http://www.informedtrades.com

Found this link while surfing for trading sites. Seems like a good one.

I had planned to start a thread on trading styles - see what sort of indicators and discipline our members use for deciding when to place trades. I consider anything held for less than a year to be a trade, although you could make the argument that they're all trades, since the object is to sell at some future point (unless you're Warren Buffett...heh).

It's taken me a longer than I expected to research the various styles - some are very simple, some quite complicated. My first rule as a trader is "keep it simple" so I've ruled out the more complex strategies, such as trading bollinger bands or the various stochastics. I'm not even sure moving averages should be in there. I wrote to T. K. Feehan (tradingwithtk.com) and he assures me he doesn't use them - feels they only get in the way. Now that's keeping it simple - maybe too simple, but it seems to work for him.

Up to this point I've traded classic breakouts from a base or consolidation area, and to me MA crossovers and direction are important. So is volume and relative strength. If it isn't there, I pass. I haven't yet plucked up the courage to go short on breakdowns, but I guess I should as a lot more stocks are breaking down than breaking out these days. Here is something I've learned along the way: never fear shorting a stock that has already had a sharp drop, as it may very well be on its way to zero. Just make sure the set-up is good, although you might also want to confirm with fundamentals, just to be safe. The danger here of course is an opportunistic buyout/bailout - so you need to pay close attention to stops.

OK, that's it for now.

Comments, thoughts and ideas all welcome.

ebear