Chapter by chapter review of Textbook Trading by @investorslive

In the spirit of this series of posts on Tandem Trader:

Tandem Trader review Table of Contents

I’ve decided to go back and complete the same sort of review of Textbook Trading, Nate’s first instructional DVD. This will be the placeholder/table of contents for all the chapters.

If you find these notes and reviews useful please consider purchasing Textbook Trading through this affiliate link:

Chapter 1 – Purpose & History (0:00:00)
Chapter 2 – Setup and Terminology (0:29:00)
Chapter 3 – Charting & TA (1:06:42)
Chapter 4 – ABCD & Long Trades (1:38:05)
Chapter 5 – Red/Green & Long Trades (2:17:32)
Chapter 6 – Shorts and Over Extensions (2:57:57)
Chapter 7 – Morning Emotion & Faders (3:52:02)
Chapter 8 – OTC Trading (4:38:04)
Chapter 9 – Brokers (5:38:18)
Chapter 10 – Daily Routine & Goals (6:04:20)
Chapter 11 – Websites & Homework (7:01:50)

Summary of @tandemtrader DVD by @investorslive review and notes

I got a couple questions on how to find everything in one place so I put together this post real quick. Tandem Trader by Investorslive is a great value and indispensable if you are currently or aspire to be a day trader.

Below is a quick video recap of my thoughts, then below that is a chapter by chapter detailed review. If you are considering buying please view and read these materials, that being said, if you are leaning towards buying it, just go ahead and do it. Then save the time reading my thoughts and use it watching the DVD.

Thanks

P.S.

If you decide to buy and found any value in my review and notes please consider purchasing through my affiliate link here:

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

Link to notes and review of Chapter 4

Link to notes and review of Chapter 5

Link to notes and review of Chapter 6

Link to notes and review of Chapter 7

Link to notes and review of Chapter 8

Link to notes and review of Chapter 9

Review of Chapter 9 – Tools of the Trade – @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

Link to notes and review of Chapter 4

Link to notes and review of Chapter 5

Link to notes and review of Chapter 6

Link to notes and review of Chapter 7

Link to notes and review of Chapter 8

Link to notes and review of Chapter 9

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Summary:

This is the last chapter and is obviously setup to fulfill a need of tying up a bunch of loose ends and random, but probably frequent questions Nate and others at IU get.

Myself I did not gain a ton from this chapter, but I have been in the IU “community” for 5+ years. So even though I didnt learn a bunch, that by no means there is not good info. I literally got two emails just last night with questions that would have been answered in this chapter. So for sure if you are a new trader or new to momentum stocks or the IU community its well worth the watch.

Topics covered include:

  • Trade on the Fly – Michelle’s swing trading watchlists/webinars and chat room
  • A quick tour of Nates desktop setup – I did like this, I’ve been tweaking my DAS setup forever, and liked to see how he laid his out.
  • Brokers – See notes below
  • A list of simple but HIGHLY useful chatroom tips/tweaks. Again these are simple things, but it probably took me months to figure them out on my own way back when. Nate gives them all you you in about 2 minutes.

If you have read through any or even better all of these reviews I appreciate your valuable time. I’m sure you can tell this DVD would be highly recommended by me. But I will be doing a 5 minute video review of the entire DVD this weekend. I will be posting it here, twitter and youtube.

If you got any value out of these posts please follow me on twitter: @tbohen

Notes:

Chapter 9: Tools of the Trade

-Trade on the Fly – Michelle – tradeonthefly.com
Swing trading
-Step back – bigger picture
“look to the left to help you see the right”
Never stop learning – key to being a CPT
Find your niche – momo,swing, etc

-Nates Desktop
Tweetdeck
Das
EquityFeed
-HOD

-Brokers
-Centerpoint
30K minimum for members
Quantex – borrows
Commitment to have the best clearing firms
Goal is to give an edge to customers
Another goal to offer ANY stock to borrow
DAS/Sterling/Realtick
Locates/Routes
High touch customer service

-Speedtrader
Pro
ETC
High borrow rate with low or no borrow fees
10K borrow list +3K available to locate
Free DAS w/$499 in commissions
ECN rebates

-Suretrader
Offshore/international
Options for under PDT
6-1 leverage
DAS platform
Cool backstory on Guy Gentile/Owner
History of poor customer service has greatly improved – growing pains

