This material is from our forthcoming TRADING BY THE STARS and will be updated periodically. Please remember this is copyrighted material and cannot be reproduced without written permission.
It also goes without saying that the usual DISCLAIMERS apply. 

Trading By The Stars
Trading By The Stars Part II
Trading By The Stars Part III

1.  MAKE SURE YOU HAVE THE STOMACH FOR IT
Recall earlier losses and risk-taking in your life life.  How did you handle it and feel about it?
Astrology:  Do you have the horoscope to be a successful trader?

2.  LIMIT THE UNIVERSE
Confine your trading to a diverse but limited number of stocks.
Astrology:  Use Synastry to choose markets, instruments and stocks to trade.

3.  STUDY STUDY STUDY
Before trading, spend at least six months learning abut the companies and their trading patterns.
Astrology:  Play with wall street games before committing real money and use electional astrology when to start to be professional

4.  SET REALISTIC, SPECIFIC AND MEASURABLE GOALS
Don't trade with the grocery fund or the mortgage payments.  And don't trade only to "make money". Trade to make a specific amount of money in a certain amount of time.

5.  HOW'M I DOIN?
As an objective outsider to review your progress, measuring it against yoUr goals.

Q: Should you be a trader?
A: Check your horoscope.

Q: Do you prefer to be "right" or make money?
A: Make a profit, don't be a prophet!

2. Treat Trading as a Business, NOT a hobby.

3. If you want to consistently make money, triple screen or triangulate: Analysis from three separate techniques before pulling the trigger.

4. Underweight known information sources; overweight your trading edge (astrology) - Remember the saying "When we find the key, they'll change the lock."

5.  Successful trading is about RISK/REWARD AND PROBABILITY.

6.  Money Management is the most important element of success:
KNOW WHEN YOU ARE WRONG, ASAP!

TAOIST TRADING
Easy and relaxed  = Profits
Hard and tense = Loss.

TECHNICAL TRADING
Support, Resistance,
Pattern
Cycles, Trending vs Trading Markets
Candlesticks: High, Low, Close Prices

CAT TRADING
Wait for "That it"

PRECISION VS ACCURACY

RULE OF THREE
A: Triple Screen Investments - Fundamental, Technical and Astrological.
B:
C. Three Time (T1, T2, T3) and Three Price (P1, P2, P3) Entries.
Time and Price ideally should intersect.  To reduce risk, you can also use another system's time with our price or price with our time entry.
We generally enter in 3 positions. P1 is our first entry, P2 our second and P3 our third.  If your market views agree with ours, then you should start buying or selling at P1 as perhaps the market will not reach P2 or P3.  If you disagree, then begin to stop your positions near P2 or P3.  Especially at P3, you may need to exit a contrary position.

Timing:  Enter options earlier than cash or futures for minimum cost.
2/3  Long Term, Intermediate Term and Short Term in direction of trade.
Risk Reward 3-1 on the average.

Primary use to invalidate (exit) trade, secondary use money management.
We use both Time Stops and Price Stops.

USE OF STOPS
We view Stops as primarily decision points about whether you are wrong about the market as much as money management.   The main point of any stop is TO  STOP AND ASK THE QUESTION: Would I buy this stock NOW?
 
Most stops given in our trading area are end of day. However, as I am watching a trading screen continuously, we may over-ride a stop point if we  feel market action and forthcoming astrological
influences so justify.
 
The use of stops varies with each trader and investor.  Just as you should have a trading and investing plan for each purchase IN ADVANCE, so too should  you have a defined EXIT strategy.
 Because I am usually staring at market screen from 8:30 to 4:15 pm, stops are  mostly WARNINGS points for me to question my trade.  I re-ask "would I buy  this position NOW?"  If yes I hold, if no, I exit or closely stop depending on my "feel" of the day's market activity.
 
 FLUID VS FIXED STOPS:  Mine are fluid, this is the time/price I begin to worry about my position.
 
