11-14-13
I can't call today the most active day this month, but I can call it one of the best. Knowing that stocks like (GOGO) often gap higher as the last blow-off top, i was ready to pounce on it during the open. I wasn't able to directly short it as I didn't have shares available, but I was able to find a half-way decent put to buy.
One would think as active as (GOGO) is and few shares to be found to short that options would be more active. I was only able to find the $25 Dec strike price as anything close to what I was willing to trade. It wasn't great, but it was something. Between all my accounts I accounted for quite a fair share of total contracts traded today and luckily there was enough other traders that I usually didn't have to use a Market Maker for a counter-party.
It was a long road to paradise as I had to wait until about half an hour before the closing bell before I could exit the final contracts. I priced it out right too, because almost as soon as my final exit was complete the shares jumped higher and actually closed up for the day. I will watch during the open tomorrow to see if the price still has strength and may re-short once again.
Between all the accounts I put in (GOGO) puts, I was able to extract a wheelbarrow full of cash. There are lots of shorts getting their collective heads handed to them, but sometimes the second mouse gets the cheese.
Next big trade today was (ARCW) that was brought up in the chat room today. At first I didn't notice it because the person who typed it in didn't put it in caps (no rules to say he should, so it's my own fault for missing it).
Apparently "Superman" wrote an article on Seekingalpha about ARCW and how it could double and that started the ball rolling. I was told he was also touting it in some forums etc... and being such a small float caused it to spike higher. He has some impressive numbers on profitly if I recall correctly. I haven't read anything else besides the SA article (after I was already out of the trade), but it does appear to be quite the profitable business model.
By the time I pulled it up on a chart it had already given a short signal just under $40 and I was lucky enough to see it trading above my short entry minimum price needed. I quickly took a look and shorted above $40. I continued to enter in orders as fast as I could while also trying frantically to enter in covering buys (knowing how fast stocks can move I have been caught without orders during fast moves down only to see it bounce back again while I'm still short).
My highest short executed was at $42.98 and I quickly put a large covering order just under $41 and moved back to trying to get large with my short when the floor fell out and within one second time I had five separate covering orders from $40.83 down to $40.02 execute and flatten me out with a sweet gain that was more than my target gain.
I also watched the shares continue downward to $35ish a share, but that's ok, I wasn't trying to get much more than my target. It was one of my best trades this week and maybe a top producing trade for the month because it set me up to have one of the top days of the month.
My last two trades were tiny and only paid for lunch. I shorted (ANGI) when it rebounded from falling after (EBAY) was reported to enter the space.
I also shorted (EJ) for an overnight swing, but decided I would wait until tomorrow near the open to try to work it. (EJ) fell right before the closing bell so we will see if it has any life in it to get it back up or not.
(EJ) + .08
(ARCW) + .95 W
(GOGO) Puts + .35
I can't call today the most active day this month, but I can call it one of the best. Knowing that stocks like (GOGO) often gap higher as the last blow-off top, i was ready to pounce on it during the open. I wasn't able to directly short it as I didn't have shares available, but I was able to find a half-way decent put to buy.
One would think as active as (GOGO) is and few shares to be found to short that options would be more active. I was only able to find the $25 Dec strike price as anything close to what I was willing to trade. It wasn't great, but it was something. Between all my accounts I accounted for quite a fair share of total contracts traded today and luckily there was enough other traders that I usually didn't have to use a Market Maker for a counter-party.
It was a long road to paradise as I had to wait until about half an hour before the closing bell before I could exit the final contracts. I priced it out right too, because almost as soon as my final exit was complete the shares jumped higher and actually closed up for the day. I will watch during the open tomorrow to see if the price still has strength and may re-short once again.
Between all the accounts I put in (GOGO) puts, I was able to extract a wheelbarrow full of cash. There are lots of shorts getting their collective heads handed to them, but sometimes the second mouse gets the cheese.
Next big trade today was (ARCW) that was brought up in the chat room today. At first I didn't notice it because the person who typed it in didn't put it in caps (no rules to say he should, so it's my own fault for missing it).
Apparently "Superman" wrote an article on Seekingalpha about ARCW and how it could double and that started the ball rolling. I was told he was also touting it in some forums etc... and being such a small float caused it to spike higher. He has some impressive numbers on profitly if I recall correctly. I haven't read anything else besides the SA article (after I was already out of the trade), but it does appear to be quite the profitable business model.
By the time I pulled it up on a chart it had already given a short signal just under $40 and I was lucky enough to see it trading above my short entry minimum price needed. I quickly took a look and shorted above $40. I continued to enter in orders as fast as I could while also trying frantically to enter in covering buys (knowing how fast stocks can move I have been caught without orders during fast moves down only to see it bounce back again while I'm still short).
My highest short executed was at $42.98 and I quickly put a large covering order just under $41 and moved back to trying to get large with my short when the floor fell out and within one second time I had five separate covering orders from $40.83 down to $40.02 execute and flatten me out with a sweet gain that was more than my target gain.
I also watched the shares continue downward to $35ish a share, but that's ok, I wasn't trying to get much more than my target. It was one of my best trades this week and maybe a top producing trade for the month because it set me up to have one of the top days of the month.
My last two trades were tiny and only paid for lunch. I shorted (ANGI) when it rebounded from falling after (EBAY) was reported to enter the space.
I also shorted (EJ) for an overnight swing, but decided I would wait until tomorrow near the open to try to work it. (EJ) fell right before the closing bell so we will see if it has any life in it to get it back up or not.
(EJ) + .08
(ARCW) + .95 W
(GOGO) Puts + .35
