Invest $10,000 of fake money and have my investment either return me my money back or make me a profit, aiming for a 5% increase(even though that seems impossible)

Have a well versed understanding of what stock trading is and its different patterns

Do you want to continue this habit of trading, and do you think it would be something that would be good to keep teaching or something that should be forgotten about?

Does trading take time from your job, and is it stressful?

 When you first started trading, what was your mindset, and how is it now

How do you identify a good investment?

Are there certain patterns in trading that are more frequent and reliable than others?

Will this be able to open up other career paths in economics and business, even though i may not be qualified (as in degrees)

1.

" I would say word of mouth. ive always heard of investing and how it might be lucrative, and the increasing amount of opportunity within that market, so once i got my own personal computer, around 12 years ago give or take? I researched about investments and trading, and it just evolved from there.

2.

i think that its a good thing to cultivate and progress with, the earlier you start the better! its good that your working on this so early because it will give you and understanding for the future in case you want to pursue this career path.

3.

not exactly, as i dont really do it full time and only trade casually in low amounts. as a full time job im sure its exhausting though.

4.

I had and have maintained a forward thinking mindset. you can never really learn to much, right?

5. Backround research is really important, and this is good for you because you know how to navigate websites and all that, so you have an advantage over me. id say be thorough and make sure your confident in your investment, and dont. let anyone talk you into it, make the decision yourself!

6.

well i wouldnt know, as im not to well versed in recognizing patterns and such, but i would say just be aware before investing. make sure you know whats going on in the world and make your decisions off of that

7.

Yeah! i mean, it might be hard to find evidence and propose it as experience but its definetly something that improves your CV and resume. especially now that your in highschool and have to be aware of that.

Taizo smidt-olsen

1. we are slowly transferring to a dig age, ai take our jobs, trading dont req AI, easy, spend index funds, do it slowly. my dad is a stock trader and i look at his work

2. There have been fluqtuations, but it is still a skill to have because companys like netflix who had a 500 hkd increase of stock in one year

   
   

3. sometimes it is stressful because it is hard to predict whats happening. but you can never predict the market fully

   
   

4. minset was to do dummy stocks and see how they preform, but now i want to buy index funds

   
   

5. yes, like for example if netflix released a bad movie, the stock price would go down, but you could predict it going down because its a bad movie and you know its going to flop.

   
   

6. yes, because you could tutor, you could go into a job with finance as long as you go to a good colledge.

   
   

John gunning

1. maggie was the one to influence me, and it kind of just went from there

2. Yeah, its something nice to have on the side from my job.

3. just have some awerness of whats going on online

   
   

4 just persevere

5. not that i can trust 100%,

6. OF COURSE! even if it doesnt open up anything financially it provides good life long skills

• Breakout: When the price pushes through a key level (like a ceiling or floor), signaling potential momentum.

  • Example: If a stock stuck between 50–50–55 suddenly jumps to $56, it’s a breakout.

• Reversal: A trend changing direction (up to down or down to up).

  • Bullish = Price rising (like a bull charging upward).

  • Bearish = Price falling (like a bear swiping downward).

Candlestick Patterns

Shooting Star (Warning of a Drop)

• Looks like: A star with a long tail above a small body.

• What it means: Buyers pushed prices up, but sellers smashed them back down—could mean a peak.

• Confirmation: Next candle should close lower.

Doji (Market Indecision)

• Looks like: A cross or plus sign (open and close nearly equal).

• What it means: Buyers and sellers are equally matched—watch for the next move to confirm direction.

Hammer (Sign of a Bounce)

• Looks like: A hammer with a long tail below a small body.

• What it means: Sellers drove prices down, but buyers fought back—could signal a turnaround.

Popular Day Trading Patterns

Morning Consolidation

• Ideal for: Early traders who want quick moves.

• Why it works: Stocks often gap up/down at open, then consolidate before a clear direction.

Late Consolidation

• Ideal for: Traders who prefer slower, steadier moves.

• Why it works: Less noise than morning; trends often continue into close.

Price Action Strategies

Zone Strategy

• Dead Zone: Choppy, sideways price action—avoid trading here.

• Red Zone: Price nears a key level—prepare for a breakout.

• End Zone: Profit-taking area (like a finish line).

Outside Bar

• What it shows: A strong shift in sentiment after a breakout.

