Comments on: Money Management: Reward Analysis

By: AirelonTrading

AirelonTrading — Thu, 12 Nov 2009 15:12:17 +0000

No, when I invest, …
No, when I invest, I view the entire amount of capital as ‘at-risk’. So buying BAC? I’m with BAC as an investment until it hits one of two things: $100 or the equivelant of $100 through splits (At which point I would turn the DRIP off, and receive straight cash), or $0.00

When I swing trade (and use stop loss orders :^) ) I generally have a 3 to 5 day timeframe, although I’ve had swing trades last as many as 15 days. In 2007, I averaged about 11 days in a trade.

By: thetwin76

thetwin76 — Thu, 12 Nov 2009 15:12:17 +0000

Hi Dan
Two …
Hi Dan
Two questions: Do you use stop loss limits in your investment portfolio(e.g.bank of ameri.)and whats your time plan as a swing trader.
Thanks

By: AirelonTrading

AirelonTrading — Thu, 12 Nov 2009 15:12:16 +0000

No worries mate, …
No worries mate, yeah, I understood what you meant completely.

By: thetwin76

thetwin76 — Thu, 12 Nov 2009 15:12:16 +0000

Sorry about the ” …
Sorry about the “order” mistake. German is my native language and we call it stop loss limit but i think i got the point across.

By: AirelonTrading

AirelonTrading — Thu, 12 Nov 2009 15:12:16 +0000

Really good …
Really good question though. I wish I would have remembered to put that difference in my risk video.

By: AirelonTrading

AirelonTrading — Thu, 12 Nov 2009 15:12:15 +0000

One video where you …
One video where you might find some more helpful information – is the video I have on Trade Management …

There’s a video reply to this video where I talk about the need to look to volatility.

By: AirelonTrading

AirelonTrading — Thu, 12 Nov 2009 15:12:15 +0000

You’re more than …
You’re more than welcome.

Good point, and I plan on putting more videos in the future – into the “Charting 101″ series

By: CorkyAgain

CorkyAgain — Thu, 12 Nov 2009 15:12:15 +0000

One thing that I …
One thing that I would have liked to see in this video is more detail on setting a price target in order to calculate the risk:reward ratio. That’s one area where I still have a tendency to be too subjective in my approach.

I just discovered these videos after doing a search for info on money management. They’re some of the most helpful things out there. Thanks!