3SOF

Note: This is mainly for educational purposes. Please do your own Due Diligence.

My goal here is to pick stocks that would capture the interest of traders from scalpers to long term investors.

I would like to see how long it would take to double $5,000, trading stocks Under $10.

To get better consensus, I need pros and cons.
Please post positive and negative comments.
Any suggestions would be greatly appreciated.

In this thread, my trading plan is to trade 500 shares with 20 cents risk:20 cents reward ratio. (My primary trading plan is to trade 1000 shares with a 10 cents risk: 25 cents reward ratio)

The current criteria would be:
(please post here if you see symbols with these criterias.)

Plan A:
1) a premarket mover (traders could give their input before the market opens)
2) long term uptrend
3) liquid (at least 100,000 shares)
4) volatile
5) good fundamentals being a bonus ( I prefer charts and level 2 combination)

Plan B:
1) Go through list of uptrending stocks with Weekly Golden Cross - preferrably with a fresh cross of the MACD, Slow Stochastics, MACD histogram, and the upper Band of a tight Bollinger Band being broken with Big Volume.
2) Sort by change (looking for symbols trading at least 0.25 above the open)
3) Select symbols with a positive net price(narrow down candidates).
4) Select symbols with volume that is at least 100,000(liquidity).
5) Select symbols that has a nice level 2 set up
6) Select symbols that have a block print of at least 25,000 in the green

Plan C:
1) Take a rest (exercise self control and try not to force a trade)
2) Smile and think: "No money gained but no money lost too."
3) Look for opportunity the next trading day.
4) Eat info like fish - Eat the meat (good information) and spit out the bones (bad information).

Plan D:
Diversify and put some money long term and follow the 3SOF Portfolio
(which have good fundamentals).
I already felt left out with my own picks(which doesn't require good fundamentals) that I posted in the Stock Picking Forum.
ie: PRXI,AVZA,STEI

My wishful thinking is for scalpers(who adds liquidity) all the way to long term investors, would benefit when the sweet spot is "tickled" where the shorts have to cover to cut their loss, the AX giving way for higher prices, and the stock being taken to the next level.

I would like to gather as many eyes (who knows, an institutional eye may get a glimpse ;D) to focus on  stocks under $10 that has the most potential for the day.

---------------------------------------------------------------------------------------------------

I'm revising my trading plan starting today (February 26, 2007)

1) Use 1000 shares for stocks under $5 with a  10 cents risk : 25 cents reward ratio

2) Use 500 shares for stocks under $10 but above $5 with a 20 cents risk:20 cents reward ratio.

First choice: Daytrade with Consensus.

Second choice: Bottom Fish a long term uptrending stock that has tanked for the day.

The reason I'm revising:( A result of new information and reminders that I have acquired recently from 3SOF).

1) To maximize the use of a $5000 capital.
2) As long as I still go with the longer trend, I feel more comfortable bottom fishing.
3) My reasoning is if there is not enough volume to push the stock up past the breakout point for the day, most likely, it will come down.
4) When it comes down, as long as it has enough volatility and volume, most likely, a lot of bulls(long term) will find it cheaper and start buying.
5) It's mainly a matter of determining proper support and resistance.

"Buy high to sell higher or buy low to sell high."

Today's pre-market stock pick: lvlt, mama, brlc.

Deleted lvlt and brlc from my stalk list because it had a negative net price

Watching MAMA to see if it meets the other criterias.
Hourly Support: Looking at 5.05, and 4.40

XIDE was not in my list of pre market movers but is looking good.

XIDE is under Plan B
In: 8.42
Stop:8.22
Out:8.65
This may still go up but I'm out at 8.65 for the day.

Start: Trading Capital: $5,000
In    = $8.42 x 500 = $4,210.00
Out  = $8.65 x 500 = $4,325.00
P/L   =$115
(Trading Capital=$5000) + (P/L=$115) - (commission=$20) = $5095
End: Trading Capital: $5095

If someone sees an error in my calculation, please point it out right away,

thanks,
Ares

XIDE may still go up but I'm out at 8.65 for the day.

Today's premarket movers: chtr,mama,zvue,lvlt,brlc,armhy
so far, all have a positive net price - watching who the leader will be.

lvlt is leading. Needs to break 6.47, then 6.80

Went to Plan B
Saw an opportunity in MEMY
In at 4.75
mental stop at 4.55
I may have  made a mistake, got in without checking T and S for Block prints.
If it opens and closes below the 15 sma or have more signs of weakness, I may have to get out at a loss.
After reading information about MEMY from the 3SOF thread under stock picks, it gave me a more positve perspective about my decision.
I'm tempted to close my position because I have to take my son to school but I'll take some extra risk and hold this one and see where it is when I come back.

