miketranz
961 posts
msg #101262
- Ignore miketranz |
6/15/2011 10:01:05 PM
I had a conversation with a friend of mine today that lost over $1,000,000 in the stock market,true story.The first question I asked him was "how did you do that"? His answer,by "predicting".The next question I asked him was "how much downside risk were you taking"? He answered,"all the way down to 0".The moral of the story is,if you're trying to "predict market direction" with 100% maximum draw down,you will lose not some,but all your money in the market.....
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novacane32000
331 posts
msg #101268
- Ignore novacane32000 |
6/16/2011 2:23:24 PM
You can be right 9/10 but still lose it all w/ a 100% risk.
Now you can use your entire account on a trade but only "risk" 2% of it by utilizing a stop loss barring a gap in your position.
How do you make a million $$ in the stock market?.... Start w/ 2 million $$. baraboom!!
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marine2
963 posts
msg #101269
- Ignore marine2 |
6/16/2011 9:11:47 PM
If your betting that much in the market always give yourself a stop loss indicator that triggers your investment(s) to sell if they hit it. Better be safe than sorry. That old saying is, sell when it hits -8% makes a lot of sense.
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miketranz
961 posts
msg #101271
- Ignore miketranz |
6/16/2011 10:33:00 PM
His ego got in the way....
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optionplayer333
801 posts
msg #101285
- Ignore optionplayer333 |
6/18/2011 8:23:09 AM
very easy to make a million dollars with little risk if you trade the spy weekly options> use the follow 1.option calculator( it is extremely bullish after being bearish 16 days in a row) 2.rsi-2(weeakly rsi-2 at 1.0% on spy and qld) 3. current pain(128) 4. buy sell volume bars on advfn.com(volume last 2 days +24 million shares to the buyside) 5. use the qid qld-sso-sds pairs to time the market. 6. atr contraction and expansion of the spy>>>>- like right now they point 100% to a major reversal up> the action the last 6 weeks very much like the action we saw at the same time last year before the big run up from 101 on the spy to 135> can show you how to scalp the spy for a >50% gain every single day of the week on the <10% of your money you are risking on each trade> last 8 weeks 55 trades 54 winners with average gain if 188%
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