A Trader’s Thanksgiving List
The major markets held their
respective weekly supports this week in a light-volume holiday week trade.
For the week, the S&P gained 22 and the
Nasdaq tacked on 47 as both markets maintained their traditional Thanksgiving
week bullish reputations.
Despite lower-than-average volume throughout the week, intraday pace was still
strong at times providing enough opportunities for the intraday trader to make
it worth hanging around the markets. Both the 13- and 60-minute guides took
their respective turns in guiding the week’s profitable moves, with the
three-minute again providing solid guidance when ranges took over — as was the
case on Friday.
Let’s peek at the charts and then take another look at Thanksgiving from an
active trader’s perspective.
S&P 500
Nasdaq
Moving Avg
Legend: 15MA
Larger Timeframe 15MA
See https://www.donmillertrading.com
for Setups and Methodologies
Charts © 2003 Tradestation
A Trader’s Thanksgiving
Last year, I posted “A Trader’s Thanksgiving List” which resulted in a
great deal of positive feedback, so I thought I’d repeat it again this year.
Here’s the list, including a few 2003 incremental
thoughts in italics.
12. CNBC to forever fuel emotional
opportunities for the profitable wholesale trader. More rampant then ever on
the bullish side with the recent market climb. Yes, you can profit handsomely
trading the overreactions … markets still don’t go straight up or down … they
never have and never will.
11. Bogus e-mails from phony “traders” that keep me smiling when I surprise the
heck out of them by offering to follow-up with a phone call. Isn’t it funny
how free email addresses and anonymous chatroom nicknames can fuel brave souls.
10. The other 99.9% of my mail that reinforces that most in this industry are
mature with high ethical standards. I’ll include all of you who provided
support when my family was battling significant medical issues over the past two
years. I’m pleased to report that all are doing extremely well and life is
better than ever.
9. Recurring “I told you so” trading articles and related egos to offset the
loss of Peanuts cartoons. It’s called probability folks.
8. This public forum where I can talk to myself and we can collectively sharpen
each other. Going on three years of public babbling in this space. Some of
you have told me that you remember the very first QQQ article.
7. A market that provides a never-ending stream of challenge and opportunity.
We’ll include the continually growing liquidity of the E-Minis.
6. Freedom to participate or not participate in the market at any moment and
for any length of time. A freedom that can be both forgotten and abused from
time to time. Many market makers and fund managers would give their green
visors for such flexibility.
5. Stops to protect capital and career.
4. Stupid trading errors to reinforce humility. There’s nothing like a dose
of trying to get cute by picking off the wholesale side to gain the spread and
then watching a ten-bell move.
3. Missed opportunities to maintain that lifelong thirst for improvement.
2. Drawdowns to reinforce the concept of probability.
1. A Higher Power that gets credit for any trading successes that I don’t
manage to screw up. For those who still don’t think this belongs in a
trading column, there’s a reason this is listed as #1 … it’s where it belongs.
…and a few new ones to add:
– Those that trade alongside me on a virtual basis day in and day out. Many of you have traded with me for years, and have earned both my deepest respect and friendship.
– My current mentor students for reminding me that teaching is often two-way.
Good Trading and Have a Great Weekend!