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About Mark Hodge
(Top Expert on this page)

Expertise
Questions related to technical analysis, strategies, risk, trading plans, trading psychology and money management. Experience in trading all markets and timeframes with expertise in futures (e-minis, currency futures, commodities, European Markets-DAX) and equity options. Unfortunately I am not allowed to offer any specific trading advice (i.e. should I go long the DAX today).

Experience
I have been involved in the industry since 1995 working for Morgan Stanley Dean Witter and American Express Financial Advisors before becoming a full time trader. As Head Education Coach with Rockwell Trading I have coached hundreds of students around the world to achieve their trading goals with simple strategies, a sound trading plan and proper money management for the leveraged markets.

Organizations
Currently serving as Rockwell Trading's Head Education Coach www.rockwelltrading.com and moderator for Rockwell's Student Trading Room where we follow opportunities in the minis, interest rates, currency and grain markets daily.

Education/Credentials
Formerly licensed as a financial advisor with Series 6, 7, and 63 licenses. B.A. in Organizational Communications with a Business Minor from California State University, Sacramento.

Past/Present Clients
I have worked with institutional traders, brokers, proprietary trading firms and private traders but respect their anonymity.
One of the few distinguished World Cup Advisors www.worldcupadvisors.com

   

You are here:  Experts > Money > Day Trading > Day Trading

Questions Answered By Expert  Mark Hodge 
In Category  Day Trading

SubjectDate Asked

Options11/16/2009
  Q: Mark, I've day-traded for a few years and have done okay, making a little spending money each year. ...
  A: I want to apologize for the late response, but it has been a pretty busy week here. When you say ...
Trading for Dummies11/10/2009
  Q: About 2 years ago I opened an account with one of those online trading companies just to have a ...
  A: Trading can be a fun and exciting way to earn income, or secondary income, but it should be treated ...
day trader10/22/2009
  Q: do you need a license to become a day trader
  A: Good question. Licenses really only come into play if you are going to be making trading ...
Trader Tax Experts10/12/2009
  Q: other than the Green Trader Tax service are there any other credible trader tax preparers for which ...
  A: I'm sure there are other tax services available but we usually recommend Green Trader Tax and they ...
brk.a8/18/2009
  Q: Is there a brokerage that is capable of trading brk.a online? Right now, I have to place these ...
  A: I don't trade Berkshire Hathaway stock but I tried to enter a trade(BRK/A)in my Options Express ...
How to get started right?7/7/2009
  Q: Hodge; My name is Curtis. I’ve recently (4/09) started day trading, almost on a lark. I’ve had ...
  A: Welcome to the world of day trading! It sounds like you have seen success making picks on a hunch, ...
Options7/3/2009
  Q: Dave here again. I do indeed have a question about Options for you. Not so much for the training, ...
  A: Using the insurance analogy, I could see where you can come to that conclusion, but remember that ...
GM?7/1/2009
  Q: I'm a few weeks away from having my Series 7! Woo! Quick question for you about GM stock. It's ...
  A: Hey Dave, Good luck with the 7! It's not as hard as people make it out to be, but some people in my ...
Mark, Have you ever considered writting a book? and if not7/1/2009
  Q: why not? I have been in this trading game since the days of Harvey Houtkin and actually am in the ...
  A: Hey DayTrader Jack! Thanks for the great feedback and recognition. A book is one of the many items ...
stock advice6/28/2009
  Q: What print or web sources would an investor find useful in making decisions about stocks that are ...
  A: I personally haven't used SmarTrend so can't really be of an assistance there. It does sound like ...
Question about online trading6/27/2009
  Q: My name is Aleksandar and I am in Europe. I am relatively new in Stock business. Still there are a ...
  A: Welcome to the wonderful world of trading! As a U.S. based trader, I must admit that I am more ...
stock advice6/25/2009
