DOCSLIB.ORG

Day Trading the Currency Market, Kathy Lien Provides Traders with Unique, Change Market Has Evolved Over the Last Few Years and Taries, and Trading Strategies

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Day Trading the Currency Market, Kathy Lien Provides Traders with Unique, Change Market Has Evolved Over the Last Few Years and Taries, and Trading Strategies $70.00 USA/$77.00 CAN (continued from front flap) SECOND EDITION goes far beyond what other currency trading books DAY TRADING & SWING TRADING the CURRENCY MARKET LIEN cover. It delves into consistently critical questions such as “What Are the Most Market-Moving Indicators for the Praise for the First Edition MARKET TRADING the CURRENCY TRADING & SWING DAY SECOND EDITION n only a few short years, the currency/foreign ex- U.S. Dollar” and “What Are Currency Correlations and “I thought this was one of the best books that I had read on FX. The book should change (FX) market has grown signifi cantly. With How to Use Them,” while touching on topics like “How be required reading not only for traders new to the foreign exchange markets, to Trade like a Hedge Fund Manager” and “The Impact institutions and individuals driving daily average Technical and Fundamental Strategies to Profit from Market Moves Market from Profit to Strategies and Fundamental Technical I but also for seasoned professionals. I’ll defi nitely be keeping it on my desk for volume past the $3 trillion mark, there are many profi t- of Seasonality in the Currency Market” that could give reference. The book is very readable and very educational. In fact, I wish that able opportunities available in this arena—but only if you a distinct edge in this competitive arena. Kathy’s book had been around when I had fi rst started out in FX. It would have ;8PKI8;@E> you understand how to operate within it. Filled with proven trading strategies as well as detailed saved me from a lot of heartache from reading duller books, and would have statistical analysis, the Second Edition of Day Trad- saved me a lot of time from having to learn things the hard way. I look forward to That’s why Kathy Lien—Director of Currency Re- ing and Swing Trading the Currency Market will help reading other books from her in the future.” search for one of the most popular Forex providers in you achieve unparalleled success in the most actively —Farooq Muzammal, Head of Foreign Exchange, MAREX Capital the world—has created Day Trading and Swing Trad- traded market in the world. JN@E>KI8;@E> ing the Currency Market, Second Edition. Written for “Kathy’s book is an indispensable tool for Forex traders, whether you are a pro- both the experienced and aspiring trader, this updated KATHY LIEN is the Director of fessional or novice. It not only lays the groundwork for an in-depth understanding guide outlines the essential elements of the FX market Currency Research at Global Forex of Forex trading, it also contains numerous fundamental and technical strategies and reveals the latest trends, data, and strategies that Trading, Division of Global Futures . I suspect that many traders will be keeping Kathy’s book within arm’s reach k_\:LII<E:P all traders, particularly day and swing traders, need to & Forex, Ltd. She is responsible for for many years to come.” be aware of in order to excel in this fast-moving fi eld. providing research and analysis, in- —Eddie Kwong, Executive VP/Editor in Chief, Tradingmarkets.com cluding technical and fundamental After an engaging introduction to how the foreign ex- research reports, market commen- “In Day Trading the Currency Market, Kathy Lien provides traders with unique, change market has evolved over the last few years and taries, and trading strategies. Prior thoughtful, and profi table insight on trading this exciting market. This book D8IB<K a look at some of its historical milestones, this book to joining GFT, Lien was the chief strategist of DailyFX. should be required reading for all traders, whether they are novices to Forex or :fdgc\k\cp quickly moves on to address the innovative trading experienced professionals.” com and an associate at JPMorgan Chase, where I\m`j\[ insights that will enhance your profi tability within she worked in cross-markets and foreign exchange —Cory Janssen, cofounder, Investopedia.com today’s FX market. Page by page, you’ll become trading. She has vast experience within the interbank Lg[Xk\[ familiar with: market using both technical and fundamental analysis “There are aspects to trading currencies that are different from trading equities, to trade FX spot and options. She also has experience options, or futures. In this book, Kathy Lien provides deep insight into all the • New technical trading strategies, which include how trading a number of products outside of FX, includ- mechanisms that take place in the currency markets. Any currency trader will to trade news, effectively time market turns, and ing interest rate derivatives, bonds, equities, and fu- gain more confi dence in their trading after reading this book.” capture new shifts in momentum tures. Lien has written for Active Trader, Futures, and —Jayanthi Gopalakrishnan, Editor, • Proven fundamental trading strategies, which involve SFO magazines and is frequently quoted on CNBC, Technical Analysis of Stocks & Commodities trading off commodity prices, fi xed income