|
The contents on this page are a small sample of StockTradersHQ's member resources (FREE Trial!)
1.
Our staff of professional technical traders analyze 1,000's of potential stocks every day to provide you with a list of stock picks with the greatest potential for explosive gains.
2. These stockpicks are traded with our real-time portfolio. Email alerts are sent for every entry and exit. Through the member-only website, you will have our support every step of the way.
3. Our subscription service provides all the resources, stock picks and tools an investor needs to make very profitable, consistent trades while maximizing gains and minimizing losses.
SEE OUR TOP PICKS FOR 2006...
|
|
Wednesday, August 10, 2005
Market Recap
The market started off with a nice rally this morning. Right out of the gate, the DOW was up 95 points early, even as oil prices were up almost $2.00 again. Oil reached another record high today closing at just a shade under $65.00 a barrel. Whether it was high oil prices or some other factors, stocks could not sustain those early morning gains and this afternoon, stocks plummeted. The DOW was down 45 points at one point after being up 95. An amazing 140 point swing in the DOW, before things finally settled at the close with the DOW down 21 points. The NASDAQ got pummeled today as well, dropping 16 points and found some support at the 2150 level before a small bounce near the close. The S&P dropped only 2 points and the RUT hung on with surprising strength, trading flat for the day. Energy and Oil stocks were rock solid again today. I listed some of these leaders a couple days ago here and today they kept running up, even as selling commenced in the broad market during the day. These leaders are once again listed here for you to add to your watch list, in case you want to day trade or swing trade them on your own. They are: APA, HAL, COP, DVN, HYDL, KMG, PQUE, PD, TXU, VLO and GMXR.
Reducing Risk and Protecting Capital
Reducing risk to your money and protecting your trading capital must come before making money in the stock market; it must always be put first in your mind when trading. You must learn and become comfortable with this being your first priority because it is the one rule that will save your hide from devastating losses. Today's action is a good example of this. When the market reverses on you, if you have your stops in place after you enter a position, it could save you from suffering through a big reversal like today. If you sell at a small loss before it becomes a big one, you will save yourself from a lot of emotional pain. I know the first sentence in this paragraph may sound a little strange but you have to know that protecting your capital is the ultimate goal, even above the goal of making money. You must have this mind set if you are to survive as a trader. After all, you cannot get in the game if you do not have the required equipment to play with. You should always be willing to give up a trade in order to reduce risk and save capital. You absolutely must seek to reduce risk and protect yourself at every turn in the stock market, even before making a profit. Do not get me wrong, you are here to make a profit but never at the expense of taking serious losses and silly risks.
Risk/Reward Ratio
Always consider the risk to reward ratio of any trade you plan to make. What is the risk? What is the reward? Keep that ratio in your favor and your odds of making a profitable trade and protecting your trading capital are much greater. I would rather miss 10 trades than make 10 bad ones. If the trades just do not materialize then I do not trade. I need the odds to be in my favor or I cannot risk my capital, it is just that simple. Some traders think that they have to make money every day in the market so they press and look for trades, even when they are not there. Most of the time, when they force trades, they end up losing. I would rather not make any money today instead of losing some because I just “had to trade”. If I do not lose any money today, then it was a successful day and that is the way you should look at it. From that stand point, you are thinking defensively. By thinking this way, you are defending your capital from the elements of the market who are trying to take it from you. You have to reduce the risk at all costs, that is number one. Forced trades, mistakes, and unnecessary risks are all leaks in your personal dam. Forget about everything until you correct the leaks. If you do not correct the leaks first, they will get worse and worse and before you know it, all hell breaks loose. Correct the leaks first, that is the priority, after that, you can worry about increasing the water level.
STHQ Chart Index
If you go to the chart index in the left side menu, you can review and study charts that we have annotated for each stock listed in the past.
For New Members
For all of the new members with us, please make sure to read the link “How to use Bulletin” at the bottom of the Bulletin page on the website. It is critical that you know how to use this trading tool before trying to trade the stocks mentioned. The effectiveness of your trades will diminish if you do not completely understand how the information is presented.
Earnings Calendar
We have added the earnings link for each stock on the bulletin. To access the link for earnings, you can either use the link below or click the link on the bulletin for the corresponding ticker. Click the online bulletin in the left side menu for access to the earning calendar for each stock listed. It is not recommended to hold a position through earnings. You can always buy the stock back after the dust settles.
http://www.earnings.com
Stockcharts Listing
Please vote for us once a day at stockcharts.com.
http://stockcharts.com/def/servlet/Favorites.CServ...
Thank you all for voting
|
|
|
|
|
|
|
