Stock Trading Systems

Welcome Back! One component of a robust trading system is knowing how to find support and resistance levels. Both levels are barriers.  Knowing where those barriers reside can save lots of frustration.  For example, it wouldn’t be wise to buy near strong resistance and sell near solid support. It’s not that difficult to find support [...]

There are generally two types of investment styles: strategic and tactical. Strategic allocation is usually a buy-and-hold strategy. The initial asset mix is developed after establishing the investor’s goals for growth, capital preservation, income, etc.  Once in place, the portfolio’s values will “drift” within the initially established mix.  That means the growth portion may be [...]

photo credit: Paul Keller Making money in the market means using a sound trading system and having the nerve to stick with it.  Here are a few suggestions: Know what you want before trying to find a trading system.  Write down your requirements.  Narrow your focus. For example, how much time can you devote to [...]

Personally, every chart I study has a trend line on it.  It’s one of the oldest, but most valid technical tool.  Learn how to draw them correctly and you’ll save yourself lots of headaches. Trend lines will keep you on the right side of the market.  That can be the difference between making money or [...]

To become a successful trader one needs to be a bit of a market analyst.  It’s important to know where the market has been and where it may be headed. Support and resistance will give you clues as to where the market is, relative to where it has been.  I’ve devoted an entire website to [...]

Image via Wikipedia Issac Newton discovered a truth that can help you improve your trading. The First Law of Motion states : a body at rest tends to stay at rest, and a body in motion tends to stay in motion,unless the body is compelled to change its state. The market confirms that truth.  There [...]

We’ve all scanned charts and seen graphs of the “one that got away”.  Don’t despair.  I’m going to show you a way to find entries and exits for single stocks that are starting trend. They say, history repeats itself.  In trading, that is very true.  Each stock has a personality of it’s own.  Learn the [...]

photo credit: asvensson When you understand how the market really works you realize the necessity for a good stock trading system.  This came to mind as I perused an article about the market blow up in 2008.  A lot of the big players didn’t believe it and either didn’t have a system or didn’t follow [...]

photo credit: jelene I’ve been listening. Just finished what you’ve asked for. . . Check it out here – From My Trading Stash

Here’s a quick, low risk, and profitable trading system for short entries – Find a stock trading below its 200 day moving average.  A stock in this predicament is already weak. When it stops declining and starts rising in price, place an order to go short beneath the low of the first up bar. Continue [...]