I'm sorry, I guess I was so upset with my stupid CC trade that I misspoke.
All shorts....8 of 9 profitable...
I used a .3 sell and a 1.0 buy....
Sorry for the confusion...
Don :eek:
The Opening Orders Thread
- Thread starter Don Bright
- Start date
I'm sorry, I guess I was so upset with my stupid CC trade that I misspoke.
All shorts....8 of 9 profitable...
I used a .3 sell and a 1.0 buy....
Sorry for the confusion...
Don :eek:
Back to "normal" - 6 fills, 5 winners and then OMX....overall "ok" - +$600.
.3 buy envelope, 1.1% sell envelope.
Don
.3 buy envelope, 1.1% sell envelope.
Don
3 long, 1 short, scratches all around for the most part, -71
Don and Eastside,
Regarding your envelopes today, i'm trying to figure out why your %'s wouldn't be the other way around on today's opening. IE 1.1% buy and .3% sell. Reason being b/c the market was opening lower so wouldn't you want your buying limits much lower than .3% of the previous close? I'm relatively new these OPG's so i'm just trying to get some clarification. Thanks!
Hi Boostin1004
Don said :
If the market is opening flat, then an equal envelope is called for.
If the market is opening way up, then we certainly don't want to buy anything close to the previous day's close (if the market is way up, and some dog stock doesn't open up, I certainly don't want to own it, unless I get it below yesterday's close). So we have small sell envelope (don't want to be so far away from the previous close that we have no chance of being filled...we are already adjusted up just with FV and futures prices), and a wide opening buy envelope.
If the market is opening way down, and since we have SHO stocks now, I don't want to short a stock near yesterday's close either...always keep short sale above previous day's closing price.
That seems to keep us out of trouble.
Don
__________________
Don Bright (not an alias)
http://www.stocktrading.com
Don said :
If the market is opening flat, then an equal envelope is called for.
If the market is opening way up, then we certainly don't want to buy anything close to the previous day's close (if the market is way up, and some dog stock doesn't open up, I certainly don't want to own it, unless I get it below yesterday's close). So we have small sell envelope (don't want to be so far away from the previous close that we have no chance of being filled...we are already adjusted up just with FV and futures prices), and a wide opening buy envelope.
If the market is opening way down, and since we have SHO stocks now, I don't want to short a stock near yesterday's close either...always keep short sale above previous day's closing price.
That seems to keep us out of trouble.
Don
__________________
Don Bright (not an alias)
http://www.stocktrading.com
OK, let's remember that we have already adjusted the "expected" opening price way down to reflect the overall market opening way down. For example, if a stock closed at 36.70, and we expected it to open at 36.40 (based on the overal market opening down a bunch)...if we used a 1.1 buy envelop, we would be so far out of range that we would rarely get our orders filled.
The wider sell envelope is to insure that our offer is above yesterday's closing price. You don't want to sell slightly up when the market is opening way down. That would indicate a stock that is stronger than the overall market, not something we would want to be short.
I hope this helps!
Don
