Don's openings Part 3

dafugginman
Member

Registered: Nov 2001
Posts: 43


07-12-02 09:55 AM

ouch.....i'm speechless

-43
-39
-27
-12
-12
-5
-2
+10

7 longs, 1 short. -$1.30.

and with that, i'm negative with this strategy


if you post the stocks and entrys we will look at and comment.
 
here are the significant ones.

09:32:28 Bought 400 AOL 13.52
09:35:26 Sold 400 AOL 13.40


09:34:30 Bought 400 LLY 49.00
09:37:50 Sold 400 LLY 48.61 (0.39)
(wasn't watching this one closely as i was paying attention to the others)
-- i got out on the low print, and it bounced from here. don probably held through the shakeout.

09:36:10 Bought 400 MAS 25.37
09:41:07 Sold 400 MAS 25.10 (0.27)
(executed on a stop at 25.25. spread down to .10)



09:32:51 Bought 400 WMT 53.93
09:35:31 Sold 400 WMT 53.50 (0.43)
(entered sell order when it came back down below my entry. it spread down to .50)
 
today was a "I regret trying that strategy" type day.

its not normal to have an opening drop-out of over 140 Dow points. its not normal to have a gap down of that range either.

I suppose most persons could afford to hold over 40min after the open, and alllow the market to correct, and yield a profit on this strategy.

were any of you able to have done that?
 
Originally posted by dafugginman
ouch.....i'm speechless
-43
-39
-27
-12
-12
-5
-2
+10
7 longs, 1 short. -$1.30.
and with that, i'm negative with this strategy.
More...
buying is as easy as counting cards at Blackjack,
but selling is like playing poker - much harder

you may have simply had too many fills to handle,
which is a problem I've been having.
You might try widening your envelope a notch

Mark
:(
 
Originally posted by GATrader
If my broker execution system does not support OO orders, what is the difference if I enter regular limit orders above and below fair value before the 9:30 opening? My guess is the only issue about this "workaround" is that I have to furiously cancel my limit orders after the 1st couple of prints. Are there any other issues?

thanks in advance
More...

You have a couple of problems or concerns, one of which you already realize...putting in "day" orders and having to cancel them. The other is that the Specialists like to batch the opening orders to determine an opening price...and if they have "day" orders, it may make a difference in their determination of the opening price. If you were "close" on the opening, it could be costly.

The other is that most retail brokers won't allow a "buy" and a "sell" on the same stock at the same time....and the other problem is that they calculate your margin on all entered trades.

Check to see if they won't change their internal rules on this.

Good Luck

Don
 
I am in Seattle, in a hotel room and missed the open this mornijng. Too bad it seems....would have been a good one.

BAck to you on Monday..

Don
 
I grossed $.65 today on 4 longs and 5 shorts. Dumped my longs when things turned south and did well on the shorts, but got out too soon as usual.

I agree with the previous comment about more fills than usual lately. It seems that the extreme activity in the market is just creating more order imbalances on the open. I've widened my envelope a little bit, but am still getting more fills than usual. I've found that 4-7 positions is manageable for me, but have been getting 8-12 on occasion recently. This week was my first losing week with openings since April. Lately the market just seems more twitchy those first 20 minutes and I've been getting shaken out a lot.

Dafugginman, I took all drug and retail stocks off my list today because of news. You can still do well on openings trading stocks in the news, but I've found that the losers are much bigger and the risk is not worth it.
 
How was your performance today? Was it too volatile to set the envelopes wide enough?.....would be interested to see how people did today on the Opening Order strategy.

I hope you guys killed today!

Good trading all.....


mrktwiz
 
Originally posted by mrktwiz
How was your performance today? Was it too volatile to set the envelopes wide enough?.....would be interested to see how people did today on the Opening Order strategy.

I hope you guys killed today!

Good trading all.....


mrktwiz
More...

haven't been posting here as much as I saw too many other doing this strategy and it was losing it's effectiveness.

Only made .10 net after having 20 different fills. Which is low for me ( I tend to average a point net after open) I also noticed same thing the added volatility is getting me more fills and I've increased my envelope lately

Robert
 
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