-Email Nate/IU if opening a new broker, deals/referrals etc

-Chatroom tips
-Lot of little basic but good tips, especially for new users
-popout
-format window
-timestamps
-room join/left
-Filter by user

Review of Chapter 8 – How to scan for stocks – @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

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Link to notes and review of Chapter 5

Link to notes and review of Chapter 6

Link to notes and review of Chapter 7

Link to notes and review of Chapter 8

Link to notes and review of Chapter 9

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Summary:

I’ve been wanting to see this sort of lesson from Nate for quite some time. I’m sure he has probably gone over it in webinars or video lessons, but other than Textbook Trading I’ve never seen him run scans, or more importantly hear his thoughts behind what tickers he picks and which he chooses to ignore.

Another solid “concept” for a chapter from Cam and Nate, they decided to highlight scans on three separate days, first was during a weak couple days in the SPY, second was during a trend back in the SPY then the last was when the SPY was back in a strong uptrend.

I know pretty well (its basically simple) how to scan for all the big gainers in play, but I was mostly interested in how Nate finds and decides on weaker stocks, dip buys etc. Not only did he show his Finviz scans, but he ran them real time, then gave GREAT in depth commentary on why or why not he was grabbing a stock for watch.

I think many traders especially new ones struggle with what stocks to watch. Hell I still suffer from what I call “trying to trade the phone book”. Nate nails it when he says “Less is more.” not only do you need to winnow down the stocks to a realistic number with your scans, you then need to chop it down further into a realistically manageable amount of tickers. IMHO unless you are some kind of freak, that needs to be 10-12 tops. And that is probably still to many.

Actually running the scans and the criteria was a limited in the benefit to me, I’ve been scanning and picking basically the same stocks at Nate has for the last few years. Not trying to make myself smart, but its pretty basic to look for huge gainers with volume. But what I really enjoyed and got out of this chapter was seeing him complete the process. I especially enjoyed and was interested in his doubling back to the last few days of charts and “moving tickers forward” if they were still potential plays.

I’m also going to force myself to more actively write my thoughts out on my scans. It was pretty cool to hear Nate think out loud and write and edit his thoughts. You could tell he was processing and building a plan real time. I think so many guys make lists of tickers (take the easy way out) it is a lot harder to take the ticker, then sell it to yourself and write a plan.

Notes:

Chapter 8 – How to scan for stocks

-Scan for 10/13/2014

**- Good to watch the process

Weak close on the SPY
Less is more when scanning
Discussion of sympathy plays
-ebola etc
Discussion of low floats/thin runners

-Green scan – big movers

Review prior days scans, good to build your own lists to double back to.

1M daily volume cutoff

Good comments on shorting low volume stocks

-Dumper scan

Useful to hear Nates thoughts in verbal form, helped me understand some of the scan notes a little better.

Line in sand – good explanation

After building scan list, look in the morning for confirmation of your thoughts.

Use previous day and pre market to build final list

-Scan for 10/23/2014

SPY rebounding
Earnings season

Looking for more runups to short vs beat stocks

Make sure list is manageable in size, if not winnow it down.

Scans are also good just to “get familiar” and “maintain your feel”

Good demonstration of rapid fire technical analysis.

Confirmation that simple tools are best, Finviz, Yahoo Finance, bigcharts etc

** – Good to write your thoughts out after finding charts.

-Scan for 10/27/2014

SPY very strong

Focus on overextended charts

Review of Chapter 7 – Level 2 Analysis and Float Rotation – @investorslive Tandem Trader

Link to notes and review of Chapter 1

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Link to notes and review of Chapter 3

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Link to notes and review of Chapter 8

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Summary:

I would describe this chapter as the “grab bag” of topics and terms. Nate goes over a lot of some of the most comment misunderstood terms and concepts including:

  • Float rotation
  • Fake offers
  • Bid stuffing
  • Short Sale Restriction – SSR
  • 1/10 rule on higher priced  volatile stocks
  • Adding liquidity and taking liquidity
  • ECN rebates and fees
  • Level 2 “Games”
  • Over/Under

I would call this more of a “beginners” chapter, but I did still learn a lot of random stuff about Level 2. I’ve mentioned before I don’t follow Level 2 that closely myself mainly because of a lot of the fake shit and games. But hearing Nate’s commentary helped me understand a little better some of the stuff I had a gut feeling for but was never able to really define.