instru- Bloomberg, Fox Business, and Reuters. She is also ments, and option volatilities; as well as intervention- the author of the fi rst edition of Day Trading the Cur- “Kathy has done a brilliant job with this book. She speaks directly to traders based trades and macro event-driven trades rency Market as well as Millionaire Traders, both of and gives them guidance to improve their performance as Forex traders. I took • The unique characteristics of each major currency which are published by Wiley. some notes and ideas from the book myself that are going to be very useful for pair—from when they are most active to what drives my business.” their price action Jacket Design: Loretta Leiva —Francesc Riverola, CEO and founder, FXstreet.com • Trading through different market conditions, by fi rst Jacket Photograph: © Getty Images profi ling a trading environment and then applying K\Z_e`ZXcXe[=le[Xd\ekXcJkiXk\^`\j specifi c indicators for that environment • And much more kfGif]`k]ifdDXib\kDfm\j Both informative and accessible, the Second Edition of B8K?PC@<E Day Trading and Swing Trading the Currency Market Director of Currency Research at GFT (continued on back flap) EAN: 9780470377369 ISBN 978-0-470-37736-9 P1: JYS fm JWBK299-Lein September 23, 2008 9:43 Printer: Yet to come ii P1: JYS fm JWBK299-Lein September 23, 2008 9:43 Printer: Yet to come Day Trading and Swing Trading the Currency Market i P1: JYS fm JWBK299-Lein September 23, 2008 9:43 Printer: Yet to come Founded in 1807, John Wiley & Sons is the oldest independent publish- ing company in the United States. With offices in North America, Europe, Australia and Asia, Wiley is globally committed to developing and market- ing print and electronic products and services for our customers’ profes- sional and personal knowledge and understanding. The Wiley Trading series features books by traders who have survived the market’s ever changing temperament and have prospered—some by reinventing systems, others by getting back to basics. Whether a novice trader, professional or somewhere in-between, these books will provide the advice and strategies needed to prosper today and well into the future. For a list of available titles, visit our Web site at www.WileyFinance.com. ii P1: JYS fm JWBK299-Lein September 23, 2008 9:43 Printer: Yet to come Day Trading and Swing Trading the Currency Market Second Edition Technical and Fundamental Strategies to Profit from Market Moves KATHY LIEN Director of Currency Research, GFT John Wiley & Sons, Inc. iii P1: JYS fm JWBK299-Lein September 23, 2008 9:43 Printer: Yet to come Copyright C 2009 by Kathy Lien. All rights reserved. Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 646-8600, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, or online at http://www.wiley.com/go/permissions. Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages. For general information on our other products and services or for technical support, please contact our Customer Care Department within the United States at (800) 762-2974, outside the United States at (317) 572-3993 or fax (317) 572-4002. Wiley also publishes its books in a variety of electronic formats. Some content that appears in print may not be available in electronic books.
Load more

Recommended publications
  • Day Trading by Investor Categories
    UC Davis UC Davis Previously Published Works Title The cross-section of speculator skill: Evidence from day trading Permalink https://escholarship.org/uc/item/7k75v0qx Journal Journal of Financial Markets, 18(1) ISSN 1386-4181 Authors Barber, BM Lee, YT Liu, YJ et al. Publication Date 2014-03-01 DOI 10.1016/j.finmar.2013.05.006 Peer reviewed eScholarship.org Powered by the California Digital Library University of California The Cross-Section of Speculator Skill: Evidence from Day Trading Brad M. Barber Graduate School of Management University of California, Davis Yi-Tsung Lee Guanghua School of Management Peking University Yu-Jane Liu Guanghua School of Management Peking University Terrance Odean Haas School of Business University of California, Berkeley April 2013 _________________________________ We are grateful to the Taiwan Stock Exchange for providing the data used in this study. Barber appreciates the National Science Council of Taiwan for underwriting a visit to Taipei, where Timothy Lin (Yuanta Core Pacific Securities) and Keh Hsiao Lin (Taiwan Securities) organized excellent overviews of their trading operations. We have benefited from the comments of seminar participants at Oregon, Utah, Virginia, Santa Clara, Texas, Texas A&M, Washington University, Peking University, and HKUST. The Cross-Section of Speculator Skill: Evidence from Day Trading Abstract We document economically large cross-sectional differences in the before- and after-fee returns earned by speculative traders. We establish this result by focusing on day traders in Taiwan from 1992 to 2006. We argue that these traders are almost certainly speculative traders given their short holding period. We sort day traders based on their returns in year y and analyze their subsequent day trading performance in year y+1; the 500 top-ranked day traders go on to earn daily before-fee (after-fee) returns of 61.3 (37.9) basis points (bps) per day; bottom-ranked day traders go on to earn daily before-fee (after-fee) returns of -11.5 (-28.9) bps per day.
