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    Hi all, Beginner here.

    What would be the best group of instruments to start with?

    Have been playing around with Trading212 recently. Noticed BARC doing really well for first 2 wks of May. Bitcoin has been consistently climbing until 2-3 days ago it fluctuated quite a lot, but still consistently climbing. And AMZN has been doing well.

    My questions are:
    What were the major news influences that caused this? - Im guessing with BARC it was when they announced the 100% mortgage which had an impact. However, what we're the others?

    How do you realise a turning point in the market?

    Would you say opening and closing all trades before the markets close is a bad way to trade?

    How much of a loss within opening a trade will you usually allow before pulling out?) If you're really confident in the market performing over the next few days)

    Thank you in advance. (sorry if any of the questions sound silly)

    Posted from TSR Mobile
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    Are there any major differences between Bux and Trading 212?
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    (Original post by A47)
    Hi all, Beginner here.

    1) What would be the best group of instruments to start with?

    Have been playing around with Trading212 recently. Noticed BARC doing really well for first 2 wks of May. Bitcoin has been consistently climbing until 2-3 days ago it fluctuated quite a lot, but still consistently climbing. And AMZN has been doing well.

    My questions are:
    2) What were the major news influences that caused this? - Im guessing with BARC it was when they announced the 100% mortgage which had an impact. However, what we're the others?

    3) How do you realise a turning point in the market?

    4) Would you say opening and closing all trades before the markets close is a bad way to trade?

    5) How much of a loss within opening a trade will you usually allow before pulling out?) If you're really confident in the market performing over the next few days)

    Thank you in advance. (sorry if any of the questions sound silly)

    Posted from TSR Mobile
    1) I started with GBP/USD first and then expanded into indices as well.

    2) I have no idea what caused it. I don't trade BARC- I trade the FTSE 100 index but don't really look out for specific companies. I rely more on technical analysis than fundamentals since I am a scalper and not a day trader.

    3) If you're scalping (very short term trades) or day trading then I'd advise you to draw trendlines- one resistance line and one support line. If the price breaks out of the resistance then buy; if it breaks out of the support line then sell. Beware of false breaks.

    Also, add simple moving average curves on your charts to smooth out noise and recognise patterns.

    Also, take advantage of the Relative Strength Index indicator- if it goes above 70 then it's usually time to sell; below 30 and it's usually time to buy. I'd also use some fundamental analysis at this point- check if there's any genuine reason (e.g. breaking news, announcements) or whether it is just overbought/sold.

    There are other ways to recognise and it really does depend on the situation.

    4) Depends on what type of trader you are- are you a day trader, scalper,swing trader, position trader?

    5) It depends on what the market is like on the day, what instrument you're trading, what is causing the price to go the direction it's going (are there genuine reasons for it or is this just a short term fall?) and how much money you have in your account. I can't really answer this question since it really depends on so many factors. Personally, I'd never allow myself to lose more than 10% of my account on a trade.

    Read through these before you trade:
    1) This covers trendlines, moving averages, candlesticks and how to spot trend reversals using all of them. You probably don't need to know the fibonacci and elliot waves stuff at this stage.
    https://www.trading212.com/en/Technical-Analysis

    2) Introduction to RSI
    http://www.investopedia.com/terms/r/rsi.asp

    There's other stuff as well but this will do for the basics.
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    (Original post by TelAviv)
    Are there any major differences between Bux and Trading 212?
    If you're at all serious about trading, don't use Bux. Trading212 is good for learning and starting out but I'm looking for better brokers with lower spreads at the moment. Overall, I'd go for trading212 over Bux any day.
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    (Original post by A47)
    Hi all, Beginner here.

    What would be the best group of instruments to start with?

    Have been playing around with Trading212 recently. Noticed BARC doing really well for first 2 wks of May. Bitcoin has been consistently climbing until 2-3 days ago it fluctuated quite a lot, but still consistently climbing. And AMZN has been doing well.

    My questions are:
    What were the major news influences that caused this? - Im guessing with BARC it was when they announced the 100% mortgage which had an impact. However, what we're the others?

    How do you realise a turning point in the market?

    Would you say opening and closing all trades before the markets close is a bad way to trade?

    How much of a loss within opening a trade will you usually allow before pulling out?) If you're really confident in the market performing over the next few days)

    Thank you in advance. (sorry if any of the questions sound silly)

    Posted from TSR Mobile
    (Original post by TelAviv)
    Are there any major differences between Bux and Trading 212?
    Make sure to join the Trading Society!
    http://www.thestudentroom.co.uk/group.php?groupid=3545
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    (Original post by Trapz99)
    1) I started with GBP/USD first and then expanded into indices as well.

    2) I have no idea what caused it. I don't trade BARC- I trade the FTSE 100 index but don't really look out for specific companies. I rely more on technical analysis than fundamentals since I am a scalper and not a day trader.

    3) If you're scalping (very short term trades) or day trading then I'd advise you to draw trendlines- one resistance line and one support line. If the price breaks out of the resistance then buy; if it breaks out of the support line then sell. Beware of false breaks.

