Sean -
Hopefully your SARO candle today closes within the price of the previous candle and you have a good day tomorrow.
BigSandy is right about the patience - for a TA trade, the best time to buy was at the end of the day on Friday (or bright and early if it opens up and moves up), I think I posted that. (Also, I'll try to be much more clear in my posts, as for the just for grins post when I entered an order later, I put it so low I didn't expect it to fill, and when it wasn't approved, I had no inclination to get it approved, as I had no "plan" to trade it). If you are going on speculation, then of course, a different day, like the following in the morning is ok.
There will be many opportunities, you want to combine whatever speculative and fundamental skills you pick up with at least a little TA for your gameplan, or your TA skills with a little speculative fundamental skills.
Also remember - one of the few things I can say with certainty - you will make bad trades and good. Money management is something that a lot - including myself - tend to learn last, as the thoughts of big money make you ignore it. The way these stocks trade, you can trade them with $200 or even less (as long as you can cover commissions) in some cases until you get a feel for things. You can even paper trade on an account.
Go to investopedia.com and set up a paper trading account.
Here's a little warning about paper trading though - you don't get the same emotional response since there is no money involved, but you can learn to play the trading game for free. If you can keep your emotions in check as you trade for real, then its a great tool.
For me, I have to put a little money into something to actually get educated on it. I find the emotional aspect a little low (personally) in paper trading, and since I'm actively trading, I spend more time managing my trades, so I can't keep up with paper trading. So while I'm learning to do option trades which are psychotically more complex, I won't even consider going in with $500, and prefer to keep the trades between $150-300. (of course, I too will break my rules too, haha)
Patience is tough I know - I actually rolled over (bought another) my option contract on a bad candle yesterday full knowing it was a risky (bad) decision - I was tired from being up all night - and I've noticed that I have a pattern to do that. So a new personal rule is to not buy anything if I"ve been up all night. Luckily, I only played with a portion of my profit from the previous day (money management), but still it hurts... I'm down 25% on that trade, so that's part of yesterday's profits down the tubes.
Patience, plan, keep note of what makes your trades good and bad - and pay attention to your emotions as well as all the TA/fundamentals you put into a trade. The goal is to be in the right direction close to 50% of the time, but let the gains be a little higher than the loses.
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Originally Posted by ShotsII
