First Metro Asset Management Inc

THE NEW TRADING SYSTEM by Gus Cosio

6:50 pm  Monday  26 July 2010

Today was not a typical day at all.  Personally, my rhythm in following local stocks has become syncopated and I am still a bit uneasy with the new fluctuations.  It could take some time before getting used to.  The problem really is training the mind on how the new prices work and how your bid /offer strategy would be when you are getting in and out of the market.  On paper, it looks very simple; but when you’ve gotten used to doing things one way for most of your stock trading life, it does not feel that simple.  It probably will be after a bit of practice.  That was why brokers who seriously rehearsed for the cross-over to the new system were having an easier time than those who did not.

Bottom line, stock values will still be viewed the same way whether it is traded in the old system or the new.  If the stock is cheap, it will attract buyers.  If it is over-valued, it will encourage sellers.  The thing to do, then, is to look again at prices and get used to these narrower fluctuations.

I do not have much to say except that I will continue to follow the stocks that I was watching last week and see if the trend remains intact.  It is still a matter of value, no matter how you put it.

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!

You must be logged in to post a comment.

First Metro Asset Management Inc