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There are some commentators out there that mention ideas in trading because its
happened in the past but will never show their account to prove they have ever
done it. Hence an article they write will list any old stock that is falling and
call it a buy. This is just not so. Yesterday's article in the press was a case
in point.
Two stocks that were mentioned as buys were not they were shorts. What they do
is decide that price wise a stock has fallen enough and consider it a buy. This
is wrong because its based on their belief and not what is actually occurring.
There is a gold stock I want to buy that has fallen from 100p to 2.5p in the
last two years. I've been watching it for the last four months and it still isn't
a buy....yet. ( but could be soon) A commentator would have had it as a buy months
ago based on a feeling that it had fallen enough, gold was going up and therefore
it was due to go up as well.
These are sensible arguments that anyone reading the article would subscribe
to but in trading they are not valid. In trading its timing that counts not opinions.
Its knowing exatly the right time to strike. These are timing skills that can
be taught.
A trader knows exactly when to take the trade. That is the difference between
traders who do it and commentators that talk about it.
The next thing you will find is that that fresh from their success at writing
articles, commentators move on to writing books on trading. People buy the books
on trading because of a commentaors name and what happens is they get nowhere.
All the ideas are from someone who is in fact part of the crowd. they are crowd
pleasing ideas.
This is why you should learn from a trader and not a book. That is how I learnt
and many thanks to the city trader trader who taught me to take moves off the
lows like this 1400 point day trading move. This is from my new updated day trading
course. email me if you'd like to know more. alanrichtrading@aol.com
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