Millionaire Tradersnot a science. It’s very beneficial to be a good chartist. But that’s
not what will make you money in the long run. Coming from my
technical background, I wanted to make it a science protocol, and
I think that probably for the better part of my first two years of
trading NASDAQ stocks I still tried to make it a science. I was
very fortunate the first couple of years because I traded after the
tech bubble burst of early 2000. We had some great down markets
and I was a much better short trader than I was a long trader. It
was really later on when I decided that the reason there are so
many technical indicators out there is because none of them work
very well.
Q: How did you even find out about technical analysis, and what
did you do to teach yourself the basics of chart reading?
A: I read the bookTrading for a Livingby Elder.
Q: That was the foundation, and then obviously you looked at
thousands and thousands of charts?
A: Yes. I was fortunate in the beginning to realize that you couldn’t
go out and trade a lot of different instruments and be good at them.
In the beginning, I only traded three or four stocks, and I didn’t
deviate from that.
Q: What stocks did you trade in the beginning?
A: In the beginning we had Rambus and CMGI and Yahoo! and
QCOM. All those stocks that were skyrocketing$10 to$20 a day.
We don’t have great stocks like that today.
Q: You entered the day trading business around 1999?
A: July of 1999.