• Key detail: Must occur near support/resistance for higher accuracy.

Spring at Support

• What happens: Price briefly dips below support but snaps back—traps sellers.

• Why it matters: False breakouts often lead to strong reversals.

Time Frames Explained

• Primary Trend (60-min chart): The "big picture" trend.

• Short-Term (15-min/5-min): For fine-tuning entries/exits.

• Golden Rule: Align short-term trades with the primary trend.

Key Terms

• Support/Resistance: Price floors (support) and ceilings (resistance).

• Volume: Number of shares traded—high volume confirms breakouts/reversals.

• Retracement: A small pullback in a trend (like catching breath before continuing).

• Goal: Hold positions for weeks to years (not hours/days).

  • Why? Less noise, lower taxes (in some countries), aligns with big trends.

• Key Term: Trend – The general direction prices move over time (up = bullish, down = bearish).

2. Chart Patterns (With Context)

Head and Shoulders (H&S)

• What? A topping pattern (3 peaks: left shoulder, head, right shoulder).

  • Context: Like a mountain with a tall middle peak—shows buyers losing steam.

• Inverse H&S: Same but upside-down = bottoming pattern.

• Confirmation: Price breaks the neckline (support/resistance line connecting lows).

Cup and Handle

• What? A U-shaped recovery (cup) + small dip (handle).

  • Context: Imagine coffee cooling—price settles, then gets a final dip before rising.

• Key Detail: Handle should have low volume; breakout needs high volume.

Double Top/Bottom

• Double Top (Bearish): Two failed attempts to break resistance.

  • Context: Like a basketball hitting the ceiling twice and falling back.

• Double Bottom (Bullish): Two failed attempts to break support.

3. Key Indicators (Explained Simply)

Moving Averages (MAs)

• 200-Day MA: The "market mood" line.

  • Price above = bull market; below = bear market.

• Golden Cross: 50-day MA crosses above 200-day MA = buy signal.

• Death Cross: 50-day MA crosses below 200-day MA = sell signal.

MACD (Trend Strength)

• What? Two lines (MACD + Signal) + histogram.

  • Bullish: MACD line crosses above Signal line.

  • Bearish: MACD line crosses below Signal line.

• Divergence: Price makes new highs, but MACD doesn’t = warning sign.

RSI (Overbought/Oversold)

• 30 or Below: Oversold (might bounce back).

• 70 or Above: Overbought (might drop).

  • Context: Like a rubber band—stretch too far, it snaps back.

4. Fundamental Analysis (For Long-Term Traders)

Financial Metrics

• P/E Ratio (Price-to-Earnings):

  • High P/E = Expensive (e.g., 50+).

  • Low P/E = Cheap (e.g., under 15).

• Revenue Growth: Companies growing sales = healthier long-term.

• Debt-to-Equity: High debt = risky in downturns.

Macro Trends

• Interest Rates: Rising rates = bad for growth stocks (e.g., tech).

• Sector Rotation: Money moves between industries (e.g., from tech to energy).

5. Risk Management (Must-Know Rules)

• Position Sizing: Never risk >1-2% of your account on one trade.

• Stop-Loss: Automatic sell order if trade goes against you.

  • Example: Buy at 100,stop−lossat100,stop−lossat90 (10% risk).

• Trailing Stop: Locks in profits as price rises (e.g., 10% below highest price).

6. Timeframes & Patience

• Primary Trend: Check weekly/monthly charts first.

• Entry/Exit: Use daily charts for timing.

• Avoid: Panic-selling over short-term news.

7. Psychology (The Hidden Key)

• Patience: Trends take time—don’t force trades.

• FOMO (Fear of Missing Out): Ignore hype; stick to your plan.

• Review Quarterly: Adjust strategy based on performance.

Key Terms (For Beginners)

• Support/Resistance: Price floors (support) and ceilings (resistance).

• Breakout: Price closes above resistance or below support.

• Dividend Yield: Yearly dividend ÷ stock price (e.g., 2dividendon2dividendon100 stock = 2% yield).

Example Trade (Step-by-Step)

1. Find a Stock: Strong earnings + above 200-day MA.

2. Wait for Pattern: Cup and Handle forms on weekly chart.

3. Enter: Buy when price breaks handle’s high with high volume.

4. Exit: Sell when RSI >70 or trailing stop hits.