Beating The Bear- Short-Term Trading Tactics for Difficult Markets with Jea Yu.pdf

This tutorial was originally titled “ Daytrading the Bear”

and was recorded at the Online Trading Expo

Beating The Bear: Short-Term

Trading Tactics for Difficult Markets

By Jea Yu

The New Market Paradigm

• Bull mania, dart throwing, impulse trading,

news stories, momentum trading is DEAD

• The Market has FILTERED out the novelty

players and the ‘momentum’ daytraders

• The Bull was a fruitful age of marvelous

bounty and plunder

• The Bear is the ICE AGE

• Focus and Discpline is Key to Survival

What Makes This Market

Tougher?

• Lower Prices = Less movement (CSCO at

$90 moves much more than CSCO at $17)

• Decimalization

• Lighter Volume = More Ranges = Less

Liquidity = Less Followthrough = Less

Profit

Quick Review Of Basket Trading

• The Key to making steady income and

hitting daily profit goals is to PICK a set of

BASKET stocks.

• Watch, watch, watch

• Impulse trading is a CARDINAL SIN

• Basket stocks should be tier 1 or tier 2

stocks with Volume and move with the

Noodles (aka Nasdaq 100 futures)

The Tools

• 1 minute Stochastics for Nasdaq 100 Futures

• 3 minute Stochastics for Nasdaq 100 Futures

• 3 minute Simple Moving Averages Chart

• 1 minute Stochastics Chart

• Nasdaq Level 2