Comments on: Interview with Richard Todd http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/ Improve your trading! Fri, 19 Feb 2010 19:36:43 -0800 http://wordpress.org/?v=2.9.1 hourly 1 By: Great Interview :: Move the Markets :: Entries :: http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-40911 Great Interview :: Move the Markets :: Entries :: Sat, 05 Jan 2008 15:00:22 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-40911 [...] is an old interview with a GREAT trader. At the time of this interview he had recently started trading for a living. Now, he’s [...] [...] is an old interview with a GREAT trader. At the time of this interview he had recently started trading for a living. Now, he’s [...]

]]> By: 2006-09 Month in Review » Move the Markets http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-412 2006-09 Month in Review » Move the Markets Fri, 29 Sep 2006 18:02:13 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-412 [...] So, 5R isn’t bad, but I spent more this month than I made. If there’s one thing I can’t do, it’s live austerely! :-) It’s not really a cause for concern, as long as that doesn’t continue. I’m always making improvements, and am generally ahead of schedule in improving my profitability (I had said in my StockTickr interview that it was my goal to consistently cover my living expenses by early 2007, and until this month I’ve already been doing that). [...] [...] So, 5R isn’t bad, but I spent more this month than I made. If there’s one thing I can’t do, it’s live austerely! :-) It’s not really a cause for concern, as long as that doesn’t continue. I’m always making improvements, and am generally ahead of schedule in improving my profitability (I had said in my StockTickr interview that it was my goal to consistently cover my living expenses by early 2007, and until this month I’ve already been doing that). [...]

]]> By: Richard http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-239 Richard Wed, 02 Aug 2006 18:42:47 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-239 ExEngineer, I'm not too fancy with them. I let stockcharts.com draw them, with the boxes sized for ATR, and with 2 box reversals. When you think about it, all this P&F chart does is two things. First, it filters out all price reversals that move less than 2 ATRs. Second, it hides the amount of time a stock spent moving in any one direction. So, it's a specific kind of data de-noising, which many find is particularly well suited to spotting trends and resistance. Because of the P&F time warping, it's interesting that the trends you spot are not necessarily the same trends you'd draw on a candlestick chart. On a candlestick chart, if a stock hangs at one price too long, you would say it "broke" the trend. In P&F terms, all that matters is that the direction doesn't ever reverse by more than 2 ATRs before resuming. So, it's not just an easier way to spot the same animal. I have stockcharts.com overlay trendlines and price by volume on the chart. Trendlines in P&F charts are all at 45 degree angles, so they are easy to spot. Stockcharts.com does a really decent job of spotting the big ones for you automatically. For support and resistance, I look for prices that have relatively high volume against them, and which were the tops/bottoms of multiple lines on the chart. This is really the same as on candlesticks, except that again, you don't see any small price reversals. Only spots where the direction really changed course for a bit. ExEngineer,

I’m not too fancy with them. I let stockcharts.com draw them, with the boxes sized for ATR, and with 2 box reversals. When you think about it, all this P&F chart does is two things. First, it filters out all price reversals that move less than 2 ATRs. Second, it hides the amount of time a stock spent moving in any one direction. So, it’s a specific kind of data de-noising, which many find is particularly well suited to spotting trends and resistance.

Because of the P&F time warping, it’s interesting that the trends you spot are not necessarily the same trends you’d draw on a candlestick chart. On a candlestick chart, if a stock hangs at one price too long, you would say it “broke” the trend. In P&F terms, all that matters is that the direction doesn’t ever reverse by more than 2 ATRs before resuming. So, it’s not just an easier way to spot the same animal.

I have stockcharts.com overlay trendlines and price by volume on the chart. Trendlines in P&F charts are all at 45 degree angles, so they are easy to spot. Stockcharts.com does a really decent job of spotting the big ones for you automatically.

For support and resistance, I look for prices that have relatively high volume against them, and which were the tops/bottoms of multiple lines on the chart. This is really the same as on candlesticks, except that again, you don’t see any small price reversals. Only spots where the direction really changed course for a bit.

]]> By: ExEngineer http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-238 ExEngineer Wed, 02 Aug 2006 18:05:58 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-238 Richard, Would you elaborate a bit on how you identify trends with point-and-figure charts? Richard,

Would you elaborate a bit on how you identify trends with point-and-figure charts?

]]> By: uglychart.com » Blog Archive » Move the Markets http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-233 uglychart.com » Blog Archive » Move the Markets Tue, 01 Aug 2006 21:13:05 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-233 [...] I’ve been reading Richard’s blog. He also just started day trading earlier this year. It’s got a lot of good information. There was an interesting post about the top 50 stocks to day trade, which lists liquid stocks that have a large intraday range. It’s interesting to note how many alpha stocks are on the list. He was also interviewed by Dave for the stocktickr blog. And he has a funny post about how to recover from a loss - funny because it is true: But, when you are down thousands of dollars, and you have bills to pay, and you know that so-and-so is going to ask you how the day went in a couple hours, and they obviously already think you are an idiot for trading stocks in the first place, and you’d really like to impress them… well, somehow your brain manages to blind itself to anything but the possible upside of plans like the ones above. [...] [...] I’ve been reading Richard’s blog. He also just started day trading earlier this year. It’s got a lot of good information. There was an interesting post about the top 50 stocks to day trade, which lists liquid stocks that have a large intraday range. It’s interesting to note how many alpha stocks are on the list. He was also interviewed by Dave for the stocktickr blog. And he has a funny post about how to recover from a loss – funny because it is true: But, when you are down thousands of dollars, and you have bills to pay, and you know that so-and-so is going to ask you how the day went in a couple hours, and they obviously already think you are an idiot for trading stocks in the first place, and you’d really like to impress them… well, somehow your brain manages to blind itself to anything but the possible upside of plans like the ones above. [...]

]]> By: Move the Markets » Blog Archives » Interview with… me! http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/comment-page-1/#comment-222 Move the Markets » Blog Archives » Interview with… me! Tue, 01 Aug 2006 17:28:29 +0000 http://blog.stocktickr.com/2006/08/01/interview-with-richard-todd/#comment-222 [...] If you read me here, you know my posts can be on the long side… I revised my interview answers once or twice to try to make them short enough … did I succeed? Go read it and decide! [...] [...] If you read me here, you know my posts can be on the long side… I revised my interview answers once or twice to try to make them short enough … did I succeed? Go read it and decide! [...]

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