About Day Trading: Review of Sell and Sell Short
| from Adam Milton As the recent market conditions (read as crash) have shown, knowing when and how to sell (both as an exit, and as an entry) is an important part of trading. Therefore, this week's day trading newsletter offers a variety of information related to selling. This week's newsletter includes: - my review of Sell and Sell Short (the most recent book from Alexander Elder), - a discussion about whether professional traders use moving averages (and an example of a nice moving average based short trade), - the definition of a market crash, and the type of trading that causes a market crash (hint: it's not the short trading), - and the weekly economic calendar with volatility expectations. Good trading everyone :-) |
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In the Spotlight |
Review of Sell and Sell Short Sell and Sell Short is the most recent trading book from Alexander Elder. As you can imagine from the title, the book is about selling, both as an exit from a long trade, and as an entry to a short trade. However, as all trades require both a buying transaction and a selling transaction (i.e. an entry and an exit), Sell and Sell Short includes information about buying, and a variety of general trading information as well ... read the full review | | Do Professional Traders Use Moving Averages? This seems like a silly question with an obvious answer, but in reality there is quite a difference of opinion about this. So much so, that I occasionally receive emails informing me that "moving averages are only used by amateur traders", and asking me to "provide a trading system that does not use moving averages". The idea that moving averages are not used by professional traders is ludicrous, but in the hope of dispelling the myth, I will discuss it anyway ... find out if professional traders use moving averages | Definition of a Market Crash A market crash is when a market (or group of markets such as the stock indicies) makes a larger than normal, and quicker than normal, move downwards, as a result of uncontrolled selling (or panic selling). It is commonly believed that any significant move downwards is a crash, but this is incorrect. The uncontrolled selling must be present in order for the move downwards to be a market crash ... read the full definition of a market crash | Sponsored Links | | | Boo! | | Have a Spooktacular Halloween Find easy ways to make your Halloween unforgettable -- thrilling DIY decorations, frighteningly delicious recipes, and budget-savvy costume ideas for every age.
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