As intraday traders we can be guilty of overtrading. Before the open and then intraday I ask myself: where is the real trade? SPY today? The real trade was to short near 109. You could make up other trades but that was the real trade. JWN? The real trade was buying a pullback when it spiked above the 32 level … Read More
The Market Doesn’t Care About Your Opinion (KSS)
The market doesn’t care about your opinion. If you have a problem with this, get over it. Today during our After the Open Review one our Newbs got a harsh tongue lashing for thinking he knew better than the market. This is a learning experience for us all. Iron Mike Mike made a great trade in KSS on the … Read More
An Exercise 2 Help U Improve as a Trader (RIG)
Today RIG was the easiest of stocks to trade. 55 was the level. RIG dipped below there. And it trended in the most beautiful downtrend. Were you in this trade? I wasn’t. This level was discussed during our AM meeting. Again I wasn’t in this trade. We have discussed this RIG level on our desk for days. Oil was weak. … Read More
Logic and Detail Newbs
After the open we took the new guys into the training room for them to highlight their One Good Trade(s). I move to the back of the room, open up the floor for them to present any best trades to the rest of the class, and let the new class argue amongst each other. What do they need me for … Read More
One Good Trade Unveiled: An Unfiltered Review and the Chance to Win the Book
Click on the picture above for the full review. Steven Place writes for Investing with Options Join him for StockTwits Brunch with Steven Place on Saturdays at 11 AM on StockTwits TV For more about Steven Place see his new site: earningstrades.com
Options Trade of the Week
Trade: 8/10/2010 WHR $86.07 Buy 2 August 85/90 call spread limit price $ 1.65 target 3.00/ by August 17th stop 1.10/or a stock close below 83 Reasoning: WHR- looks like it found some support in the 85 level the past few weeks. A move above the 87.31 level should see the $90 level quickly (same day or with a … Read More
Traders Ask- Now What?
Question: What do traders do for the rest of the day after they have been stopped out especially when it happens early in the day? Answer: Thank you for the excellent question. You trade on the demo. You make details notes in your trading journal about the set ups that ended as losers. You talk to others on the … Read More
Shorted HPQ But Not For Size
I shorted HPQ on the Open at 43.70 but no for size. It is more than a point lower and I am reviewing whether I was a wuss, my intuition not to short with size was appropriate, or something else. At SMB we make trading decisions based upon three factors: Reading the Tape, Intraday Fundamentals, and Technical Analysis. HPQ had … Read More