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Notes on the Formulation of a Plan

"W hen trading bullish candlesticks, you want to get an entry when  price breaks above the high of the previous day. The stop loss for a bullish candlestick  is a close below the low of the previous day. " When preparing for the new trading days, this is what I'm gathering: - VWAP, SMA, and EMS should already be on charts. 1. Scan for 'stocks in play' and add them to the daily list. (incl. reading News for it as trigger)      (make sure the ones you include in the list have shares available to short, if you're going short) 2. On each one, mark hi/lo of previous day . 3. On each one, mark the hi of past year. 4. On each one, mark the trend. 5. On each one, mark the levels of support and resistance. Intraday scanning: Trade Ideas in coordination with Benzinga: 1. Take a look at the stock and determine if ideal for trading. 2. If so, quickly mark areas of support and resistance, and look at 5-minute chart to determine plan 3. Use 1-minute chart to d
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My Day Trading Journey Ep5 - From Confusion to Plans

When first getting into something new preconceptions inevitably quickly give way to confusion and frustration. Having paper traded a few days I realize how quickly I give up many of the lessons I assumed formed a foundation and which instead were quickly forgotten in my desire to start the process. I feel that I'm approaching this with such baby steps that I'm not diving in deep like I was. I did join the Bullish Bears, but I haven't really done anything with it yet except watch some of their videos, and used a couple of their scans for ideas. I have not yet joined their community or talked to members live. Part of it is I'm battling with the thinkorswim platform and trying to understand how to use the tools properly. The gaps I see now. 1. Understanding and using the trading buttons properly. I have not yet mapped any hotkeys, so using the right trading buttons in the right way is important and still a gap for me. 2. Scaling the charts the right way is somethin

My Day Trading Journey ep4 - First Steps

There are skills we each pick up during various times in our lives. When I started high school I was one of the very rare kids around me that had not yet learned to ice skate. It was in Kingston, Ontario, so you can imagine how rare this would be. My dad rented a back-hoe and dug out and area in the yard and filled it with water. When I first put on my skates, my ankles couldn't keep them upright and in my wobbly wa y I tried to figure out how to bend and push to get my skates to propel me forward. I did eventually figure it out of course, but it was initially hard work.  I opened a paper trading account with TD Ameritrade, using their 'thinkorswim' platform. Apparently, without money in an account I get 2 months. Disappointing, but I have to start somewhere, and I'm not about to throw money away learning. I'll take the virtual trading while I can, thank you! I've been approaching it in baby steps. It's still all quite foreign to me. The interface i

My Day Trading Journey ep3 - My Resources

My girlfriend of fifteen years has an unwavering confidence in my ability to do whatever I put my mind to. I think it borders on the delusional, but we can just call it a difference of opinion. However, one thing she does get at least partially right in the implication: I don't jump into anything by half-measures, and that extends to the resources that I draw on to better enable me to soak in the information I feel required. When I got into chess I bought a dozen books. When I got into the religious debates... Let's just say I have over a hundred books, shall we? Probably closer to two hundred if you count the Kindle books purchased. And so it is with trading. As I went over in an earlier post, my plan is to get my learning in before doing any trading. A key for me is to not jump the gun, but be patient enough to read the books and watch the videos to better leverage myself against the challenge of trading. I won't go through all my resources, only the ones I think impo

My Day Trading Journey ep2 - Hopes and Expectations

I spent my Junior High days (grades 8 & 9) in a school in Halifax, Nova Scotia. One of the tracts we could take was Social Studies, which involved History, Geography, and Civics. For some reason I really enjoyed them and at the end of the year there was an award presented with the person with the highest scores in the three classes. I won it easily in my first year. In my second year I was far in the lead, but for some reason there was a final project I needed to do and just couldn't motivate myself to do it. The teacher supervising Social Studies went so far as to call my parents and I into school to talk about it. He explained that all I needed to do was pass something in and I'd lock in the award again, but for some reason I never did. When school awards were being announced, the Social Studies teacher announced in front of the assembly that there was a big surprise on who won the award, and proceeded to call out another students name. I was crushed. I should have expe

My Day Trading Journey ep1 - The Preliminary Plans of an Ignorant Fool

I remember a day in college where I accompanied my dad on some errand that resulted in us going into the off-hours floor of a local accounting firm. I was interested in possibly getting into accounting and saw a room crowded with desks, saying to him that it seemed they were full of people and couldn't use another. He told me that's not what he saw at all. He said when he looked around he saw a room so in need of people that they could hardly fit the desks in. I saw a business filled up and not needing anybody else. My dad saw it as proof they did. This stuck with me all these years. Perspective. Something my dad would often say was "You can't kid a kidder". I guess that was his way of saying 'Stop fooling yourself because you're not fooling me'. Search within yourself and when you get into something, do it with purpose, not a whim. This I've carried with me all my life. I have a wide assortment of interests, but in all of them I am obsessive. It