Once of my favorite parts of this chapter was Nate’s description of “Taking a step back and looking at the big picture”.  I’ve mentioned this before but I am very susceptible to tunnel vision while in a trade. Which can frequently lead to premature and impulsive exits.

Another very well presented and laid out chapter, if you are advanced you may or may not get a ton out of it, but even if you aren’t interested in the items covered, there is still some very solid “psychology of trading” discussed. So I still feel like I learned from this chapter.

If you are unfamiliar or don’t’ fully understand any of the terms in the bulleted list above, then it is for SURE for you, each term is very well defined as you watch REAL TIME on the screen. I had a couple “ah ha” moments in this chapter.

Notes:

Chapter 7 – Level 2 Analysis and Float Rotation

-CDTI – Float Rotation Discussion

Front side of the move – line in the sand needs to break

Look at size on offer, does it get soaked up?

Interesting to get talked through a fake offer.

Some value to not focusing to much on Level 2, can be to much noise.

Absorbing – buying on the bid into panic

50/50 trades are best to ignore, look for something with more of an edge/trend.

Good example of a short squeeze/pop when the trend doesnt break/holds support.

ABCD

Take a step back and reset your risk to reward, I often suffer from this, focus to closely on tick by tick instead of zooming out and reseting your levels and resetting your idea of risk.

Post 3:30 PM grind up, good chance of pop into short squeeze/gapper

Smaller size and more wiggle room around levels. Be smarter on stops.

-NUGT SSR execution

Visual representation of SSR

SSR does not mean you can’t short, you just can’t short the bid side. /Uptick

Cool real time order showing the SSR in action.

Need to short POPS not breakdowns under SSR

-SLXP SSR

1/10 rule for sizing on $90 stock, think of it as a $9 stock

People think a $95 could go to $100 (5 dollars) but $9.50 could easily go to $10.

SSR pullbacks are hard, but tough since you need to short into spikes.

Start in small, then add into speedups/para’s

Need to be prepared to size down though if wrong.

-VPCO -Adding liquidity vs taking liquidity

Simple concept, but well explained

-VSR – Stuffing

Float rotation
Bigger picture idea, smaller size on front side.
Example of line in the sand.
Volume push into resistance level

-JRJC Level 2 “Mind Games”

Bid soaking/hidden buying
Interesting to watch with Nates commentary
Stuffing into whole number
Good commentary on level 2 games

Review of Chapter 6 – OTC Trading – @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

Link to notes and review of Chapter 4

Link to notes and review of Chapter 5

Link to notes and review of Chapter 6

Link to notes and review of Chapter 7

Link to notes and review of Chapter 8

Link to notes and review of Chapter 9

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Summary:

Well, I have to admit, this chapter was waaaay the fuck over my head! I thought I’d been around long enough, read enough books, had enough experience etc. But the level of detail Nate goes into on OTC Level 2 and the techniques to get in and out of OTC positions was off the charts. (Ha, get it, off the charts!!)

I’m a 99% Nasdaq trader and when I do trade OTC’s its usually just a overextended short that I cover into a wash. I don’t use Level 2 that much in my decisions. Could be a reason why my exits are frequently so poor even on winning trades….

This chapter is a huge resource if you are an OTC trader or considering getting into OTC’s more. I will probably just shelve this chapter for now. If the OTC market heats back up and I start trading them more the first thing I will do is rewatch this chapter.

Nate covers 3 trades from start to finish with GREAT detail and very patient and clear explanations.

In summary, it sounds like I’m putting down this chapter but that is not my intention, it just focuses on a market that I am not that interested in. I did learn a TON about Level 2 which was nice. Even though I may or may not trade OTC’s in the future I improved my skill set by watching this chapter.

Notes:

Chapter 6 – OTC Trading

-SBOTF

Wait for parabolic move

Level 2 watch bid sizes

Need to get aggressive on fills, when they move they move fast.

Stacking – numerous market makers all at the same price

Need to be one step ahead on orders in OTC, you can be right but never get filled.

I still struggle with getting a “feel” for Level 2, but Nate does a very good job explaining what he is seeing.

Bid and Offer “locking”

Lock in some profits before the turn back up. And cover into panic, turns are quick.

“Uptick on air”

Watch for large volume getting absorbed, this could indicate a reversal.

Once you get the big crack and bottoming, good risk to reward to buy with the LOD as risk.