  Q: What print or web sources would an investor find useful in making decisions about stocks that are ...
  A: Looks like a 2 part question...How do I find stocks that are likely to rise? ;) A suitable answer is ...
seeking advice6/18/2009
  Q: How can I 21 year old male start investing money in a way that will not result in him losing money ...
  A: the only real way to invest money and have zero risk, is to put money into an interest bearing ...
What Percentage Of DayTraders Survive In This Market? Is Option Trading Even more Challenging?6/17/2009
  Q: Many starry eyed men and woman think Daytrading is some type of game where you can walk up to a tree ...
  A: The North American Securities Administrators Association did a study and found that 11.5% of traders ...
pink stocks6/12/2009
  Q: What are pink stocks and are they risky? thanks ANSWER: Hi Robert, Pink sheet stocks are stocks ...
  A: Unfortunately I'm not licensed to offer trading recommendations or specific trading advice. What I ...
pink stocks6/12/2009
  Q: What are pink stocks and are they risky? thanks
  A: Pink sheet stocks are stocks that are "penny stocks" not traded through a major exchange, and ...
trading odds question5/28/2009
  Q: one of my hobbies is following the futures markets and now I'm trying to understand the odds or ...
  A: Based on the odds, in an ideal situation you could expect: 1) $3000 profit 2) $3000 profit 3) ...
hello5/23/2009
  Q: A newbie question. Is it possible to day trade berkshire hathaway A stock? The stock costs about 92 ...
  A: From a volume perspective, this would make it very difficult yes and the cost is why so few shares ...
Dividends5/22/2009
  Q: I`ve just recently began learning about buying and selling stock. It`s not in my immediate future to ...
  A: Dividends are paid to the holder of a stock and they are ways some companies pay back the owners of ...
hello5/19/2009
  Q: A newbie question. Is it possible to day trade berkshire hathaway A stock? The stock costs about 92 ...
  A: Yes, technically you could buy Bershire Hathaway (BRK_A) and sell it and repeat the process. The ...
trading penny stocks5/17/2009
  Q: I am new to stock trading and would like to know that if I buy about 20 000 stocks for 0.01 each and ...
  A: Welcome to the world of trading! Whenever you go to take a stock trade, you will see a bid price ...
e-mini S&p 500 option premium5/5/2009
  Q: I am new to e-mini S&p 500..i was wondering if you can tell me that, if for example, E-mini s&p 500, ...
  A: The CME actually has some great educational material on options on futures for beginners. This can ...
STOCKS4/14/2009
  Q: it's Tony again. My question is, what is the most IMPORTANT fundamental thing{s} to know about a ...
  A: I personally find that monitoring important fundamentals is too time consuming and not very ...
Reading the Ticker4/9/2009
  Q: Sorry for the stupid question but how do I read the crawl bar at the bottom of the major business ...
  A: You go it. Quotes are delayed and when there are quotes being displayed in light trading periods ...
Technical analysis4/1/2009
  Q: I am currently working on various technical analysis indicators and trying to come up with a ...
  A: This question really goes beyond the scope of just a simple reply. Strategies can be trend fading, ...
Stock terms used3/30/2009
  Q: What does one mean by the term used as use "trailing buy", "sell-stops" or "trail stop loss to ...
  A: Trailing stops can be used if you are in a trade and want a stop or order to "follow" or "trail" the ...
Basis Points/Index Points3/24/2009
  Q: Howdy Mark My name's Tony and I'm currently enthralled in all aspects of finance learning ...
  A: Good luck with your learning! Take the time to learn as much as you can and you will be rewarded. ...
Risk management and trading pyschology3/15/2009
  Q: My name is Richard and im based in the UK, Ive been studying forex trading now for the last 2 yrs, ...
  A: To be honest, I could give a two hour seminar on money management & trading psychology and still ...
futures volume3/12/2009
  Q: Mark, I daytrade,swingtrade equities from my home.Generally,I start my day looking at the overseas ...
  A: Hey Ken, I'm not aware of a free service that would allow you to view real-time volume and if there ...
Trend/Position Trading2/28/2009
  Q: I find Stan Weinstein's "Secrets for Profiting in Bull & Bear Markets" such a well written, easy to ...
