Conversation with a chartist

walter said...

gotcha...

i find that personally i do well with visual information - hence my interest and predisposition with charting. that being said, when i get a set of stocks that someone likes for some relatively consistent reason, i like to investigate to see if any visual commonality emerges among them...

in that sense, if you do, how to you use charts?

11:24 AM

Pradeep Bonde said...

How Charts can help you in the stock market by Jiller is what I like. I have nothing against chartists.
My submission is that if you use some logic first to select stocks like earnings/ momentum or value based PE envelopes kind of stuff and then use technical analysis on it, your returns are dramatically different.
For example if you are chartist and if you forget everything else and concentrate only on the IBD top/bottom 200 composite Stock lists which they publish on Thursday, you will get at least 3 times the return you get by using technical analysis on random set of stocks.
All those day traders who trade dummy method would find lot of easy money if they just make an effort to understand earnings. They will be (with their superior visual acumen) able to make more money and enter in anticipation. Plus will have more conviction in what they are doing. Will be able to prioritise opportunities. But many are so completely wedded to technical analysis that they are not even open to alternative possibilities.
They keep on reading more books on technical analysis and keep getting deeper in to it , while there may be a better way to make money.
Many times our deeply held beliefs or paradigms stop us from looking at other possibilities or create blind spots. I always suggest two books which have influenced me personally to look at things constantly differently.
1 Paradigms by Joel Arthur Barker
2 A kick in the seat of the pants by Roger von Oech
and if you can find watch the Paradigm movie by Joel Arthur Barker. It is one very insightful small documentary.

Best site to learn to trade

If you are serious about your trading and want to build an enduring edge, the Stockbee Member site might help you.

Members tell me they have tried a lot of things before coming to my site, and it has offered them the most extensive and detailed methods to swing and position trade. Members range from very experienced traders to novices.

No advertising, no hard marketing, no promotions, no free offers, no affiliate marketing, no incentive to other bloggers to promote the site, no constant tweets self-promoting the site, and no tall claims. Every member comes through word-of-mouth recommendations from existing members.

As a member, you will learn the basics of swing trading, momentum investing, growth investing, and risk management. You will learn about Stockbee Momentum Burst breakouts, Stockbee Trend Intensity Breakouts, Stockbee Episodic Pivots Breakouts, Stockbee Lemonade Strategy for 401k, and many other member-shared methods.

You will learn how to set up your own scans, how to select the right kind of stocks, how to set up stops, when to enter, when to exit, how much to risk, how to track your trades, and all other details about trading.

You will learn about developing your own methods and not relying on others for trade ideas. Develop your own edge. Once you develop your own method, you will have a lifelong profitable method.

The site gives you an opportunity to interact with some of the most successful traders and learn from them about their trading methods. It is a vibrant community with members from different backgrounds and experiences willing to help each other. Members have shared their methods, scans, software, backtests, and market insights.

Every day, the emphasis is on continuous learning and upgrading of market knowledge and setup knowledge. The members range from hedge fund employees, financial advisers, active swing traders, investors, and new traders.

You will see that many trading bloggers have been using my market timing methods, scans, and chart templates. They have developed their own methods based on my methods.

Almost every member comes through a recommendation of some of the leading trading bloggers and trading sites. 80% or more members continue to be members for more than 3 years. Most tell me that they stay on because every day they learn so much from the members' site.

If you are looking to develop your own trading strategy, the membership site might be for you. You have to be willing to put in the effort to build your own method. There are no silver bullets offered on the members' site. Every method, every scan, every nuance is detailed, and all possible help is offered to design your own method.

404

Recent Articles