Spydertrader's Jack Hershey Equities Journal II
- Thread starter Spydertrader
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As flippant as this may sound, I couldn't care less about the "general health of the market" when it comes to trading. As long as the market moves (one direction or another), a trader can make money. Flat markets, on the other hand, make trading (and profiting) extremely difficult (at least for me). Are we at the top and in the midst of a secular bear market? Do we find ourselves at the beginning stages of another Bull Market ? Who knows. Who cares. Always trade what you see, not what you think. If the market rockets higher, jump on board and enjoy the ride. If the market tanks, learn to make money from the short side. If the markets sits flat, take a vacation.
Currently, TWPG hasn't reacted in a similar fashion to other equities experiencing mergers, acquisitions or takeovers. In the past (and specific symbol examples escape me at this moment) we have seen price flatline completely after an announcement of this nature. At that time, I completely avoid trading such an equity as price already has the buyout, takeover or merger factored in. Until TWPG begins to act in a similar fashion, I plan to continue to trade it. In fact, I sorta' like it for tomorrow.
Once the merger, acquisition or buyout takes place, we then need to exercise caution with respect to keeping the company in the Final Universe. After all, it isn't the same company after the merger, acquisition or buyout as it was before. Most of these companies simply fall out of the Final Universe on their own. The market simply focuses its money elsewhere.
Of course, your mileage may vary.
- Spydertrader
<<As flippant as this may sound, I couldn't care less about the "general health of the market" when it comes to trading.>>
No, it doesn't sound flippant. I know there are traders out there that can profit under most market conditions. I just haven't reached that level yet.
As Jesse Livermore once said,
"opinions are often wrong, markets never are"
No, it doesn't sound flippant. I know there are traders out there that can profit under most market conditions. I just haven't reached that level yet.
As Jesse Livermore once said,
"opinions are often wrong, markets never are"
I have LMIA doing DU by 10am. =)
Its avg vol is below 200k also.....
Do you have LMIA as a tenured stock?
- Spydertrader
Yeah........ Its more like i look at past cycles of the stock and see if it matches with whats in my head for sequnces. If it passes the test, i add it to the universe.
Another tenured stock that is running at an OK level of PRV and a decent technical setup is NFI.
I have also found that shorts work better when the overall market is in a downcycle.......DUH.
j
I have also found that shorts work better when the overall market is in a downcycle.......DUH.
j
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