    Also, add simple moving average curves on your charts to smooth out noise and recognise patterns.

    Also, take advantage of the Relative Strength Index indicator- if it goes above 70 then it's usually time to sell; below 30 and it's usually time to buy. I'd also use some fundamental analysis at this point- check if there's any genuine reason (e.g. breaking news, announcements) or whether it is just overbought/sold.

    There are other ways to recognise and it really does depend on the situation.

    4) Depends on what type of trader you are- are you a day trader, scalper,swing trader, position trader?

    5) It depends on what the market is like on the day, what instrument you're trading, what is causing the price to go the direction it's going (are there genuine reasons for it or is this just a short term fall?) and how much money you have in your account. I can't really answer this question since it really depends on so many factors. Personally, I'd never allow myself to lose more than 10% of my account on a trade.

    Read through these before you trade:
    1) This covers trendlines, moving averages, candlesticks and how to spot trend reversals using all of them. You probably don't need to know the fibonacci and elliot waves stuff at this stage.
    https://www.trading212.com/en/Technical-Analysis

    2) Introduction to RSI
    http://www.investopedia.com/terms/r/rsi.asp

    There's other stuff as well but this will do for the basics.
    (Original post by Trapz99)
    Make sure to join the Trading Society!
    http://www.thestudentroom.co.uk/group.php?groupid=3545
    Thanks for the detailed response. A lot of technical jargon which I'll be happy to look over. Will read the material yuv recommended.
    -If you don't mind me asking, why do you only trade within the FTSE 100?
    -So if yur relying so much on technical analysis, am I right in saying you can apply to any instrument globally?
    -Is it possible to trade in all trading categories amongst an array of instruments, ie scalper,swing,position? (on the same budget that is)

    Would you recommend in downloading any additional software? Any other fundamental material yud recommend?

    Thank you very much
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    (Original post by A47)
    Thanks for the detailed response. A lot of technical jargon which I'll be happy to look over. Will read the material yuv recommended.
    -If you don't mind me asking, why do you only trade within the FTSE 100?
    -So if yur relying so much on technical analysis, am I right in saying you can apply to any instrument globally?
    -Is it possible to trade in all trading categories amongst an array of instruments, ie scalper,swing,position? (on the same budget that is)

    Would you recommend in downloading any additional software? Any other fundamental material yud recommend?

    Thank you very much
    Apologies for jumping in, but I'd also recommend trading FTSE100 and other indices as well because they're quite liquid.

    Regarding fundamentals, take a look at a Forex calendar (http://www.forexfactory.com/calendar.php) which will give you upcoming news/data releases as well the figures when they're released.
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    (Original post by nucdev)
    Apologies for jumping in, but I'd also recommend trading FTSE100 and other indices as well because they're quite liquid.

    Regarding fundamentals, take a look at a Forex calendar (http://www.forexfactory.com/calendar.php) which will give you upcoming news/data releases as well the figures when they're released.
    Thanks will have a look through it in due time.
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    (Original post by A47)
    Thanks for the detailed response. A lot of technical jargon which I'll be happy to look over. Will read the material yuv recommended.
    -If you don't mind me asking, why do you only trade within the FTSE 100?
    -So if yur relying so much on technical analysis, am I right in saying you can apply to any instrument globally?
    -Is it possible to trade in all trading categories amongst an array of instruments, ie scalper,swing,position? (on the same budget that is)

    Would you recommend in downloading any additional software? Any other fundamental material yud recommend?

    Thank you very much
    Actually, I trade both forex (GBP/USD, EUR/USD) and the FTSE 100 index. I don't trade other countries' stock indices because I don't have the knowledge yet of their economies and the companies in those countries.

    I do rely quite a bit on technical analysis because I think it helps me to trade without having my emotions come into play but one must always check for fundamental changes that will affect the market (news, press announcements, interest rate rises, economic performance indicators like unemployment) when trading because these provide good trading ideas. Technical analysis works better in liquid instruments and not well in illiquid ones (liquid markets are forex and ftse 100, for example, and stuff like exotic derivatives are a lot less liquid) . I have had a lot of success so far trading using technical analysis on the ftse 100 and on currency pairs. I would recommend that you only trade liquid markets (everything available on trading212 is quite liquid anyway).

    You can only really be one type of trader. I will make the meanings of the words clearer:
    Scalper: this is very short term. You open and close a position shortly afterwards (usually only a few minutes at a time)
    Day trading: you open and close within one day
    Swing trading: you open and close a trade within a few days
    Position trading: this involves closing a position a long time (months) after opening it. This is a longtime edm approach using fundamental analysis for the most part.

    You can have a few trades that are long term and some short term ones, yes. I personally don't take any long term trades,

    No, I don't think you need anything else. Take a look at the flex calendar that nucdev has provided, it looks very useful.

    It's worth mentioning that I am a beginner myself- I have been trading on a demo account for a few months and have opened a small real money account on which I'm making solid returns. So I'm no expert- nucdev, on the other hand, is.

