sandjco
648 posts
msg #140510
- Ignore sandjco |
12/30/2017 11:46:53 PM
Thanks Shils!
- Use ETF. Check.
- No options. Noted.
- Swing. Don't know if that is what I do (guess I have to add to the "shorting" component or buy the inverse).
- Don't follow someone's trade unless to confirm. Check.
- Don't blend too many systems. Check.
- Don't let boredom get in the way. Check (surprised about my patience).
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mahkoh
1,065 posts
msg #140512
- Ignore mahkoh |
12/31/2017 11:13:28 AM
Options are OK so long as you are selling them.
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pthomas215
1,251 posts
msg #140516
- Ignore pthomas215 |
12/31/2017 12:00:50 PM
mahkoh, are you really arguing the only way to get decent margins on options is buying puts? It seems like on some stocks like Micron last fall, once you get the weekly MA crossover up your odds of a long call option success are pretty good. thoughts?
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shillllihs
6,101 posts
msg #140519
- Ignore shillllihs
modified |
12/31/2017 2:15:13 PM
I didn't mean options were bad, just getting involved with something idk. much about out of sheer boredom was a bad idea.
One problem that could arise from buying options is, you know the eventual direction, but the timing is off.
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sandjco
648 posts
msg #140558
- Ignore sandjco |
1/1/2018 12:18:27 PM
RE: Options
To be clear, I didn't take it as Options were "bad". I understand that I shouldn't really go balls out on something I do not have the required knowledge or experience. I know I've lucked out on playing the TSLA bounce using options. I know it could've gone bad quickly. I need to learn more about it before I play.
For 2018...I will stick to the basics. Plan the trade; trade the plan. ETFs (and maybe the big techs).
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mahkoh
1,065 posts
msg #140567
- Ignore mahkoh |
1/1/2018 3:48:46 PM
Like Shillis mentioned, if you know for sure that you have direction, magnitude and timing right options are a great way to achieve leverage with limited risk. However, if you are not entirely right about all three you lose.
Going for deep in the money options that have a shelf life of 3 months or more gives you some room for error, but comes at the cost of lower roi. You''ll probably also have to deal with higher spreads.
For me personally, I have traded options for some 10 years, but have only turned profitable when I became a premium seller.
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pthomas215
1,251 posts
msg #140570
- Ignore pthomas215 |
1/1/2018 4:40:29 PM
Sandjco, first i wanted to say you are not as 'green' as you imply. you use charts, analyze, study--newbies usually say things like "I saw that stock at 5 bucks and now it is 60 bucks". you know, as if the best strategy would have been to buy and hold for the year.
Second, don't get too arrogant after a good hit. Doctors are notorious for this. They incorrectly think business is easy and then they get their asses handed to them. Hopefully you are not in the medical field ha.
Finally, you touched on this. For 2018 secure your strategy in exactly how you want to trade. For example, I am not going to do options regularly in Q1 2018 like i had planned (until I feel more comfortable with them). Im just sticking to Gap trading and Swing Trading with defined entries and exits on both Indexes and stocks, very few ETF's. But that is my comfort level.
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sandjco
648 posts
msg #140572
- Ignore sandjco |
1/1/2018 8:05:56 PM
Thanks for dropping by PT and Mahkoh!
Newbie as in never been kissed? Nope. I've invested in Mutual Funds with "advisors" and for years, have always been told that Technical Analysis was garbage. But for whatever reason, my interest in human psychology never waned....and hence, my curiosity about TA.
Books, reading forums online and finally stumbling into SF kinda wraps up what I know. I understand basic charts and patterns. I have no clue how an RSI is constructed nor can I code anywhere close to the prolific ones here.
Compared to you guys here....I'm like a lost kid in a Candy Supermarket! There is still so much for me to know. Hence, I still consider myself a newbie!
DGAZ and DGLD looks like plays to me; the Newbie in me is being wishy washy with commodity driven ETFs...
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pthomas215
1,251 posts
msg #140573
- Ignore pthomas215 |
1/1/2018 8:12:08 PM
I think you have good instincts. in my opinion DUST is ready and DGLD would go in the same direction. this is an RSI filter recently posted by Four but adjusted slightly by me. If RSI is what you are liking.
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sandjco
648 posts
msg #140575
- Ignore sandjco
modified |
1/1/2018 9:20:25 PM
thanks PT!
What is "daily offset"...? In this case, you used "3".
RE: RSI
I don't have a preference nor do I have any "go to" indicators. Only reason why this is sticking with me is because I came across TRO's writings here and I figured that it was a good tool to start with.
Unless I am mistaken, I think you shared IFT with me as well. However, I haven't had the chance to play around with that nor do I "get it". Visually, it looks to me that the negative values correlate to the "bottoming" and have to wait for it to thrust past "0".
So, I'm wondering if there was such a thing to capture it via:
weekly or daily IFT(2,1) < -0.90 but the trigger buy would be when IFT(2,1) crossed above 0?
Not sure if I'm making sense....
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