Out at 4.71 took a loss with MEMY.
Start: Trading Capital: $5,095
In:   4.75 x 500 =  2375
Out: 4.71 x 500 = 2355
P/L: -20
Commission: -20
End: Trading Capital: $5,055

I may have sold right at support but couldn't tell at the time I sold it.

This is where the "should have" comes in.
I should have sold my position at a plus before I took my son to school (Right after I got in at 4.75, it went down and touched my mental stop loss of 4.55. I was supposed to initiate an exit already. The price went up to 4.90 and gave me an opportunity to get out - but I didn't.)
I should have respected my stop loss and got out as soon as possible.
I should have waited for confirmation and rode with a block trade before buying.

Starting Today, I'm going to brush up on my Chart Reading Skills by reading as much as I can from 3SOF's Technical Analysis Section and to gather information from traders that seem to be successful.
I'm on a mission to find what the majority of traders are looking for and to trade WITH them.
I will be editing this post from time to time to add observations.
If someone knows a short cut to this mission of mine - please post.

So far, this is what I have gathered:
1 Volume doesn't lie
2 Buy on the dips
3 Momentum Trade
4 Ascending Triangles
5 Breakouts
6 Bottom Fishing
7 It seem like the most common indicators that are being followed are the Moving Average, MACD,RSI,stochastic, and Bollinger Band
8 Support and Resistance
10 Fibonacci
11 The Trend is your friend
12 Amateur trader's looking for affordable stocks
13 Time and sales (looking out for blocks)
14 Identifying and observing the Market Maker's Actions (These market makers really know how to trick people - especially the AX)
15 Trend reversals
16 Multiple timeframes
17 False breakdown
18 Volume must be higher than the previous day
19 Wolf Wave Patterns (Had 7224 views - seems like the most popular in the Technical Analysis Forum, followed by Ascending Triangles which had 5800 views.)
20 Symmetrical Triangles
21 Parallel Trendlines
22 Fundamentally Sound
23 Good News
24 Broadening Wedges
25 Divergence
26 3 Magic Lines (Impressive)
27 Linear Regression and RSI(2) - I ended up signing a free membership with prohet.net after reading ny10013's post.
28 From G Pattern to STEPS.

Hey Man,  well this is a great resource (maybe you already seen it) http://stockcharts.com/school/doku.php?id=chart_school

Don't know if you read much, but I would also advise you read some trading books to further identify your own trading goals / motivations / psychology.

My advice for you (for what it's worth). Go with either plan C or plan D. Plan D being follow the 3SoF portfolio that David is running. It answers the type of trading you are (currently) looking for: fast action, decent return, small portfolio size (start point), big gains (hopefully) You can contribute to stocks being analyzed / traded whilst learning and sharing with the community.

Plan A or B will be a real painful road. Day Trading is tough.

Good Luck

Hi Aussie Trader.
Thanks for your reply.
I do use stockcharts.
I like reading a lot ( to the point that my eyes hurt already ) but have to stop to give myself some rest.
I'm a Transit Operator. Most of the time, at the end of the loop, I read.
If my eye won't hurt, I don't have to eat or sleep, and have no other responsibilities, I'll probably keep on reading.

Some of the books I've  read were:
1) The Market Maker's Edge by Josh Lukeman
2) Swift Trader by Charles Kim
3) Bollinger on Bollinger Bands by John Bollinger
4) by David Nassar
5) by "Trader Vic" Victor Sperandeo
6) Japanese Candlestick Charting by Steve Nison
7) a booklet from Vision Investing

Some of the Sites I check from time to time is:
1) NASDAQ.com and
2) StockScores

I took a course with:
1) Teach me to Trade and
2) Cyber Trading University

Almost everyday, I talk to people who are involved or are considering playing the stock market (due to exposure by being a bus driver).
I tell them to take a course first or, if they want to save money, to visit 3SOF's website first.

How I wished I followed Livelife's footstep of saturating himself with information from 3SOF when I read his post (about 3SOF) from the Yahoo Message Board about 2 years ago.

It's just recently that I started getting involved with 3SOF (when David invited me to try the Premium Section).

My main problem is controlling my emotions and respecting the trading plan I made before pulling the trigger to buy a stock that interest me.

My recent post at LVLT to Melf Elf would probably answer my response to your advice.

