Quote Your Favorite Post

trader111 · #1 24th June 2008, 01:20 AM

Ok, lets use this thread to quote a post which made us work, to understand or learn. Please quote only those posts which has made a significant impression on your learning process.

Yes it will also be helpful if you are willing to share how the post got you worked up.

trader111 · #2 24th June 2008, 01:23 AM

To get started :

Quote:

Originally Posted by AJAY

Dear Friends,
Sorry for taking a long break. Let's start discussing the practice part.

The first and foremost thing to have is to practice absorbing the NOISE.

There is lot of subjectivity in defining this NOISE.

Practically speaking the NOISE is nothing but what is happening in the security's price above or below the entry levels before either the stop is hit or the target is hit. So anything between the entry and stop or entry and target is noise.

This noise varies according to the chart periodicity. The noise for a person who trades using Daily charts might not be the noise for the Trader who uses 30 min. charts. Hope it is not confusing.

So, first we have to understand what time frame we are using in charts to initiate the trades. And then the entry, stop and exit. Anything in between is a noise. So while practicing, just go least bothered what ever happens to the security in between. Wait to get stopped out or to reach the target.

If we start paying heed to the movement of the asset price in between, then we will start changing the trade plan and spoil the trade. This changing the trade plan might help us once or twice, but finally it makes us losers in the market.

So, once the trade is initiated with a good trade plan, never change it. To go that rigid, before initiating the trade itself- try visualising the scenarios with "what if" thought in the mind. "What if this doesn't go like I planned", then we will start thinking in the other way and understand one more route
for the security's price movement. Like this if we are ready while designing the trade - with the Road Map of the price move - then the price behaviour won't surprice us and it further helps un in going stable and absorbing the noise.

I remember one incident happenned in the recent past. It was discussed in the chat room. It happened to one of the veterans of our Forum.With due apologies to him I am here mentioning it. He initiated trade in Infosys. And booked a huge profit in it. But this was done out of trade plan. The trade was
initiated keeping Daily charts in the mind and exit took place just for the reason the security was tracked intraday. ofcourse it was a profitable trade. And that member must have taken one more entry into it at a good price and must be running it still- as he is that wise in practicing technicals. Why I mentioned it here is to tell that nobody is foolproofwhen dealing with the
markets. So time and again we should protect ourselves.

It is better to make a record for the trade plan and track it. We should look into it whenever we try to do something with that security in which we are already in, to understand the original trade plan- which should preferably be with the Security's Price Road Map.Then we will get reminded of the trade plan. And this helps us in sticking to it. It will work wonders my friends.

Thanks and happy practicing Technicals

AJAYKUMAR

His definition on noise helped me a lot in building a position sizing strategy.

uasish · #3 24th June 2008, 09:22 AM

Quote:

Originally Posted by trader111

Well, initially it helped me not to go wayward.

You have just documented an awesome post of Jesse,to confess frankly at that time both Karthik & Ashish where regular along with Saint.
There where couple of posts of Jesse at that time on Time Series which
kept me pondering for quite a few WEEKS.
The conceptual Shake -Out helped me & my approach changed,Unlearning Began.

Accept my Heart Full congratulation to bring all these forward.

Czar · #4 21st August 2008, 10:39 PM

This stresses the importance of not buying directly into a stock. Try to buy at a point where U feel the stock really has scope for turning back. This is called, 'No Ticky, No Tacky'. Its like saying to the stock, 'If U don't perform, U will not get rewarded with my money'. Ofcourse, there will be times, where Ur buy point will be hit and then the stock comes down. Didn't I say in my previous reply that there is no full (fool) proof method. We just do the best.

Lesson: Stocks give you at least 1 chance to get out (in my observation). Lets say you did not honour Ur stop (I don't want U to do that). The stock will give you another chance to get out. But, in most cases, we don't get out. We get greedy and think there will be follow through. My suggestion to you guys is, when in doubt, execute 25% or 50% of position, either on the sell side or buy side. Atleast U will not be 100% wrong. Don't try to get every thing right. Don't be hard on Urself. Accept the fact that there will be mistakes made (even if U are a pro) and we will learn from them.

Tracking 5 to 10 stocks:
For beginners that should be it. Just track them. Wait for pullback and enter. Don't go around 100s of them. U go around and comeback, these 10 are gone (Isn't there a saying One rabbit in your hand is better than 10 around the bush). Once U get hang of it, I suggest use a scanner to program patterns U like the stocks to exhibit. Once U get the result of the scanner, U should be able to judge based on the charts.

Money (greed) should not drive your signals. Your methodology should. This is required for your long term survival. U should come into this market thinking that U will be there for long time to come. You should accumulate money slowly. Do you know how many get busted in the 1st year? Do you know why? Greed!!!!!

here is Jesse Livermore saying, 'There is time to buy, time to short and time to go fishing'. Here is my saying, 'There is time to buy, time to sell, time to short, time to cover and time to stay aside'.

All from Vvonteru, dont know if he's quoted someone else, but works for me...

trader111 · #5 21st August 2008, 11:15 PM

Maybe helpful for someone: to quote a post in original format, just right click on the quote button of the post u like. Then click open in new window/tab. Then copy the whole thing and paste from reply box and paste in using post reply button on this thread.

