Note: trialers must preappend the _ character (underline) in front of username. Passwords are case-sensitive)
Note: Please do NOT attempt to connect immediately after the registration; allow a reasonable time for the access to the trading room to be granted. It varies depending on the time of the day from 15 min to a few hours, but you will be good to go for the next trading day in any case.
Here is a brief description of what you are going to see in the trading room and what it means.
Long Setup TEST 10 break if stays above 9.90
This call instructs to buy TEST when an offer at $10 is broken and a stock is trading at $10.01. Do not chase more than 2-3 cents. A necessary condition for the setup is price holding above $9.90; if this support is lost before resistance at $10 is broken, setup is invalidated. If setup triggers (resistance at $10 is broken), stop is placed under $9.90.
As the price moves in our favor, full exit or partial exits are taken at the levels that we call risk/reward ratios. In this case, 1:1 will be reached around $10.10 (10 cents initial risk to 10 cents profit). Scalpers take full exit at this level; day traders take first partial and trail their stop under the breakeven point. Next partial is taken around 1:2, etc. Most often our partials consist of 1/2, 1/4 and 1/4.
A call for a short trade will look like this:
Short Setup TEST 10 break if stays below 10.10
Meaning and actions are self-explanatory and similar to a long call, only in opposite direction (duh!)
If we feel strongly about taking a scalp or letting a trade develop, we will comment "Scalp only" or "Not a scalp." Absence of such comment means we have no preference. In any case, it's up to each trader to determine his/her preferences.
Instructions above are just a first draft intended to give you understanding of the room format. More variables exist, and we will comment on them as needed, highlighting the deviations from the routine course of action.
Do not hesitate to ask questions. Remember, #discussions channel is for anyone to speak, post trades and questions; #floor is for a room moderator only, to keep calls and comment free from clutter.
Room Slang and Abbreviations
HL - half lot (in reference to a position size
SM - smaller shares
L - long
S - short
Rinse - disgusting behavior of a stock that stops us out only to proceed to the target a moment later. Discipline hurts sometimes
Pulp - jumpy stocks with wide movements (Seinfield reference, "Pulp can move, baby!")
Costanza trade - a trade opposite to what trader's instincts say (again, Seinfield)
Our online day trading education will teach you how to:
