Importances Of Using Trend Lines Properly

Trend lines are probably one of the most important aspects of technical analysis. I see trend lines as a map of where the stock pattern is going.

Not using trend line is like going to a place you do not know without a map. Surely a person can find their way around an unknown town without a map but it will take much longer and the chance for making a wrong turn is very likely. In stock trading, this means losing money.

  

It is great to have a map of an unknown town but the person using the map needs to know how to use the map. Using trend lines to map out a stock is great but, the person using the trend lines needs to know where to place the trend lines before the trend lines become effective.

Trader using technical analysis to determine if the stock price is going up or down should practice using trend lines properly.

Stock Trading For 10000 Hours

Lately I have been obsessed with the 10000 hour rule. In Malcolm Gladwell book Outlier, he writes about how 10000 hours of “deliberate practice” can make a person an expert.

I have been building a stock trading strategy for the last 2 to 3 years. I have failed many times in picking stocks but for the last half of 2012, my stock trading success rate has gone up. For the last half a year, I usually spend a one to two hours picking stocks at night and sell the stocks the next morning. I have probably put more than 1000 hours in developing and practicing my stock trading on an online simulator and Microsoft excel.

 I am 21 about to turn 22 year old and thinking about quitting school to hone my stock trading craft because if I start studying and practicing now, by the time I am 30 years old I would be an expert or closes to an expert level. My parents are worried for me, which makes me worry. I know I can make money on a simulator, but can I make money in real life in the stock market.