Opening Orders - 2008
- Thread starter Don Bright
- Start date
OPGs require lambs. Hurry up and go get one. We'll eat the pork.
Today 1 short and one long, not much to be had, +159, 2100 shares.
See you all Monday...
Do any of you use correlation between a stock and the index you're measuring FV with to find stocks that are good to evaluate for opening orders?
Seems to me that those stocks that are highly correlated would have a stronger 'pull' toward FV.
This is all if I'm understanding the strategy and how FV is calculated correctly.
Also - It doesn't seem quite right to scale the envelope using Beta from what I understand Beta to mean.
Seems to me that those stocks that are highly correlated would have a stronger 'pull' toward FV.
This is all if I'm understanding the strategy and how FV is calculated correctly.
Also - It doesn't seem quite right to scale the envelope using Beta from what I understand Beta to mean.
We try to not overcomplicate the whole process (most of us anyway, LOL)....remember, we're simply betting on selling when the Specialist sells, and buying when they buy....we cut the risk down by establishing a fair expected opening price from where the futures are trading...pretty basic, yet, all the being said, many have multiple beta groups and sector groups and all the rest...I prefer the simple method, especially for new people.
All the best,
Don
Nice Monday + $990.
Don
Don
6 long, 1 short, most on small positions.
Slippage on the one decent winner melted away what small profit there was, -103, 5400 shares
Slippage on the one decent winner melted away what small profit there was, -103, 5400 shares
I am still working through my dynamic envelopes and such...i missed a few closes by .01 and (of course) they took off in the wrong direction after that 
its nice to know that my envelopes are very accurate though...i just have to work on making them work FOR me
4 fills / 3 short / 1 long
2 winners / 2 losers -$330
My heavier than 'normal' loosing streak is due primarily to my envelope changes and earnings season, more so the former than the latter. I found that i was not bringing in enough on my winners and i was taking it on the chin with the losers. We'll see how it goes, but all of this losing stuff is weighing on me (like revenge trading ). I look at it as a good testament of my will, my broker looks at it as a big $. Life says revenge is sweet, my trading plan says it is delusional.
its nice to know that my envelopes are very accurate though...i just have to work on making them work FOR me 4 fills / 3 short / 1 long
2 winners / 2 losers -$330
My heavier than 'normal' loosing streak is due primarily to my envelope changes and earnings season, more so the former than the latter. I found that i was not bringing in enough on my winners and i was taking it on the chin with the losers. We'll see how it goes, but all of this losing stuff is weighing on me (like revenge trading
). I look at it as a good testament of my will, my broker looks at it as a big $. Life says revenge is sweet, my trading plan says it is delusional.