    [Show full text]
  • Can Pairs Trading Act Like Arbitrage to Enforce the Law of One Price?
    This thesis is presented for the degree of Doctor of Philosophy of The University of Western Australia Can pairs trading act like arbitrage to enforce the law of one price? Keith R L Godfrey BE(Hons) MFinMath December 2012 Financial Studies Business School The University of Western Australia Abstract This thesis confirms empirically that a pairs trading strategy can act to enforce a market price ratio between two closely-related securities, thereby behaving like arbitrage enforcing the law of one price. Any empirical study of arbitrage and pairs trading is difficult because security exchanges report trades anonymously. Trades in two securities cannot be identified as originating from the same trader, nor can the entry and exit trades of a strategy be matched. Much of this thesis is spent designing a methodology for detecting pairs trading through statistical techniques and testing its accuracy in situations where pairs trading can be anticipated. The approach works pleasingly despite being imprecise. It can isolate closely-related pairs in pseudo-random sets of similarly-traded pairs and locate fundamentally similar pairs among large sets formed by pairing index constituents. It can even detect pairs involved in merger arbitrage many months ahead of company mergers. The evidence then shows pairs trading in the twin depositary receipts of BHP Billiton (the world’s largest mining conglomerate with dual-listed company structure) act to push the prices apart when the difference falls below a recent measure, instead of reinforcing their trend towards equality. The detected pairs trades enforce the price difference: reducing it when it becomes too large and increasing it when too small.
    [Show full text]
  • Pairs Trading the Commodity Futures Curve
    1-0 FACULTY OF ECONOMICS AND BUSINESS ADMINISTRATION ANTTI NIKKANEN PAIRS TRADING THE COMMODITY FUTURES CURVE Master’s thesis Finance Department August 2012 1-1 UNIVERSITY OF OULU ABSTRACT OF THE MASTER'S THESIS Oulu Business School Unit Finance Author Supervisor Antti Nikkanen Hannu Kahra Title Pairs trading the commodity futures curve Subject Type of the degree Time of publication Number of pages Finance M.Sc October 2012 64 Abstract I create a pairs trade on the commodity futures curve, which captures the roll returns of commodity futures and minimizes the standard deviation of the returns. The end results is a strategy that has an annualized arithmetic return of 6,04% and an annualized standard deviation of 2,01%. Transaction costs and liquidity are also accounted for. The goal was to create and backtest a trading strategy that tries to capture the roll return component of commodity futures returns. In order to reduce the very high spot price volatility of commodity returns a market neutral systematic arbitrage was introduced through a pairs trade. The pairs trade involves taking a counter position relative to the position that is designed to capture the roll return, with as small of a negative expected return as possible. In practice capturing the roll return component means taking a long position into the largest dollar difference of a backwarded futures curve. And the pairs trade component is then a short position into the same curve, but with the smallest dollar difference. If the commodity futures curve was in contango, the procedure was reverts. It can be concluded, that both of the targets of this research were reach; capturing the roll returns of the commodity futures and minimizing volatility through a statistical arbitrage pairs trade.
    [Show full text]
  • Is Day Trading Better Than Long Term
    Is Day Trading Better Than Long Term autocratically,If venerating or how awaited danged Nelsen is Teodoor? usually contradictsPrevious Thedric his impact scampers calipers or viscerallyequipoised or somereinforces charity sonorously bushily, however and andanemometric reregister Dunstan fecklessly. hires judicially or overraking. Discontent Gabriello heist that garotters Russianizes elatedly The rule is needed to completely does it requires nothing would you in this strategy is speculating like in turn a term is day trading better than long time of systems Money lessons, lesson plans, worksheets, interactive lessons, and informative articles. Day trading is unusual in further key ways. This username is already registered. If any continue commercial use this site, you lay to our issue of cookies. Trying to conventional the market movements in short term requires careful analysis of market sentiment and psychology of other traders. There is a loan to use here you need to identify gaps and trading better understanding the general. The shorter the time recover, the higher the risk that filth could lose money feeling an investment. Once again or username is the company and it causes a decision to keep you can be combined with their preferred for these assets within the term is trading day! Day trading success also requires an advanced understanding of technical trading and charting. After the market while daytrading strategies and what are certain percentage of dynamics of greater than day trading long is term! As you plant know, day trading involves those trades that are completed in a temporary day. From then on, and day trader must depend entirely on who own shift and efforts to generate enough profit to dare the bills and mercy a decent lifestyle.
