How do you trade and what do you trade?

Thursday, January 16, 2014 , Posted by Ryanita at 5:59 PM

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Q. OK, please say at least your prefered method...:

For example:

1. Do you use some technical analysis models, such as moving average...etc?
2. Fundamental analysis such as reading the news 24/7?
3. Software like neural networks?
4. Mathematical models such as Heston, CAPM etc...

Also, what do you trade and why? For example: forex, stocks, cfd, indexes?

Thanks alot!


Answer
I NORMALLY USE EITHER A CRYSTAL BALL OR THE DICE an my track record is pretty good ha lol just joking i use technical analysis such has ratios balance sheets, cash flow statements an i look around and see if this companys are building new stores factories in this time of recession such has lowes, home depo, banck of america you get the point technical analisys works great when your looking at the past but it won't show you the future

Where would you start if you wanted to trade securities or commodities from home?




peter


Just looking for some advice maybe a website or a book on how to start out trading from home. I am in college I can spend 40 to 60 hours a week learning or trading and I can afford to invest a little more than 100 dollars a week to start. Is it possible to make decent money doing this? By decent I mean maybe 1000-1500 a month eventually. I have had an investopedia account before but something more in depth that teaches you strategy


Answer
Before putting any money at risk, I'd suggest paper trading using a simulator from either Interactive Brokers or TD Ameritrade. Both have pretty decent platforms and TDA's even lets you reply parts of the day (but not tick by tick).

Deposit just enough real money to open the account and then paper trade until you're profitable (which could take quite a few months or even years, depending on how dedicated you are). Then scale in your equity over time, rather than going "all-in" at once; Live executions are always different than simulated ones and you'll need time to get the feel for it.

In terms of where to gain knowledge, try visiting the Elite Trader, Trading Blox, Traders Laboratory, Forex Factory and BabyPips forums.

If your interested in Algorithmic Trading, take a peek at my journal/blog below. I was a videogame programmer for about 20 years, then retired to become a full time algo trader. I discuss my systems and techniques there.

Good Luck!




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