Yesterday ACN was in play. One of our new traders showed his trading tape of ACN. He was doing the heavy lifting in this stock. This was not necessary. Let’s discuss how to find the easiest play in an ACN from yesterday’s action. Below is the news on ACN before the Open: Accenture beats by $0.04, reports revs in-line; guides … Read More
From the Mailbag: BA
Yesterday we blogged about a short in BA. A reader posted this question in response. Daryn Says: June 24th, 2009 at 5:17 pm I was thrilled to see this post today… at least I knew I was looking for the right trades. What would you say to a trader who watched this trade setup and then somehow managed to walk … Read More
BA- A Good Chance to Trade Lower
Our desk did a nice job of trading BA today on the short side. Below 42.75 BA offered an excellent risk/reward opportunity short. Let’s discuss why this level was so likely to work. Often traders are in the wrong stock. Or often traders determine levels in stocks that are not significant. BA was not the wrong stock today. 42.75 … Read More
US Open Flu?
I have missed the past two trading days because of the flu. I know what some of your are thinking. Hmmm. Bella loves watching golf. And he is always blogging about how much he loves that Phil Mickelson. And Phil made a run at the Open today. The US Open was just in Bethpage. Was this the US Open Flu? … Read More
From the Mailbag – Part 3
I received this question the other day and thought we could discuss it. Ok so here goes… Rusmin Says: Friday, June 19th, 2009 at 3:24 am I want to ask you a question. But before I ask you that, I want to tell you something. I had a similar day where i took a huge rip. I f**ked up fifteen … Read More
Slowing Down Your Game
So I wrote a post yesterday about a memorable rip I took for my lack of focus. I appreciate the posts by our readers which demonstrated that some good came out of my rip, a lesson shared. I was thinking of titling this post, “And then the Sun Came Up”, but as I tweeted today it has rained everyday … Read More
Unnecessary
I made an unforced error on the Open today. I did something I never do. I broke a trading rule that I never break. And I pride myself on my discipline. I’m not concerned that I will ever repeat this error. I doubt that I will. I’m the most disciplined trader that I know. I just don’t make many mistakes. … Read More
Algorithmic Programs That Will Be Eliminated
Yesterday I wrote about secondary plays, and a program we call Buying the New Low. When a stock makes a new intraday low algorithmic programs buy this new low because they know that short term traders will get short. These programs are betting that only light volume will enter the market when a stock makes a new low. They buy … Read More