  A: I want to begin by apologizing for the late reply. Trading and coaching kept me away from my ...
Day Trade Records2/10/2009
  Q: Mark,I've been daytrading a couple years and dread tax time because it is so time-consuming entering ...
  A: Ed I wish I could give you a simple solution and program, but this is EXACTLY why I hire a CPA to ...
Trading1/12/2009
  Q: A couple of months ago I started learning how market indicators work. I learned that I was pretty ...
  A: I apologize for the delay, but it looks like my original reply didn't get submitted somehow. I'll ...
brokerages12/5/2008
  Q: I am a beginning investor looking for some resources to help me accomplish what I would like to do ...
  A: I've had experiences with the following brokerages and think that they all offer great resources and ...
stocks12/4/2008
  Q: My son's jr. high algebra class is doing a "fun" thing on the side. Each student is to pick 5 ...
  A: I did the same exercise in High School. It's great to hear that they are introducing the markets in ...
get around day trade rules11/27/2008
  Q: Can a person use two different on-line brokerage firms, and with each, day trade 4 round trips ...
  A: You know I've never considered this, and haven't had this asked before, but it is my understanding ...
day trading group10/28/2008
  Q: I don't have $25,000. I am frustrated with my limit of 3 trades a week with TD Ameritrade. I worry ...
  A: Yes this is a big disadvantage for the active trader that doesn't have trading capital of 25K or ...
stock markets10/27/2008
  Q: I've strongly been influenced by the crisis the world stock markets are hit by. And I'm now ...
  A: I think a previous response below will help answer your question. In addition, changes to the index ...
X Dividend Day10/26/2008
  Q: If I sell a mutual fund before X dividend day do I receive the dividends and are the dividends ...
  A: There are basically two dates to be aware of, the Ex-Dividend and Record Date. Typically the ...
Day Trading10/25/2008
  Q: Hey, I was wondering whether this would be considered day- trading according to SEC rules: Buying ...
  A: I'd encourage you to check with your broker to get specific answers on this, but to clarify... NASD ...
learning the stock market10/24/2008
  Q: What would be the easiest way to learn and practice the stock market without risking losing any ...
  A: Trading and investing can be fun and VERY rewarding. You can actually practice simulated trading ...
E-trading10/22/2008
  Q: hodge, I'm a newcomer..When I buy shares in the stock market can I sell them straight away (the same ...
  A: Yes you can sell shares the same day that they are purchased. Your broker will typically show these ...
Active Options trading Tools10/17/2008
  Q: What would you recommend as the best brokerage firms (software, resources, trading system...) ...
  A: For futures trading and charting I use Trade Navigator Platinum (www.genesisft.com) For options I ...
strict day trade definition question.10/9/2008
  Q: If I buy 100 shares of stock xyz today, then sell it the next day but end up buying it back on the ...
  A: The Pattern Day Trader rule is meant to "protect" traders with smaller accounts from the "risks" of ...
Stock Index10/7/2008
  Q: In lay terms define the term "Index" as it refers to the Dow for example. Just what does a "point" ...
  A: I'm sorry for the delay, but I've been busy with a week long futures trading boot camp this week and ...
OPTION PREMIUM9/20/2008
  Q: I am looking @ GS options but the premium is unbelievably expensive. What is the most prudent way ...
  A: MOST options traders prefer to be SELLERS of options when volatility is high, to profit from the ...
Dollar Index9/18/2008
  Q: What do the amounts on the chart of the dollar index represent? For example, on the index, the ...
  A: The number represents the value of the dollar AGAINST a basket of other currencies. So right the ...
OPTION PREMIUM9/17/2008
  Q: I am looking @ GS options but the premium is unbelievably expensive. What is the most prudent way ...
  A: It has been a wild week on Wall Street and when uncertainty hits, option premiums typically go up. ...
Stock market technical question9/17/2008
  Q: I have always wondered about some things on how the stock market really works. To begin with this ...