-SOPW

Overextended chart, often stair step type in OTC, then speed up’s.

Good explanation of walking up a chart to do a deal, then once deal is closed, insiders could care less what happens to the price short term.

Hidden buyers – Level 2 size looks small, but time and sales show all kinds of volume on the Bid.

Good explanation of psychology of dip buys and what it takes to spook them.

Very useful watching and hearing how Nate thinks about exits on this trade.

-GTATQ
Nice explanation of how to play Q’s in OTC
Need to have ROCK SOLID plan in these.
How do big Orders on L2 move the price.
Long dips, sell rips
Emotional games on L2
More examples of bouncing on air.
Thin vs thick market

Review of Chapter 5 – Shorts and Faders – @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

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Summary:

chap5

Another very solid chapter, especially if you are new to shorting or working on identifying low risk short setups this would be VERY useful to you. The late day fade has been my bread and butter for 5+ years so a lot of this was very familiar to me. That being said while I was not glued to my seat during the live trading getting into the setups, I found watching how Nate manages trades while in them, and working with exits very interesting.

I had not realized how patient he was with a lot of these types of trades. When in the chat room or twitter it seems he is moving in and out every minute. But in reality, he is picking areas of support and resistance and managing the trade between them.

I really found a lot of value in Cam’s voiceovers in this chapter as well. He has voiceovers in every chapter, but I really appreciated his input in this segment. Its a good idea to produce it the way Nate and Cam have. You can tell Cam watched the whole thing several times and picked up on ambiguous or unclear moments and interjects very useful input.

I’ve said it several times, but still loving the “risk management” protocols I’m picking up. Again I thought I was very disciplined and explicit in my stops and plan. In reality I was doing a very poor job. But the great thing about this DVD is its helping me spot and fix some of the weakest parts of my game.

Notes:

Chapter 5 – Shorts and Faders

Fader – good way to set risk at HOD

Lot of good examples of paitience
Good voice overs by Cam, lots of value add
VERY useful examples and explanations of “waiting for backside of the move”

-GPRO – intraday para and lated day fade
Need to get a feel for range
bigger range, less size, need to adapt
trading para’s need to cover into any wash

A trade without a plan, isnt a trade at all.

Watch for lower highs for fade, HOD reject

-PBR

You can always get back in a trade, don’t hold bad trades, to much hassle and stress.

Good lesson on not turning winners into losers.

More patience with big daily chart runs, healthy for pullbacks, take advantage of it.

Good real time of LOD – G/R washout – Whole dollar amount – good example of what Nate talks about “Lining up multiple setups”

Whole number washes, great exits.

-ATTBF

Wedbush locate short utility.

Wait for speedups, and thin up on spread.

Good Level 2 example. Bids coming in, and offers moving away.

Only want overextended stocks, not stocks that are just up big.

-ISR – ITCC

Let them run, then put in a lower high. Sets risk for fade. No peak, unlimited and unknown risk.

WAIT FOR BACKSIDE!

Lower highs really bad for OTC’s, good risk/reward on short

So much easier to set risk and size on backside. Frontside may work but its a headache and you will invariably cover emotionally.

If you make a mistake on letting a loss run, always cover into a pullback.

“All that matters at the end of the day is doing the least amount of work for the most amount of money”

-PVCT

Really like Nate speaking outloud the plan, very useful.

WHen unsure, take it off. you control your trades not the market.

-MNKD

Look for big overextended charts

-TWTR

Good HOD reject example.

-WWE

adding into winner

Review of Chapter 4 – Parabolic Shorts – @investorslive Tandem Trader

Link to notes and review of Chapter 1

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Summary:

For sure the best lesson in this chapter is how to get and set risk. This was HUGE for me, so often I get into trades and say “I’ll risk X” and X could be 10 cents or 20 cents or a dollar, but often its just a number I pull out of my fucking ass.

This chapter gives real time examples on how to set risk like a fucking professional instead of a piker. Its difficult for me to recount them one by one because there is so much detail (2 hour chapter). But you can see in the notes below what tickers are discussed. Nate walks you through winners as well as a loser. And the entire time talks you through his thinking.

I’m only halfway through, so I may say this more than once, but for sure this is a chapter I will rewatch. If you get and set risk properly with a detailed plan, shorting can be “easy” and stress free. If you jump in and out at random times it can be hard and EXTREMELY stressful (even with winners not just losers). I learned a lot today!

