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
SMB on StockTwits
Mike Bellafiore and Steven Spencer, partners at SMB Capital, appeared today with StockTwits founder Howard Lindzon on StockTwits TV. In the interview, they discuss the history of SMB Capital, characteristics of a successful prop trader, and the role of technology in training and communicating with traders. Watch the clip here and feel free to leave your comments on this blog. … Read More
It’s Called Trading
Each day into the Close our intern Krysten asks me to share a trading idea for our Twitter feed. Today I told her that I was short AAPL below 138 but would cover above 138.15. AAPL had failed at the 138 level earlier in the day and had a significant down move. I was risking 15 cents to make potentially … 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
RIMM For Tomorrow
I traded RIMM in the aftermarket today. It was a bit of a roller coaster ride. Initially our “chirp guy” (person who reads breaking news over a speaker) said they beat their earnings estimate by around 20%. I have a rule in the after hours when trading a momentum stock. If they beat estimates by more than 10% I buy. … Read More
I Am a Technical Trader
This afternoon on CNBC’s Fast Money Halftime Report, Dennis Gartman (producer of the respected The Gartman Letter and former futures analyst for A.G. & Becker) and I seemed to dissent about how to play GS. We didn’t. Let’s discuss. About a week ago, I advocated shorting GS at 150 with a stop at 151.17 and a target of 140. For … Read More