  A: Welcome to the wonderful world of trading and investing, where many times things just don't make ...
Dollar Index9/15/2008
  Q: What do the amounts on the chart of the dollar index represent? For example, on the index, the ...
  A: The US Dollar Index $DXY is an index that measures the value of the dollar against a basket of ...
trading8/26/2008
  Q: is it possible to impliment a trading strategy where you make profits, wether the market goes up, ...
  A: Strategies typically fall under two different categories: 1) Trend Following 2) Trend Fading Trend ...
Trend & Trading Range8/13/2008
  Q: Can you define "current trend" and "trading range" if a chart indicator gives a sign that a current ...
  A: Markets move in three directions: 1) Up 2) Down 3) Sideways An uptrend is typically defined by a ...
Chart Time Periods7/29/2008
  Q: What chart time periods (minutes and hours) are used for a short-term, medium-term and long-term ...
  A: Moving averages should really be used to identify opportunity, and give a trader the ability to spot ...
I am new to stocks and trading.7/23/2008
  Q: I would like to make some extra money. Stocks seems like a great way to do that. I do not have a lot ...
  A: If you are serious about learning to trade, I think there is never a better time to start. However, ...
Penny mining stocks7/16/2008
  Q: I am emailing on the behalf of my grandmother who lives with me and I am helping with he business ...
  A: I would encourage you to take a look at the following link through the SEC. ...
Options buying and selling7/11/2008
  Q: I have two questions. First, different brokers have different margin requirements for selling ...
  A: I apologize for the delay but was traveling. I'm not quite clear on your question about brokers ...
Time Frame & Period7/8/2008
  Q: Here is my original question. My follow-up is under your reply. On some advance charts the charts ...
  A: With the chart software you are using, you have the option of selecting the time-frame (1 min, 5 ...
shorting7/7/2008
  Q: sometimes when trying to sell a stock short my brokerage firm sends me this message, "short sales in ...
  A: Yes, it is possible that one brokerage will not permit the short sale of stock while another ...
Leverage of options and futures6/12/2008
  Q: When using leverage in options or futures, are you allowed to choose how high or how low your ...
  A: The overnight margin for positions held overnight is standard and set by the exchanges. Day trading ...
Leverage of options and futures6/12/2008
  Q: When using leverage in options or futures, are you allowed to choose how high or how low your ...
  A: My apologies, YOU are right. In attempt to make my answer simple, I believe I made it misleading. ...
Leverage of options and futures6/8/2008
  Q: When using leverage in options or futures, are you allowed to choose how high or how low your ...
  A: I'm sorry for the late response! To answer your question, you cannot select the amount of leverage ...
Multiple Screen Trading5/17/2008
  Q: Hello: I know that it is common for some traders to use different time frames to analysis a ...
  A: When using multiple timeframes, a trader tries to identify the longer term trend with a larger time ...
Technical Tools5/2/2008
  Q: I have been having some success trading 30-40 day credit spreads on individual stocks, starting ...
  A: Sorry about the delay! Would you mind emailing me at support@rockwelltrading.com I think we have ...
Technical Tools4/27/2008
  Q: I have been having some success trading 30-40 day credit spreads on individual stocks, starting ...
  A: I was tempted not to answer this because I haven't traded credit spreads for a long time. I like ...
Blogs and Chat Rooms4/26/2008
  Q: Mark, I've been day-trading for a few years and do rather well, but I'm coming to a standstill now. ...
  A: I'm a bit out of the chat room and/or blog circuit but I think the following websites are GREAT for ...
Pivot Points4/17/2008
  Q: When pivot points are calculated, should they be calculated from the previous day or as current as ...
  A: Here we have your typical pivot point calculation: Pivot Point (PP) = (High + Low + Close) / 3 ...
Pivot Points4/15/2008
  Q: When pivot points are calculated, should they be calculated from the previous day or as current as ...