Notes from Chapter 4:

Chapter 4 – Parabolic short

Best lesson, how to set risk on shorts.

Short 1/4 into para move
Add into what “looks like” top
Cover into ANY pullback.
Then start to use HOD as resistance
Lower high with set risk against HOD
Looking for wash through LOD
Short pops as long as previous LOD is upper resistance
Cover into dips

-MBLY
Parabolic, speed up relative to previous price action.
Lots of detailed discussion on how to cover into washout and size back in if it peaks.

-DRL
Thinly traded, “skips up” pre market on light volume
How to create “guide” numbers for risk

Discussion on just closing out vs, holding core and letting it grind back.
Add into whole dollar crack. Good risk to reward on that type of price point.

-PLUG
Look for emotion in gapups/peaks.
How to pick prices for guides.
Good insight into thinking.
Don’t get greedy, take washouts.

-MNGA
Former runner
Good lesson on minimizing profits and holding to long after washout.

-GIGA
use prior day’s highs as para entry.
good discussion of emotions when getting to big
discussion of sizing on thin stocks
Solid explanation of front side of move, and how to scalp there.

-GWPH
Higher priced volatile stocks, move the decimal place, instead of thinking of GWPH as $70-80, think about $7-8

-QIHU
divide price by 10 rule

-GPRO
Grinding in pre market
Good lesson on adding to a loser
How to watch for ABCD when short, GTFO if it is grinding or adjust size

-PTSX
Pump and dump example

Review of Chapter 3 of @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

Link to notes and review of Chapter 4

Link to notes and review of Chapter 5

Link to notes and review of Chapter 6

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Link to notes and review of Chapter 8

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“Learning would be exceedingly laborious, not to mention hazardous, if people had to rely solely on the effects of their own actions to inform them what to do. Fortunately, most human behavior is learned observationally through modeling: from observing others one forms an idea of how new behaviors are performed, and on later occasions this coded information serves as a guide for action.” – Albert Bandura, Social Learning Theory, 1977

Summary:

First chapter seeing the true concept of “Tandem Trader” this is the debut of the realtime sitting in the cockpit with Nate and I found it VERY valuable.

He starts out with the old school classic ABCD setup, and while I have watched Textbook Trading a couple times and the ABCD is discussed there many times. I really got a lot more out of it this time around by watching it real time. Very cool and got me excited for the following chapters with more real time replays.

The rest of the chapter goes into high detail on numerous textbook long (buys) type setups. I won’t go into much detail, you can see quick summaries in my notes below. And there is so much detail and so much info, trying to recount them here would be redundant, you really need to watch them. That being said if you on the fence about purchasing, trust me when I say the lessons are very high quality, and very well structured. This is truly the first time I feel like I’m in a classroom structure seeing trades. As opposed to so many other DVD’s and videos where they are just recapping after the fact with a daily chart.

Still learning more and more about scaling in, I’ve been a member of Investors Underground for jeeze 5-6 years, and I’ve seen Nate’s comments about scaling in and out probably thousands of times. But after seeing it in action I had no idea just how impulsive I was. These early chapters have for sure helped me to realize a HUGE chink in my armor. Seeing Nate trade real time and scale in and handle orders is a hugely valuable lesson. Just finding this problem in my process is worth the price of admission. I sincerely believe if I become better with entries and exits because of these lessons, the DVD could end here and it would be worth the price.

Notes:

Chapter 3 Notes

Nasdaq textbook longs

-ABCD Pattern
-Cool diagram showing the pattern

A – Push
B – pullback
C – Perk off of lows
D – HOD, breakout

Risk on B

Big gap up and pullback, buyers waiting for new breakout after profit takers come in.

Wait for some volume

Description of whole number over and under to set new risk.

If its working, use higher lows as new set risk.

Scale out to help your patience and emotions. Easier to let the trade work after you have booked some profits.

Retest – over – under description, this will happen and is not bad.

Looking for a way to get long, but with a set risk, B of ABCD

GLUU, FB, IDTI, BBRY

Great discussion of forming plans.

I feel I understand “anticipating the move” better with these examples of ABCD.

Less size can be better to allow a trade to work for you.

SSR – buy into washouts/anticipate

-Even in panics, have a plan, for the criteria to match. Get long when others are freaking out.

Risk against LOD once morning shakes out.

-Really like to see how Nate adds in and out, good value in the live trading.