    However, I think all the info I've provided is true.
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    If anyone on here is interested in algorithmic trading (non-high frequency) then it's worth looking at quantopian who are an open source hedge fund. They'll provide you with a cloud based platform, research environment and a whole bunch of data feeds and they also run a competition. If you design something good they'll give it a capital allocation between $1mil and $20mil and you get 10% gross profits while you own the IP for your algorithm. I managed to come third in one of their competitions. The catch is that it only has US equity, bond, ETF and commodity markets at the moment.
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    (Original post by Trapz99)
    Actually, I trade both forex (GBP/USD, EUR/USD) and the FTSE 100 index. I don't trade other countries' stock indices because I don't have the knowledge yet of their economies and the companies in those countries.

    I do rely quite a bit on technical analysis because I think it helps me to trade without having my emotions come into play but one must always check for fundamental changes that will affect the market (news, press announcements, interest rate rises, economic performance indicators like unemployment) when trading because these provide good trading ideas. Technical analysis works better in liquid instruments and not well in illiquid ones (liquid markets are forex and ftse 100, for example, and stuff like exotic derivatives are a lot less liquid) . I have had a lot of success so far trading using technical analysis on the ftse 100 and on currency pairs. I would recommend that you only trade liquid markets (everything available on trading212 is quite liquid anyway).

    You can only really be one type of trader. I will make the meanings of the words clearer:
    Scalper: this is very short term. You open and close a position shortly afterwards (usually only a few minutes at a time)
    Day trading: you open and close within one day
    Swing trading: you open and close a trade within a few days
    Position trading: this involves closing a position a long time (months) after opening it. This is a longtime edm approach using fundamental analysis for the most part.

    You can have a few trades that are long term and some short term ones, yes. I personally don't take any long term trades,

    No, I don't think you need anything else. Take a look at the flex calendar that nucdev has provided, it looks very useful.

    It's worth mentioning that I am a beginner myself- I have been trading on a demo account for a few months and have opened a small real money account on which I'm making solid returns. So I'm no expert- nucdev, on the other hand, is.

    However, I think all the info I've provided is true.
    Once again. Thanks. Looking forward to diving in after my exams
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    (Original post by Trapz99)
    If you're at all serious about trading, don't use Bux. Trading212 is good for learning and starting out but I'm looking for better brokers with lower spreads at the moment. Overall, I'd go for trading212 over Bux any day.
    Not sure if they operate in the UK but they offer commission free/zero spread trades https://www.robinhood.com/
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    (Original post by natninja)
    If anyone on here is interested in algorithmic trading (non-high frequency) then it's worth looking at quantopian who are an open source hedge fund. They'll provide you with a cloud based platform, research environment and a whole bunch of data feeds and they also run a competition. If you design something good they'll give it a capital allocation between $1mil and $20mil and you get 10% gross profits while you own the IP for your algorithm. I managed to come third in one of their competitions. The catch is that it only has US equity, bond, ETF and commodity markets at the moment.
    Yeah I found out about it only a few days ago. I'm currently learning how to program but once I've reached a good level of proficiency, I'll start learning how to do some algo trading. Hopefully, that'll look good on my CV.
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    (Original post by Trapz99)
    Yeah I found out about it only a few days ago. I'm currently learning how to program but once I've reached a good level of proficiency, I'll start learning how to do some algo trading. Hopefully, that'll look good on my CV.
    PM me, I have some useful things around that are good to learn from. The nice thing about python is that it is dead easy and one of the most human readable languages around.
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    (Original post by natninja)
    PM me, I have some useful things around that are good to learn from. The nice thing about python is that it is dead easy and one of the most human readable languages around.
    Lol it's worth mentioning that I'm an A-Level student who trades using an account in his dad's name and who hasn't started uni yet. I'm not exactly ready for algo trading yet, although I aspire to become a trader when I'm older. I am learning Python btw!
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    (Original post by Trapz99)
    Lol it's worth mentioning that I'm an A-Level student who trades using an account in his dad's name and who hasn't started uni yet. I'm not exactly ready for algo trading yet, although I aspire to become a trader when I'm older. I am learning Python btw!
    To be honest, one algorithm that I wrote and was pretty succesful (ranked third in quantopian open 10) only rebalances between two securities to keep a constant leverage. It's doesn't generate huge returns (roughly 7% annualised) but has a beta to market index of about 0.003 and pretty stable returns.
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    any stock picking that isn't based on primarily fundamental analysis whilst taking into consideration the underlying economics of a company is a poor one. Daily trading won't work for you, some can pull it off, but the average person shouldn't do it; you'll always be behind on information.
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    Long term>day trading.
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    Currency traders - what are your strategies for the lead up to the EU referendum and after the results?

    Looking at it dispassionately, do you think the UK will vote in or out?
    I think it will be a vote to stay in.
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    (Original post by natninja)
    To be honest, one algorithm that I wrote and was pretty succesful (ranked third in quantopian open 10) only rebalances between two securities to keep a constant leverage. It's doesn't generate huge returns (roughly 7% annualised) but has a beta to market index of about 0.003 and pretty stable returns.
    Sorry im a bit of a rookie, but how does one develop an algorithm. Is there some sort of software?

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