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Online Share Trading

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Down we go again

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jack12
Super Contributor
Nah, watching your comments am interested, starting to learn its way, need to do lots of backtesting and such
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eddy66
Super Contributor
jack what do you expect for next week? Panic is starting to set in again! crises! Do you thing AGL will pull back again,looks like it's just going up?
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john_1
Super Contributor
Sorry to but in burst you buble but... you are talking absolute *****...A market maker makes momey on the spread, he is not talking on risk and therfore is not connected to the outcome of the trade....Second the markets will be going up because we have just closed a gap that brought us back to test the break out level..this is TA 101.. resistance, break out, retrace to test, then move higher or fail.
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jack12
Super Contributor
the market opens high, then slowly goes down to -, then late afternoon rally to end +. The art is entry and exit timing, to differenciate the bull and bear days, and the n and v days. each one changes your entry and exit statagies (for day, swing trading)
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Not applicable
Thanks John was just about to post the same thing regarding u first point.
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Not applicable
From your description I see an "n" day developing. up, up, up for morning then last minute profit taking. OMO
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jack12
Super Contributor
Thanks for the enlightenment and also note your faiure to provide any further bases for the correction to the statement. mmmm?? you may believe what you want, I believe what I want. So until you justify your critisism,, go fly a kite
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Electrox
Super Contributor
John you should post more Often... theres hardly daytrading threads or posts anymore...anyway..system put me long at 20225.
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john_1
Super Contributor
Hozit brother bear.... Ya I have been really busy with my little project..Have hardly been trading and my mind has been serriously occupied....
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john_1
Super Contributor
DUDE...what kind of proof would you like...anyway market makers dont make the market they simply provide liquidity equal to that of the cash market in opptions. So that in itself does not impact on price until some oke comes and moves the underlying market... But trade what you like...Mr Market is still going to get your money.
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Not applicable
Howzit Electrox, you care to share that system? I have one that puts me long at 20536, but I haven't ironed out the whipsaws in low volatility days
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Not applicable
Do I see profit taking strating to develop? I see the percentages are slipping a little on the ALSI and TOP40
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Hibiscus
Regular Contributor
Hard words jon. Have you ever been a market maker of a specified financial instrument? I doubt if you were a good one!! because then your approach and choice of words would have been better. Theoretical definition of a market maker is someone who is buyer and seller of last resort of a specified financial instrument. If the price of that instrument is going up everybody is buying and the market maker sits on a pile of cash (interest rate and price risk). Down the holders will dump him with stock. The aim of the issuer of the instrument is to create liquidity in that instrument by appointing a market maker; obvious benefits to him. The aim of the market maker is not to make money but hedge (various techniques according to product) as quikly as possible, but they normally allow themselves pre-determind risk parameters for profit and losses. Also obviously that if they are creative and enthusiastic they will be price makers and not price takers. The macro market will however give direction and dictate but the fundamentals of the product will determine price and profits. Not tecnicals!!
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john_1
Super Contributor
you trade your beliefs and if your belief is that market makers are trying to rip you then they will.. simple..One must state that it is diffrent on spead bet platforms and FX platforms because there you are trading against the broker as they usually do not hedge every trade.. a good Safex broker is diffrent.
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Hibiscus
Regular Contributor
A few years ago I commented on un=understandable reply from jon: "Bye bye John". I am trading financial instruments as a sideline and other commodities and services and investing because I make money. If I want to make more money I will seek expansion and means to diversify/new business without discontinuing profitable business. If I loose my money I wil stop that kind of trading/business and look for alternatives. I wonder how many forumites lost money trading financial instruments and is now exploring alternatives. As an after thought I was in marketmaking for 18 years
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