There are several interesting insight in his way of trading in his interview. Some of the key points are:
- Dan Zanger was up 180.6% with total profit of 22$ million last year. It was his biggest dollar profit for a year till date.
- He made majority of his money in Google and Apple.
- 95% oh his trade are on long side and 99% of his profit was on long side. The 1% from short according to Dan was for fun and games.
- The patterns he concentrates on are: bull flag, high level channel, horizontal channel and cup and handle. According to him cup and handle have low success rate unless they are followed by earnings related breakout. He wants all breakout to be confirmed by high volume. If a breakout does not work he quickly gets out.
- His holding period for equities varies depending on length of base and market condition. It ranges from 3-5 days or up to 2 weeks. For stock with long base it is 6 to 10 weeks. It is 10-15 weeks if market is coming out of significant correction.
- He has no fixed long term outlook on market and interested only in day to day outlook.
- He has started using more deep in the money call as substitutes for high priced stocks like Google and CME.
- According to him it takes 4-6 years minimum for a trader to become a good trader.
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