EOD VS INTRADAY:  My stops are usually end of day.  They can be executed  intraday if I project the EOD position to be more costly than a current exit.

SYSTEMATIC VS DISCRETIONARY:  I am primarily a discretionary player, and can override a stop one time period (overnight) if my projection for the next stay  is STRONGLY in the direction of my trade.

1) When you ask the question, "Would I buy this stock now?"  Are you saying that this security/commodity has retraced to a level at which I feel uncomfortable holding and I either need to get out here or be willing to add to the position?  Or are you saying that at any point in the position, that if you are not willing to add to the position then you are willing to sell or use a close stop?
AT EACH TIME UNIT, USUALLY DAILY CLOSE WE REEVALUATION EACH TRADE FRESHLY.  IF WE WOULD NOT ENTER IT THEN, BASED ON RISK/REWARD OBJECTIVES AND PROBABILITIES, IT IS EITHER CLOSED, OR MORE OFTEN, A STOP IS PLACED.  SO THE LATTER IF I UNDERSTAND YOU CORRECTLY.

2) What type of stop do you use, i.e., moving averages, low of last several days, low of last reaction. Etc. or a combination of many?  Please define the time period in which you trade.
WE USE A PROPRIETARY PRICING SYSTEM BOTH FOR TARGETS AND STOPS (TRADE INVALIDATION POINTS).  TIME UNITS CAN BE AS SHORT AS TWO HOURS OR AS LONG AS 3 MONTHS.  AFTER ONE TIME UNIT, IF OUR TRADE IS NOT PROFITABLE ACCORDING TO INITIAL TARGETS, A TIME STOP IS TRIGGERED.

3) You mentioned that a primary purpose of stops was for money management.  Do you use certain percentages of your trading capital or a dollar amount?  Or is it simply the point on a chart which sets the stop regardless of trading gains or losses?
IT IS MOST OFTEN THE CLASSIC 3-1 PROFIT TARGET.  IF WE DO NOT like THE STOP AT THAT PRICE POINT, I.E., IT DOES NOT INVALIDATE THE TRADE ACCORDING TO OUR SYSTEM, WE DON'T ENTER THE TRADE.  IN AN EXTREMELY HIGH PROBABILITY TRADE, IT CAN BE 2-1 OR LESS.
ALL TRADES INVOLVE A CERTAIN PERCENTAGE OF TRADING CAPITAL.

4) Your use of time stops is interesting. How do you use this in your trading?  For example, for day trading, would several hours be enough for you to exit the trade if it was not doing what was expected?
WE ARE ASTROLOGICALLY BASED, SO MOST OFTEN 2 HOURS (one moon degree would do it.  ALTERNATELY, SOME PLANETARY HOURS ARE EXTREMELY POSITIVE OR NEGATIVE ALLOWING US ENTRY INTO A TRADE.
SHOULD THE MARKET NOT "AGREE," WE ARE NATURALLY NERVOUS AND EXIT OR TIGHTLY STOP THE MOMENT OUR TIME PERIOD IS OVER ASSUMING THE MARKET HAS NOT GONE AGAINST US BUT IS MORE OR LESS NEUTRAL?

5) You said that stops are to invalidate trades and for money management.  Do you stops to follow up a trade and allow the stop take you out, or is your objective to sell based on market action or a preset objective?
OUR SYSTEM IS DESIGNED TO ANTICIPATE THE MARKET, NOT HAVE THE MARKET GUIDE US.  OUR BASIC OBJECTIVE IS TO SELL AT MARKET OBJECTIVE.  HOWEVER, WE EFFECTIVELY "RENEW" A TRADE EACH TIME UNIT, HOUR, DAY, WEEK OR MONTH CLOSE.  IF HIGHLY PROFITABLE, NATURALLY TRAILING STOPS ARE PLACED FOR MONEY MANAGEMENT REGARDLESS OF TRADE INVALIDATION AS "TURNING A GREAT WINNER INTO EVEN A SMALL LOSER" IS A CARDINAL TRADING RULE FOR US.