not, there are people like myself that just jumped into trading blindly. I think that is what AJS and myself are referring to. Mistakes that I made when I started are still haunting me now. To get overexposed when you don't know what you are doing is very easy. I've been there. Learned a lot since and can truly say that I manage my trading and account much more conservative now and with much more success. I am doing now exactly what you've talked about, but only after paying huge school fees. One day when we all come together on that island of yours we will laugh about how and where we started and how much we lost before we started signing our own pay cheques. Better make sure you've got a helli landing pad on that island otherwise I'm not coming      

[grantmu]

Sounds very easy if you put it like that, and it's all true. But if you are new to trading and still learning and you don't do it full time, it's very easy to get caught with a big loss.

I pray I don't get caught like that ever again, as it is not a good feeling. Lost a lot of money that way and are still dragging a short with me that's in the 420's which I hope to offload when that big drop comes.   

loosing money is part of it, if I can give you some advise, holding a short is dangerous if the market is moving in the opposite direction, there is a good chance it will not come back to the level you are sitting at, you may be lucky in this regard in that we are trading in a narrow sideways thing BUT if it breaks out up you will only know that closer to 1500 points from here, and then you are in the dwang big time. now a long on the other hand I will carry as the market WILL ALWAYS GO BACK UP at some piont/ 

 

my advise determine your level of pain and set a sell point at that level, take the loss and move on. 

 

just my opinion. 

 

G

[grantmu]

Exposure too big? That is enough to scare...

I don't get the exposure thing either, we all trade and we are all supposed to be getting better at it. so I don't quite understand the type of trading where you build up long positions while this thing is going down. keep the money in the bank and when you see the turn buy. Most days will give about 200 points at the minimum. So if you do this right and set a reasonable target for the amount of money you want to make in a day with plenty of reserve where is the problem. I try and keep at leased the option of having the market go 2000 points against me.

 

I sometimes think it is turning and it dropped another 500 points, I get that but it is not a train smash.  

 

And if you want to make big money it is simply a matter of working out how much you want to make per 100 points 1 contract will give you R 5000 and 5 contracts will give you R25000 (working on IG rates)

 

so if you want to play 1 contract and have the buffer of 2000 points against you keep 100 K in the bank. if you are making R5000 per 100 points 100K is small change. 

 

it is just your ability to make points every day, money is just a by-product. 

 

There are not many jobs in this world that you can nominate you salary every day. and even more you CAN make that salary every day. I wish I had learned to trade at age 25, I would own a small island by now and just be trading from the beach. 

 

(by the way if that big drop comes along I might still be able to buy that Island) 

 

G

[mx125]

I don't understand this fear the group has of larger corrections, So what you trade what is given to you, if it is going down you trade short and make big money, if it is trading up you trade and make big money, if you are on the wrong side of any of this you dump the contract and get into one that is pointing in the right direction. what is the fear. 

 

 

G

Sounds very easy if you put it like that, and it's all true. But if you are new to trading and still learning and you don't do it full time, it's very easy to get caught with a big loss.

I pray I don't get caught like that ever again, as it is not a good feeling. Lost a lot of money that way and are still dragging a short with me that's in the 420's which I hope to offload when that big drop comes.   

[AJS]

That chart gave me a fright. Those corrections were huge.
I'm trying to read between the gaps here, are you being sarcastic by saying it's going to be different, or are you serious. 

I don't understand this fear the group has of larger corrections, So what you trade what is given to you, if it is going down you trade short and make big money, if it is trading up you trade and make big money, if you are on the wrong side of any of this you dump the contract and get into one that is pointing in the right direction. what is the fear. 
 
 
G

Exposure too big? That is enough to scare...

[Plasma]

That chart gave me a fright. Those corrections were huge.
I'm trying to read between the gaps here, are you being sarcastic by saying it's going to be different, or are you serious.

I don't understand this fear the group has of larger corrections, So what you trade what is given to you, if it is going down you trade short and make big money, if it is trading up you trade and make big money, if you are on the wrong side of any of this you dump the contract and get into one that is pointing in the right direction. what is the fear.


G

True