Monday, January 14, 2008

HOW I ENTER STOCKS

I have had a few questions lately on the blog and via e-mail on how I decide to enter stocks.

Laura had a basic description of what I do on a post from a year ago. Entry

Thing is, I can't tell you exact rules. I have been trading for almost 44 years and I know the behavior of tons of stocks. If I see a stock I know start pounding the HOD list on Scottrade, I just push buy if I know it is a past momo runner. It's a gamble maybe, but the odds are in my favor if I know it has done the same thing (on whatever catalyst) many times in the past.

And no, intraday I don't use technical indicators or real time charts. I look at many charts EOD to fine tune my watches for the next day, but intraday.......PRICE and VOLUME, PRICE and VOLUME. All I need.

You have to trade and experiment for awhile. All of us have different styles. I am trying to help and teach, but I can't give you my 44 years of experience.

3 comments:

Formerly ADD Trader said...

I often feel that way you do about trading. Something of a "feel" you get. I have been trading for almost 25 years, but have only really gotten that feel in the last 5. As long as you can have exits based on quantifiable things, it can work well. Problem is, beginner try to do the feel entries, but that feel completely leaves them when a trade goes against them.

Formerly ADD Trader
http://addtrader.wordpress.com

P.S. By the way, I always like the Rhodesian Ridgeback.

Another Brian said...

Hi Muddy;

I haven't read your blog in quit some time, good to see your chat room is rockin'. My day job keeps me from daytrading, so I can't join in :(
I continue to swing trade, and I still employ some of the methods from your blog. Thanks agan for chatting with me last year, it helped me kick start my analysis, and screening methodology.

Another Brian
blog.tipster.ca

Mike said...
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