Hi everybody,
first of all, I am fascinated by the world of trading. I see a lot of potential there. I've never been the kind of person who would think that a 9-5 job is the way to live well.
I would like to ask for advice on how to become successful.
I am part of a little commodities trading group, where two succesfull mentors are teaching their strategy. It seems to be a great working strategy, but the problem is that the specific occasion occurs only 2-4 a week. (it is a special kind of bar, specific point on the CCI, eventually the MACD). It is very difficult to be watching the graphs for several hours a day and wait for it to occur only 2x a week and thus makes it actually quite difficult. I would like something that I can do more actively, rather than be the hunter who waits for his prey for hours/days. Also, I understand that the commodities market can be riskier for a beginner. (even though I only try to start with eminis).
I am also curious to start with stocks now.
I talked to a good trader who recommended me that I could start with two things,1. look at the stocks in let's say NASDAQ that do the best or the worst in the first 4 minutes after the market opens. They should gain or lose at least 4%, then either buy or sell them and hold them for a few hours. Do this with 2-3 stocks.
2. use a slow stochastic (80 and 20), 3 MAs (20, 50, 200) and based on those enter trades. If the stochastic is over 80 then sell, if under 20 then buy. Also based on the 20 and 50 MAs to cross and follow the trend by the 200 one.
Does any of this have sense? would anyone improve that?
Where do I find good live stocks chart data for free to start with?
How do I find a working strategy for myself in the neverending amount of information that there is out there?
I plan to start with approx. 2000-3000 USD.
Thanks for the help.