Czar · #6 21st August 2008, 11:20 PM

you're right T111 but I had gone thru his 100 + pages to collect such tit bits

rkripal · #7 21st August 2008, 11:45 PM

There are many posts in traderji, which teaches us different aspects of
trading like money management, technical analysis , strategies, systems etc.
but there are some posts which teach us lesson to be remembered forever.
Such posts do not teach us how to make money in the market, but teaches us
to digest that fruit of success. Not in the form of advice but in the form of inspirational
words. Below quoted words are just inspirational and fills you with new energy every time you read them.

Here are those great words of wisdom.........

Quote:

Originally Posted by Saint

I have no idea where exactly to start this post..........The no of emails,pms and posts on this thread since yesterday was overwhelming.I did not expect such a strong outpouring of emotions.......I feel I have inadvertently hurt many by the post yesterday....That definitely was not my intention.

Most posters on this thread and maybe most people in this forum already know most of what I am about to mention.........but to those who are new and reading through this thread,a few pointers:

a.I do not believe there is a Holy Grail in trading.....I do not believe that one shoe fits all.....I believe that there are many paths to the same destination,probably as many paths as there are individuals.........Therefore what is discussed here is just something that has worked for me.Some of you with a similar mindset could walk it the same way.Others may tweak it a bit.And yet others would probably add an indicator or something else if that be their comfort zone.And then there are others who find this "full of crap".

----To those who want any help,feel free to ask.To those who think this is a total waste of time,move on to other threads..........There are so many out there,take your pick,if none,feel free to start a thread and carry on the discussions.

-----One more point,shun anyone....I mean anyone....who tells you that his way is the only way.In Life and in Trading.Be it junior or senior member.Be it even any of the most respected senior members.If he tells you that everything is hogwash,and he has hit upon the path...THE PATH....shun him because he is giving you rotten advice.......If you found a way to trade using Donchian channels or Bollinger bands,and you are making tonnes,your way is great for YOU.......Never,ever listen to someone who tells you otherwise,however well meaning he may sound,however great at testing strategies he is,however senior he is................Remember:There is no one absolute way to Trading Mastery.Shun anyone who tells you otherwise.

b.There are many amongst us who share what they know.....Great. Many who share a bit of what they know.....Great.Many who don't share anything at all.....Great as well.

Your call to take.......But let not the third category above make it sound like they are professional traders with the greatest of secrets,cards held close to their chests,all hush-hush lest anyone figure out their treasured system.

----Share if you want,but do not put down the guy who shares a bit or nothing at all.Don't share if you don't want,but don't make it look like that is the only way to do things,and the guy who does is a madman.

----An add from my end:I have done nothing but shout from every rooftop all that I know........and the more I share,the better I become.I have been told that once everyone figures out this method,then it isn't going to work anymore.....Well,I shared anyway.It still works for me....and getting better by the day.Lesson:Please don't think you are bigger than the market.Pivots existed from Day 1 of markets in history.Sharing it isn't going to change that.
My take:Go out of your way to help.....share all that you know.....help anyone and everyone....Infect the world by your Passion....And as you share,more and more,you are not losing a part of you.Instead,you are discovering new areas of you that you never knew existed.You become a much bigger individual.......

More in the next.

Saint

CreditViolet · #8 22nd August 2008, 09:53 AM

Well, I would also like to quote my favorite post here too which for some reason seems to have been deleted.

Favorite Post -

Quote:

Originally Posted by trader111

Well, initially it helped me not to go wayward.

Trader111 is referring to the same post Asish is referring to here

Quote:

Originally Posted by uasish

You have just documented an awesome post of Jesse,to confess frankly at that time both Karthik & Ashish where regular along with Saint.
There where couple of posts of Jesse at that time on Time Series which
kept me pondering for quite a few WEEKS.
The conceptual Shake -Out helped me & my approach changed,Unlearning Began.
Accept my Heart Full congratulation to bring all these forward.

The above mentioned post of mine is among one of the many in Experiments in TA thread -

http://www.traderji.com/technical-an...html#post88550

Its my favorite because it initially helped him in the right direction back in 2007 and make it as a NYSE Scalper.Glad that my posts helped him set in the right direction.

Yours Sincerely
CV

amitt29 · #9 22nd August 2008, 11:12 AM

Sad to say,but to this date nothing has helped me on this site,there were in my initial days in 2006,a few threads which I read and appreciated.

But this site has given me a very good friend and a few well wishers.And thats a totally different matter altogether.

rkripal · #10 22nd August 2008, 11:31 AM

Quote:

Originally Posted by amitt29

Sad to say,but to this date nothing has helped me on this site,there were in my initial days in 2006,a few threads which I read and appreciated.

But this site has given me a very good friend and a few well wishers.And thats a totally different matter altogether.

Amit

sad to read tht.... just go and see around there are lots of threads teaching various stuff about trading. seniors like saint and uasish doing great just to help others. infact i have learned more in last two months than i had in more thn last two years.

kripal

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