  A: There are several ways to calculating pivot points, but the standard is using the previous day's ...
PDA for day traders4/10/2008
  Q: i am looking for a really really reliable PDA to have a real time ticker at my side all the time. ...
  A: I REALLY hope that this is JUST "in case" ;) I couldn't imagine attempting to do much trading from a ...
Multiple Charts3/21/2008
  Q: Why do some traders use different timeframes or multiple charts when trading online? I thank you ...
  A: A trader's number one objective is to spot opportunity. Opportunities might come in different ...
buy to cover3/19/2008
  Q: but after shorting a stock I noticed the price type button appear, I cant understand why it would be ...
  A: I want to start off by recommending that you consult your broker if you have ANY order entry/exit ...
charting3/17/2008
  Q: I've heard a few traders talk about "charting". I get the impression this is a specific ...
  A: Charting really just refers to how price and time is organized on a chart. This could include ...
finding a plan3/9/2008
  Q: I have read through a lot of the Q&A posted on this site. The most important thing that i see is, ...
  A: Hey J.R., I'm glad you're excited! Trading can definitely be fun and exciting, and VERY rewarding. ...
finding a plan3/5/2008
  Q: I have read through a lot of the Q&A posted on this site. The most important thing that i see is, ...
  A: R., Keep the questions coming! I'll do my best to answer as my time permits...trading and coaching ...
finding a plan3/3/2008
  Q: I have read through a lot of the Q&A posted on this site. The most important thing that i see is, ...
  A: R., I commend you for taking the time to learn as much as possible about your trading, and your ...
wash rule2/29/2008
  Q: Does the 30 day "wash " rule apply to options or short sells, or is it strictly applied only to ...
  A: I always encourage traders and investors to consult a tax professional for tax related questions, as ...
trader2/29/2008
  Q: SIR, how much % return p.a. consider avrage, good, very good for any trader? ANSWER: Hello Jig, ...
  A: I know that many AllExperts users browse previous questions that have been asked and answered, and ...
Currency Trading System2/11/2008
  Q: I saw this currency trading system at the following site: http://www.simpleforexsolution.com/ Could ...
  A: There really isn't enough information for me to determine whether this approach could be profitable ...
company coming out of bankruptcy1/31/2008
  Q: I am looking at re-investing in a company that currently is in Chap. 11 bankruptcy in order to ...
  A: Unfortunately I'm going to have to offer a mixed response here. 1) Not knowing the specifics behind ...
technical charts1/8/2008
  Q: Sir! where can i learn technical charts used for stock trading? which software can be used to ...
  A: If I understand your question, you are looking for stock charts to view price and technical ...
price action12/30/2007
  Q: you asked me to be more specific. the consecutive matching lows, double bar high with lower close, ...
  A: Jack Schwager is a great guy and great author. This is a book I have not read so I cannot comment on ...
Position sizing12/20/2007
  Q: I'd like to ask you how is position size determined when there is more than 1 position opened. Let ...
  A: Let me begin by saying that the "intent" of using money management when investing is two-fold. 1) ...
trading simulator12/17/2007
  Q: Is there a software package or service that allows me to pick certain stocks and indexes and will ...
  A: Many major brokerages offer free simulated trading that includes quotes, or streaming quotes. This ...
price action11/26/2007
  Q: you asked me to be more specific. the consecutive matching lows, double bar high with lower close, ...
  A: Price action can vary depending on the interpretation. Some people trade using price action by ...
Making money in Day Trading:11/26/2007
  Q: I have read that 95 % from day traders loose money. Is it true? if true, then... making money in day ...
  A: YES! I definitely think technical analysis is the right way to trade, ESPECIALLY in the short term. ...
Making money in Day Trading:11/23/2007
  Q: I have read that 95 % from day traders loose money. Is it true? if true, then... making money in day ...
  A: Day trading can be very fun and rewarding, but you are right that many traders experience challenges ...
