austin p the problem with the mkt is the short side is very very hard as the dips have been very shallow. thus few people jumped on thursday price break. most technicians saw it as a breakout day and were probably caught long. and most of us have been trained to never short in the hole as it just hasn't worked well. buying all intraday dips and chasing the highest flyers is whats worked.i havea friend who's not made a dime in the mkt the last 10 years(actually he's probably lost 300k). he's not a full time trader and got a huge payday of over $1 mil in his regular job. he took 500k 5 weeks ago and started buying apple,bidu, and goog calls. last friday he had 100 goog calls overnight from thursday and apple calls and walked away with 340k. in 5 weeks he's taken 500k-$1.35 mil. he has tight stops in but the question is can he keep it. just an example of something thats worked chasing flyers.
Grinding it out, day after day
- Thread starter lescor
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amen. I saw guys take $100,000 to $2+ mil on QCOM leaps back in the day... and right back to $0 in the end
guys who hit those jackpots never want to take their gains and be happy... they always insist on holding fast in typical greed fashion. doubt this case will end any different, expect your friend to have visions of $5mil in his head
The action right now is identical to the January and April action this year. Strong bull runs becoming overextended, with the daily range narrowing and the breakouts failing. Here we are again, closing out a big earnings month and every shallow dip being bought. I believe at this point the odds of a decent pullback or possibly even a correction are more favorable than a sustainable upside breakout.
As a trend-follower I'd only buy dips, not breakouts. As a counter-trend trader, I'd look to sell every failed breakout, knowing that I'd be well-positioned near the top when the pullback/correction occurs.
As a day trader, I'm on Austin's team, CL rocks!
yes you're correct in all likely hood he will give it all back. but in the meantime its dam impossible to take his constant bragging. last monday or tuesday he had 200 nov bidu calls and he showed me his account on skype and he was up like 50k in 1 hr and he was greedy and ended up losing. its like play money for him now. i guess when you make over 300k in a day it makes you feel invinsible. speaking of qcom thats were dan zanger took his 18k to $42 mil in 18 months in the 98-2000 period still a world record. and i here he's still killing it.
A few signs of hope this week. Good action in several stocks, seeing some juice here and there. There was actually enough activity to keep me at my desk a few hours some days this week.
+$23k on 438k shares. Daily pl was +6, +4, -1, +3, +11
Maybe this is an inkling of some good trading coming our way.
+$23k on 438k shares. Daily pl was +6, +4, -1, +3, +11
Maybe this is an inkling of some good trading coming our way.
Lescor - I just finished reading your entire thread and have to say I have real respect for what you are accomplishing. I have a question that I hope you can answer. In a post, you mention you will open trades and step away from the computer for several hours. Can you discuss how you developed the discipline to not continuously look at your positions. Is it confidence in your strategy or something else? I am currently dealing with this issue, and I find that if I don't end up closing positions early, my strategy will generally work as planned.
Lescor - Thanks for the thread, it's a place I often visit for inspiration on the tougher days. I just wanted to ask - do you think echo will eventually be forced to reduce payout? I'm with IB now, and have been considering moving to bright or echo for awhile now. Needless to say, I was pretty disappointed when I heard Bright was basically forced to reduce to an 80% payout. So if you have time, I'd love to hear your insights regarding whether or not echo will be able to maintain 100% payout in this tougher regulatory environment.
Thanks!
Thanks!