-Morning washout, ABCD

SRPT, SEAS, MOBI, YHOO

How to set risk/find bottoming

Former Runners – MOBI

Size down if plan isnt working, you can always readd if it starts to work, no need to be all in, all the time.

YHOO – Beat chart – weak open – washout

pre market/AH, support and resistance for washouts
-anticipating washout, start in small.

Couple indicators together, R/G, daily breakout, 52 week high, whole number cross etc. Each attracts a different group of buyers.

VII – former runner – float rotation

Final hour, gapper

Want to be contrarian, sell when everyone else wants it, buy when no one wants it. Don’t be part of the herd.

CLF – MTF breakout

ABCD intraday + Daily chart breakout

watch volume with para for exit

Review of Chapter 2 of @investorslive Tandem Trader

Link to notes and review of Chapter 1

Link to notes and review of Chapter 2

Link to notes and review of Chapter 3

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Link to notes and review of Chapter 6

Link to notes and review of Chapter 7

Link to notes and review of Chapter 8

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Summary of Chapter 2

Another very solid chapter, still a lot of housekeeping and foundation work but Nate mentions the hardcore trading starts in Chapter 3. Discussion focuses on trading the right stocks with movement and volume. Again this is something I know and practice myself, but a lot of traders get lured into low volume stocks and then can’t figure out how they were right but didn’t make money because of slippage.

timing

More discussion of risk management and scaling in, this I found very valuable, I have a bad habit of going all in on entry, then getting spooked out, even though I am eventually right. Nate preaches going in on your plan, then adding in only when confirmation of your idea is made.

Good real word description of short selling and what setups to focus on when short selling. Also a preview of coming chapters:

Only Short these setups:
– Parabolics – Chapter 4
– Intraday Shorts – Chapter 5
– Faders – Chapter 5

Good description of common IU terms, “Former Runners” and “Float Rotation”, these are both confusing and frequently misunderstood terms. Nate does a solid job of taking the time to explain these terms in detail as well as pulls up numerous past charts to visually represent them as well.

momo

The chapter wraps up with a couple warnings about fighting trends and the danger of following alert services especially in low volume stocks.

Another very solid chapter, lots of preaching about being your own trader and finding what works for you. And yes I used the word “preaching” on purpose (Definition of Preach: earnestly advocate (a belief or course of action). Sooo many traders need this lesson pounded into their heads, and Nate does a solid job of this in this chapter.

Linked at the top are the reviews of the other chapters. Below is my notes, and I’ll be back tomorrow (12/6/2014) with a review and notes from Chapter 3.

Notes:

Trading Concepts

Only trade stocks with volume
Only trade stocks with big daily range 50 cents to dollar. In one day or couple days

Reduce risk with solid support
Focus on stocks that ran in the past

If move works, pay yourself and take some off, reduces risk and stress. Puts money in the bank, then you can let the rest ride.

Short description of short selling
Just because a stock is up big DOES NOT make it a short.

Only Short these setups:
– Parabolics – Chapter 4
– Intraday Shorts – Chapter 5
– Faders – Chapter 5

Focus on overextend charts.

Think about risk to reward, if you want bigger winners you have to be ok with bigger risk.

Description of scaling in, vs going all in.
Add to winners, use house’s money as risk.

Bigger daily range, means more scaling in

Be careful adding if a stock won’t crack support, when it reverses you are more likely to be emotional and cover quickly.

Especially when your shorting, be sure to respect, support and resistance levels.

Be patient and wait for support or resistance to crack before adding.

“Always stick to your plan”

“Stay away from random trades, your results will be random”

Description of former runners and how to remember them
– Big past moves, watch for big volume again, good potential to run again if the volume is there.

Sympathy play – description and themes

Description of recent IPO moves.
-secondary runs

Look for hot sectors/themes

Good description of what a short squeeze is

Float rotation
-description – what the float is
-what rotation is
-more volume = more shares in few hands to little shares in lots of hands
-big spikes on low floats attract a lot of buyers AND shorts, and if it keeps going, only the shorts panic.

Do not fight the trend when float is rotating. Wait for backside and short pops.

“A stock price is just a number in time.”

Have rules and respect the trend.

“Need to be able to anticipate moves and make a plan” for long term success.

Danger of subscription alert services, especially in thin stocks.

Need to find out who you are as a trader.

Recap of Traders4ACause