Cham,As you said:"Digressing further twelve stocks may have been...

  1. 8,606 Posts.
    Cham,

    As you said:

    "Digressing further twelve stocks may have been given to you via a scan , when exactly do you enter the trade and when does one exit ??????. Which trade provides a good risk reward ?????? Many traders will try and look for the perfect indicator. There is simply no perfect set of indicators. Knowing how to disseminate the information provided and how to act upon it raises further questions".

    Exactly.
    That is where having a set of variables comes into deciding:
    when exactly do you enter the trade and when does one exit ??????. Which trade provides a good risk reward ????"
    You make your own set of variables to suit your investment strategy...some might set up variables based on high volatility stocks, some on low, some may choose to only trade the ones who have had price sensitive info that day, some may choose to only look at coys who offer dividende.

    So basically, when you get those 12 shares you referred to, you then cut them down to two or three based on the secondary criteria and hopefully one opf them is a comfortable trade for your personal risk threshold.
    This as good an "analysis" as it gets and only by having the ability to change the parmaters you put into the scan and analysis modes do you have control and responsibility.

    If the system just spat out a number of shares to buy and sell, it would be a black box and you'd never knopw where you went wrong nor how to improve your trading.

    So essentially, the key is knowing the difference between naff and useful criteria to set, which dose or doesn't compliment your own strategy/risk threshold.

    Anyone who says they have a thing that picks wins when you press a button is a liar or doesn't understand the analysis process.

    Cheers

    Lautrec

    PS: i will offer tutorials for $300 per hour lol

 
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