Search results

with so much noise out there now to capture . a pairs strategy with a longer time frame is perfect. Trading a relationship between 2 equities, you need time to capture a reversion. A short term strategy does not give you enough time to capture a big move and reversion. I never thought I'd see...

If you are using a value strategy, you would many times be getting long the weaker stock and shorting the higher multiple growth stock. As others have stated you are playing these types of pairs for a longer time frame, using larger distribution levels for layering and trying to capture as much...

Correct, however i usually like to add to the position rather than take off a position since i am probably in the position at a good spread price, I'd rather not jeopardize that good position by taking one side off in case im wrong. This strategy only works well when your spread is far enough...

I got caught in several pairs like that today, it was frustrating to say the least, but tight spreads allow you to trade the stocks of the pair individually and weight yourself to the movements of the market. As the market began to trend upwards I was able to get extra long several pairs, some...

Solar/Alternative energy. It is the future, and presently "green" is the new thing

sorry, not Wilma, it was Rita.

Now the forecast is for it to slow down and stall just offshore of Louisiana Monday/Tuesday as a high pressure system holds over the Southeast. Could batter the rigs like Wilma a few years ago.

I tend to put a pair on that is fundamentally biased and then trade that position until it becomes neutral. Timing is much less of an issue, distribution of layers is more important. But I also scalp positions which like you said is all about ATR, relative strength/weakness and timing. I try...

I agree mkt cap is important, more important??, depends on the pair I think. A billion dollar mkt cap stock trading at 11 P/B and a 4 billion company trading at book value, who is more likely to get bought out?

I agree, buyouts are oh so painful, not as bad as a merger blowout, but close. I was taught to also try to be long the smaller market cap company, another consideration when choosing a bias.

I always trade with fundamental bias, unless the pairs are fundamentally neutral. When the fundamentals kick in, you don't want to be on the wrong side. Fundamentals give you another edge, especially when carrying pairs overnight or swing trading. CF is one of the more undervalued stocks in...

still holding tight to some chessie, out a few of the others with some nice gains. interesting action all around today in the oil patch, APA lagging the sector a little bit, bought some for a scalp

none of your trades were hedged, where's the hedging part come in?

I trade a portfolio of pairs as well as some long positions to balance out my capital and stay as neutral as possible. Look forward to seeing your methods. best of luck.

did you see that move in APC today?? it ripped off it's lows when nat gas started rallying. Nibbled at some Xto this morning as well as took some profits in that Apc.

I have been buying up Chk, Xto, Apa, Dvn, Rdc, Apc. I hedge them short a few names that are overvalued like Rrc or Esv, they are my bread and butter for intraday scalping. I also have been watching the hurricane forecasts closely, also looking for colder weather to drive prices up, see what...

some of the biggest traders are prop traders, locals on the floor and fund managers who trade for themselves and clear through a big bank.

i was told by someone that if he doesn't make at least 50k/day it's not worth it, in response to the question "How much money can you make trading?" He was also on the trader monthly top 100 traders, but why wouldn't 100k/day average be possible if you're worth a couple hundred million already?

I have been arbing a lot of contractual pairs lately, particularly on opening prints. There has been large movements in many of the spreads, also in the US and ADR spreads.

the roar of the pit can be misleading at times, the traders in the pit may start screaming sold, but that doesn't move the market as much as large paper coming in and traders backing away from it, so it gets a little more quiet. Similarly, when locals get stuck, it gets quiet as they bite their...