Stock Trading Systems

Welcome Back! photo credit: Natural Light Seeker See you after Labor Day — stay safe and enjoy!

In the last post we built an oscillator for our trading system.  The indicator found the tops and bottoms quite easily.  From my trading experience that’s one of the best ways to use an oscillator — find the extremes.  But there is a second and equally illuminating method to gain information, a term you’ve probably [...]

Price is the primary focus of my stock trading system because it’s the purist representation of supply and demand.  It’s handy to compare where price has been in relation to where it currently resides.  That’s basically what an oscillator does. An oscillator moves in waves.  Many traders watch an oscillator at pre-defined levels calling those [...]

It’s really quite simple, but often so hard to implement. If you want success trading the market, become the expert of one stock trading system.  After several years working with traders one trait stands out among those that struggle and fail.  They study countless techniques, but master none.  Unfortunately, they learn to speak the market [...]

photo credit: {Guerrilla Futures | Jason Tester} There are several stock trading systems that trade news announcements.  Trading news is difficult.  There is a pitfall and a temptation — trying to judge the implication of the news versus the reaction of the stock price. Have you noticed that what should be good news is considered [...]

The title of the post may seem counter intuitive because all of our lives we’ve been rewarded for being first.  First across the finish line and being number one in our class are superb achievements.  Yet in trading, first is not always best. Here’s a guideline for trading — sell the second high and buy [...]

Going from up to down takes time — it’s a process, not an event.  The transition from an up trend to a down trend doesn’t happen like this – It happens like this – Transitioning from a down trend to an up trend, not like this – But like this – Here’s a trading tip [...]

photo credit: TheTruthAbout… The market is populated with amateur and professional traders.  The first hour is dominated by the amateurs.  When creating your stock trading system think about this –as a rule of thumb, avoid placing trades within the first hour of trading, here’s why. Market makers are waiting to eat amateurs for breakfast.  A [...]

We’ve all heard that a profitable stock trading system has rules and those rules are followed without question.  That usually means risking a certain amount of capital, or cutting losses when XYZ happens. I’m going to reveal to you an entire set of rules that you don’t even realize exist.  They may be little thought [...]