    [Show full text]
  • PAIR TRADING STRATEGY in INDIAN CAPITAL MARKET: a COINTEGRATION APPROACH Prof
    International Journal of Accounting and Financial Management Vol.1, Issue.1 (2011) 10-37 © TJPRC Pvt. Ltd., PAIR TRADING STRATEGY IN INDIAN CAPITAL MARKET: A COINTEGRATION APPROACH Prof. Anirban Ghatak, Asst. Professor, Christ University Institute of Management, Bangalore Email I.D : [email protected] Ph No: +91 80 40109816 (Office) Mob No : +91 9886555253 ABSTRACT Pairs trading methodology was designed by a team of scientists from different areas to use statistical methods to develop computer based trading platforms, where the human subjectivity had no influence whatsoever in the process of making the decision of buy or sell a particular stock. Such systems were quite successful for a period of time, but the performance wasn’t consistent after a while. The objective of this study was to analyze the univariate and multivariate versions of the classical pairs trading strategy. Such framework is carefully exposed and tested for the Indian financial market by applying the trading algorithm over the researched data. The performance of the method regarding return and risk was assessed with the execution of the trading rules to daily observations of 26 assets of the Indian financial market using a database from the period of 2008 to 2010. The research shows that the return from the pair trading strategy is much higher than the return from naïve investment. Key Words: Pairs Trading, Multivariate, Bivariate, Hedgers INTRODUCTION The market efficiency theory has been tested by different types of research. Such concept assumes, on its weak form, that the past trading information of a 10 Anirban Ghatak, stock is reflected on its value, meaning that historical trading data has no potential for predicting future behavior of asset’s prices.
    [Show full text]
  • Swing Trading Strategies
    https://stock-screener.org Disclaimer The information provided is not to be considered as a recommendation to buy certain stocks and is provided solely as an information resource to help traders make their own decisions. Past performance is no guarantee of future success. It is important to note that no system or methodology has ever been developed that can guarantee profits or ensure freedom from losses. No representation or implication is being made that using this eBook will provide information that guarantees profits or ensures freedom from losses. Copyright © 2009-2019. All rights reserved. No part of this book may be reproduced or transmitted in any form or by any means, electronic or mechanical, without written prior permission from the author. What is swing trading? Swing trading is a short term trading method used for trading a variety of investments, such as stocks, bonds, commodities, options, and currencies. Unlike day trading where positions typically last only one day, swing trading positions usually range from two to five days, but can last as long as two or three weeks. Swing traders use technical analysis and disregard fundamental analysis. They aren’t interested in the intrinsic value of stocks, but rather they look for stocks with short-term momentum that can allow them to capture gains in just a few days. Introducing Technical Analysis Technical analysis is the study of past market data, through the use of charts, to predict a security’s future price. Unlike fundamental analysis, technical analysis does not focus on studying a company’s financial statements and earnings to determine a company’s intrinsic value, or its actual worth.