Stocks11/15/2007
  Q: how are you doing? I have a friend that uses a stock broker to buy his stocks. He puts a lot of ...
  A: I'm doing great, thanks for asking! In regards to your question, a lot has changed in the last 10 ...
investing11/8/2007
  Q: What do you think of the Blue Book investing theory? The Magic Formula.
  A: I believe that you are referring to Joel Greenblatt’s “The Little Book That Beats the Market” and ...
day trading10/20/2007
  Q: I am interested in learning about day trading but I dont have any prior knowledge of the subject. ...
  A: Well Tristen, I definitely don't want to discourage you from your interest in trading. Investing and ...
day trading10/18/2007
  Q: I am interested in learning about day trading but I dont have any prior knowledge of the subject. ...
  A: Day Trading provides many financial opportunities to individuals who have the patience, discipline ...
day trading10/17/2007
  Q: I am interested in learning about day trading but I dont have any prior knowledge of the subject. ...
  A: Trading is a great way to supplement your income or begin a new career. Unfortunately there are too ...
trading10/10/2007
  Q: I've been trying to learn how to trade the forex, but I'm having a hard time figuring it out. I have ...
  A: To day trade stocks you will need $25,000 but to day trade futures you can get started with $5,000. ...
Day Trading Information10/10/2007
  Q: I’m Jeff, and I am very keen on starting to make money in the market. Being in my early 20s, I know ...
  A: Day Trading is fun and exciting, but many people fail at day trading because they lack discipline or ...
trading10/6/2007
  Q: I've been trying to learn how to trade the forex, but I'm having a hard time figuring it out. I have ...
  A: I want to begin with a brief comment on trading in general...Whether it be stocks, commodities, ...
trading10/4/2007
  Q: I've been trying to learn how to trade the forex, but I'm having a hard time figuring it out. I have ...
  A: I must begin by saying that as a futures trader, I'm a little biased when it comes to Forex trading. ...
Earnings releases9/25/2007
  Q: Mark, What, in your opinion, would be the best way to trade earnings? And what would you regard as ...
  A: I want to begin by saying that trading earnings can be very difficult. I know of a few traders who ...
IPO Allocation9/12/2007
  Q: Mark, Recently i have applied for IPO with price ban of 50 -59 my friend told me that only the guys ...
  A: WOW you took me back a bit. I haven't really traded IPOs since the late 90's. When an IPO is ...
Realistic ROI per Month/Year9/10/2007
  Q: My 2nd question is what is a realistic rate of return for traders with a 50k account in your ...
  A: To answer this question, an individual should address the following: 1) Experience 2) Account Size ...
Partial Exits9/10/2007
  Q: Hey Guys, This is a question for all daytraders, mainly equity traders. I am a daytrader and very ...
  A: This is really a trader's preference and dependent on the strategy that is employed. If a more ...
Forex9/6/2007
  Q: i would like to know how does a currency pair fluctuate or moves in a particular day, even if one of ...
  A: The currency market is a 24 market and doesn't close except for the weekend. The currency market ...
4X Position Sizing, Money Management7/24/2007
  Q: I'm just about to go live with a Forex account (have been demo trading for 4 months now) and am ...
  A: I want to wish you great success with your FX trading and congratulate you on your decision to BEGIN ...
Regression Channel7/18/2007
  Q: Do you have experience using the regression channel or least square (tool) it's presented by some ...
  A: I don't use the regression channel with my own technical analysis and/or trading, so I might not be ...
Stock market day trading7/17/2007
  Q: I am very new to trading and had not invested yet.I am looking forward in investing on day to day ...
  A: The good news is that you have TIME to day trade (the first step). The bad news is that I don't ...
Stock market day trading7/16/2007
  Q: I am very new to trading and had not invested yet.I am looking forward in investing on day to day ...
  A: I want to begin by congratulating you on your interest in learning more about trading. Trading can ...

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