CASO SEAT PAGINE GIALLE

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Meeting SellaAdvice Trading
Torino, 12 giugno 2004
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FIB30 HOW TO DEAL WITH IT
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The trend is your friend never fight the trend
Do not average. Never have loyalty to a
position. Bad trades should not become long term
investments
Plan your trade, trade your plan. Predetermine
your exit points, i.e. STOP-LOSS, before getting
into a trade
STOP TRAILING the best way to let your profits
run
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MONEY MANAGEMENT RULES
Identify and eliminate stress. Keep FEAR, GREED
and HOPE under control
Save money for a rainy day
Do not overtrade
DISCIPLINE. Its a prerequisite to maintain
effective risk control. You need discipline to
apply your method and your trading plan
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MONEY MANAGEMENT RULES
Indeed, few things are easier to ignore than
trading advice...
Consider for example the rule Do Not Average,
i.e. Cut your losses short. How many times did
you ignore it? What happened then?
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FIB30 daily chart
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FIB30 intraday chart
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Good friends for a Fib30 trader Pivot Points
A projection of the two market dimensions
Volatility Directionality
Second Resistance Pivot (H-L) First
Resistance (2 Pivot) - L Pivot Point (H L
C) / 3 First Support (2 Pivot) - H Second
Support Pivot (H-L)
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Good friends for a Fib30 trader Pivot Points -
example
FIB 30 09 JUN 2003 what happened Open
24.180 High 24.300 Low 23.995 Close (Official
Price) 24.255
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Fib30 trading a real example
FIB 30 09 JUN 2003 what happened Open
24.180 High 24.300 Low 23.995 Close 24.255
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Summing up the equity line
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TECHNICAL ANALYSIS
Common sense is not so common. Voltaire
Technical analysis has been shown to generate
statistically significant profits, despite its
incompatibility with most economists notions of
efficient markets. Federal Reserve Bank of
New York, C. L. Osler and P.H. Kevin Chang, Staff
Report , No. 4, August 1995
Who are we to argue with the Fed?
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Suggested Bibliography
For a general introduction to Technical
Analysis, we would suggest Murphy, J. J. ,
Technical Analysis of The Futures Markets, New
York Institute of Finance, New York,
1986 PAGES 542 PRICE USD 70.00
For an in-depth introduction to Japanese
Candlesticks, two of the most diffused reference
books are Nison, S., Japanese Candlestick
Charting Techniques 2nd edition, New York
Institute of Finance, New York, 2002 PAGES 300
PRICE USD 80.00 Morris G. L., Candlestick
Charting Explained, McGraw Hill, New York,
1995 PAGES 300 PRICE USD 86.00
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This presentation was given by Maurizio Milano,
Office Manager, MAURIZIO.MILANO_at_sella.it Giorgio
Sogliani, GIORGIO.SOGLIANI_at_sella.it The other
members of our team Romano De Bortoli, Deputy
Office Manager , ROMANO.DEBORTOLI_at_sella.it Giulian
o Sarricchio, GIULIANO.SARRICCHIO_at_sella.it Te
l. 39 015 35018047
Free reports available at www.sella.it Page
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