    [Show full text]
  • Statistical Arbitrage: a Study in Turkish Equity Market
    View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by Istanbul Bilgi University Library Open Access STATISTICAL ARBITRAGE: A STUDY IN TURKISH EQUITY MARKET ÖZKAN ÖZKAYNAK 103622017 ISTANBUL BILGI UNIVERSITY INSTITUTE OF SOCIAL SCIENCES MASTER OF SCIENCE IN ECONOMICS UNDER SUPERVISION OF DOÇ. DR. EGE YAZGAN 2007 STATISTICAL ARBITRAGE: A STUDY IN TURKISH EQUITY MARKET İstatistiksel Arbitraj: Türk Hisse Senedi Piyasasında Bir Çalışma ÖZKAN ÖZKAYNAK 103622017 Doç. Dr. Ege Yazgan : …………………………………….. Prof. Dr. Burak Saltoğlu : …………………………………….. Yrd. Doç. Dr. Koray Akay : …………………………………….. Tezin Onaylandığı Tarih : …………………………………….. Toplam Sayfa Sayısı : 55 Anahtar Kelimeler: Keywords: 1) İstatistiksel Arbitraj Statistical Arbitrage 2) İkili Alım-Satım Pairs Trading 3) Kantitatif Portföy Quantitative Portfolio 4) Nötr Piyasa Portföyü Market Neutral Portfolio 5) Kointegrasyon Cointegration 2 ABSTRACT Statistical Arbitrage is an attempt to profit from pricing inefficiencies that are identified through the use of mathematical models. One technique is Pairs Trading, which is a non-directional strategy that identifies two stocks with similar characteristics whose price relationship is outside of its historical range. The strategy simply buys one instrument and sells the other in hopes that relationship moves back toward normal. The idea is the price relationship between two related instruments tends to fluctuate around its average in the short term, while remaining stable over the long term. From the academic view of weak market efficiency theory, pairs trading shouldn't work since the actual price of a stock reflects its past trading data, including historical prices. This leaves us the question: Does a statistical arbitrage strategy, pairs trading, work for the Turkish stock market? The main objective of this research is to verify the performance and risks of pairs trading in the Turkish equity market.
    [Show full text]
  • The Right Trading Strategy for 2017 and Beyond
    1 THE RIGHT TRADING STRATEGY FOR 2017 AND BEYOND 2 Risk Disclosure • We Are Not Financial Advisors or a Broker/Dealer: Neither TheoTrade® nor any of its officers, employees, representaves, agents, or independent contractors are, in such capaciAes, licensed financial advisors, registered investment advisers, or registered broker-dealers. TheoTrade ® does not provide investment or financial advice or make investment recommendaons, nor is it in the business of transacAng trades, nor does it direct client commodity accounts or give commodity trading advice tailored to any parAcular client’s situaon. Nothing contained in this communicaon consAtutes a solicitaon, recommendaon, promoAon, endorsement, or offer by TheoTrade ® of any parAcular security, transacAon, or investment. • SecuriAes Used as Examples: The security used in this example is used for illustrave purposes only. TheoTrade ® is not recommending that you buy or sell this security. Past performance shown in examples may not be indicave of future performance. • Return on Investment “ROI” Examples: The security used in this example is for illustrave purposes only. The calculaon used to determine the return on investment “ROI” does not include the number of trades, commissions, or any other factors used to determine ROI. The ROI calculaon measures the profitability of investment and, as such, there are alternate methods to calculate/express it. All informaon provided are for educaonal purposes only and does not imply, express, or guarantee future returns. Past performance shown in examples may not be indicave of future performance. • InvesAng Risk: Trading securiAes can involve high risk and the loss of any funds invested. Investment informaon provided may not be appropriate for all investors and is provided without respect to individual investor financial sophisAcaon, financial situaon, invesAng Ame horizon, or risk tolerance.
    [Show full text]
  • The Perception of Time, Risk and Return During Periods of Speculation
    0 The Perception of Time, Risk And Return During Periods Of Speculation Emanuel Derman Goldman, Sachs & Co. January 10, 2002 The goal of trading ... was to dart in and out of the electronic marketplace, making a series of small profits. Buy at 50 sell at 50 1/8. Buy at 50 1/8, sell at 50 1/4. And so on. “My time frame in trading can be anything from ten seconds to half a day. Usually, it’s in the five-to-twenty-five minute range.” By early 1999 ... day trading accounted for about 15% of the total trading volume on the Nasdaq. John Cassidy on day-traders, in “Striking it Rich.” The New Yorker, Jan. 14, 2002. The Perception of Time, Risk And Return During Periods Of Speculation 1 Summary What return should you expect when you take on a given amount of risk? How should that return depend upon other people’s behavior? What principles can you use to answer these questions? In this paper, we approach these topics by exploring the con- sequences of two simple hypotheses about risk. The first is a common-sense invariance principle: assets with the same perceived risk must have the same expected return. It leads directly to the well-known Sharpe ratio and the classic risk-return relationships of Arbitrage Pricing Theory and the Capital Asset Pricing Model. The second hypothesis concerns the perception of time. We conjecture that in times of speculative excitement, short-term investors may instinctively imagine stock prices to be evolving in a time measure different from that of calendar time.
    [Show full text]
  • Trading Cost of Asset Pricing Anomalies
    Trading Costs of Asset Pricing Anomalies ∗ ANDREA FRAZZINI, RONEN ISRAEL, AND TOBIAS J. MOSKOWITZ First draft: October 23, 2012 This draft: September 9, 2015 Abstract Using over a trillion dollars of live trading data from a large institutional money manager across 21 developed equity markets over a 16-year period, we measure the real-world transactions costs and price impact function facing an arbitrageur and apply them to trading strategies based on empirical asset pricing anomalies. We find that actual trading costs are an order of magnitude smaller than previous studies suggest. In addition, we show that small portfolio changes to reduce transactions costs can increase the net returns and break-even capacities of these strategies substantially, with little tracking error. Use of live trading data from a real arbitrageur and portfolios designed to address trading costs give a vastly different portrayal of implementation costs than previous studies suggest. We conclude that the main capital market anomalies – size, value, and momentum – are robust, implementable, and sizeable in the face of transactions costs. ∗Andrea Frazzini is at AQR Capital Management, e-mail: [email protected]. Ronen Israel is at AQR Capital Management, e-mail: [email protected]. Tobias Moskowitz is at the Booth School of Business, University of Chicago, NBER, and AQR Capital Management, email: [email protected]. We thank Cliff Asness, Malcolm Baker, John Campbell, Josh Coval, Darrell Duffie, Eugene Fama, John Heaton, Bryan Kelly, John Liew, Gregor Matvos, Michael Mendelson, Hitesh Mitthal, Stefan Nagel, Lasse Pedersen, Amit Seru, Amir Sufi, Richard Thaler, Annette Vissing-Jorgensen, Brian Weller, and seminar participants at the University of Chicago, Harvard Business School, Stanford University, and University of California Berkeley for helpful comments.
    [Show full text]
  • D Day Trading Be Any Different?
    www.rasabourse.com How to Day Trade for a Living A Beginner’s Guide to Tools and Tactics, Money Management, Discipline and Trading Psychology © Andrew Aziz, Ph.D. Day Trader at Bear Bull Traders www.bearbulltraders.com www.rasabourse.com DISCLAIMER: The author and www.BearBullTraders.com (“the Company”), including its employees, contractors, shareholders and affiliates, is NOT an investment advisory service, a registered investment advisor or a broker-dealer and does not undertake to advise clients on which securities they should buy or sell for themselves. It must be understood that a very high degree of risk is involved in trading securities. The Company, the authors, the publisher and the affiliates of the Company assume no responsibility or liability for trading and investment results. Statements on the Company's website and in its publications are made as of the date stated and are subject to change without notice. It should not be assumed that the methods, techniques or indicators presented in these products will be profitable nor that they will not result in losses. In addition, the indicators, strategies, rules and all other features of the Company's products (collectively, “the Information”) are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented are for educational purposes only. Accordingly, readers should not rely solely on the Information in making any trades or investments. Rather, they should use the Information only as a starting point for doing additional independent research in order to allow them to form their own opinions regarding trading and investments.
    [Show full text]
  • CUSTOM STRATEGIES BUILT by TRADE IDEAS PROFESSIONALS 2 Trade Ideas | the Setup Preface
    1 Trade Ideas | The Setup Table of Contents SOLID SWING TRADING CONCEPTS CUSTOM STRATEGIES BUILT BY TRADE IDEAS PROFESSIONALS 2 Trade Ideas | The Setup Preface There are many books written on short selling and I’m pretty sure none of them have a chapter dedicated to shorting super strong stocks at all-time highs or even new 52 week highs in some cases. 3 Trade Ideas | The Setup Table of Contents CHAPTER 01 THE ‘A‘ TABLE / pg. 5 by Steve Gomez CHAPTER 02 MY FOUR RULES FOR SWING TRADING / pg. 15 by Barrie Einarson 4 Trade Ideas | The Setup Introduction INTRODUCTION Trading markets is an art not a science. If it was a science everyone would be following the “rules.” Since trading methods are subjective in each approach to the market, there really is no one correct way to approach trading for success. You have to find a niche that works best for you, your tolerances, strengths and weaknesses. Swing trading is a multi- day time frame of trading that is becoming more popular as it does not require constant monitoring of your positions like day trading. People can afford to work or even have side hustles while still managing a swing trading account. For this reason, we have decided to make the concepts of our latest Trade Ideas eBooks focused on our favorite swing trading setups here at Trade Ideas. Steve, Andy, Sean, Jamie, Michael and Barrie have each dedicated a chapter in this series of eBooks to spell out their favorite swing trading setup and why. We hope you enjoy this diverse approach to sharing some specific ideas and methods for swing trading time frames.
    [Show full text]