My goal is noble when I started a thread called "Daytrading with Consensus".
If I'm stepping on anyone else's  toes here please let me know because I'm considering not to continue this thread anymore.

Thanks again for your reply,
Ares

P.S. revised the plan and added "Plan D".

Hi Eatinfolikefish
Don't give up so fast on this thread. It,s you're diary to learn from, it doesn't matter if anybody responds to it or how many does respond to it. Use it for your own reference to go back in from time to time to see where you have made you're mistakes and where you have made your winners and you'll begin to find what style of trading is best for you,,what works and what doesn't work.
  I have started day trading and it is hard as aussie have stated and if you're new at trading my advise to you is don't start as a day trader. Day traders must and always stick to getting profits while profits are there without trying to look for maximum gains you get in and you get out.
I really like this thread and will come back to it for some good reading,, even the most experienced traders can learn from those still learning. One thing I've learned in life is when you think you know to much to learn from those that doesn't have as much experience as you have ,,that is when you'll begin to lose because you begin to think you know it all and nobody knows it all.
Wishing you goodluck in this new world of trading.

A good buck for new readers you might like
Investing For Dummies
By,,Eric Tyson

Thanks Wrangler,
When I started this thread, I did view it as my diary to look back to for mistakes made and hopefully not to repeat them again.
The added bonus is, there's a lot of experienced traders here at 3SOF to keep me in line.
My experience of losing is posted under stock picking - lvlt.
This is my post there: (I haven't figured out how to cut and paste quotes properly yet.)

Amazing analysis Melf Elf,
Holygrale and Quasi was right.
It makes me want to put some money for longer term now too.
I'm still weighing out the pros and cons of holding overnight.
I got burnt on a gap down before.
At that time, GNTA looked fundamentally sound so I bought 1,000 shares at $2.25. It gapped down later on and now I'm still holding it.
GNBT looked nice at the time too, so I bought 1,000 shares at $3.13
with a stop of $3.03.
GNBT gave me a lot of chances to get out that day at a plus after it hit my mental stop - but I didn't get out - I held it overnight!
My plan at the time was: Buy at $3.13, mental stop at $3.03 then buy again at
the $2.00 range with a stop of 0.10 again and 1 more time at the $1.50 range with a stop of 0.10.
Again, I held it overnight!
Now, I'm still holding 1,000 GNBT shares at $3.13.
The 3SOF's program of holding fundamentally sound stocks with risk distributed to 15, looks very interesting.
I'm considering the premium area, but for now I would like to read up as much as I can.
Thanks for your expert analysis,
Ares

Thanks again for your reply Wrangler,
Ares

I'm looking forward to the day when I'm disciplined enough to open a Margin account.
I would like to go long on a fundamentally sound stock that is uptrending.
Buy insurance by hedging my position with a Protective Put.
Earn residual income by selling Covered Calls.
For now, I'm sticking with a Cash account.

While I was driving yesterday, this question came to my mind:
Besides profit taking, why would someone go against the Trend and a Big Buyer/Institution?

Making money going short seems very profitable in a fast way profiting from people's fear ( If you know what your doing.)
The downside is:
1) Getting Squeezed
2) Margin Call
3) Upside loss without a stop - better not hope.

Nasdaq futures vs. Fair Value: -1.6 as of 9am ET

Pre-market most active that has 50sma above 200 sma:
xoma,stec,ont,lvlt
(time to do a quick historical searh on these symbols)

Narrowing down candidates to ones having a positive net price:

Letting market orders flush out first to see direction.

Narrowing down to candidates having 25 cents above the open to see interest.

Narrowing down candidates to see Volume backing up the interest,
(At least 100,000 to be able to get in and out)

Wide spread ( Playground for scalpers)

Thin Spread or Bid/Ask locked ( More traders would probably feel more comfortable getting in here)

Checking multiple time frames for Trend (I usually use 60,15,and 1 minute)

Narrowing down candidates who has institutional interest (Block trades).

Didn't see an opportunity in Plan A

When I went to Plan B, I saw BRLC and SIGA.

BRLC looked good at first but I would feel more comfortable trading it when it closes and trades above the Weekly chart's 8sma.

SIGA looks better, it's just I haven't seen block trades yet. (I just came home from taking my son to school and went jogging.)

Well, I guess I have to apply Plan C today.

Quote from: Eatinfolikefish on February 12, 2007, 08:33:50 AM
I'm looking forward to the day when I'm disciplined enough to open a Margin account.
I would like to go long on a fundamentally sound stock that is uptrending.
Buy insurance by hedging my position with a Protective Put.
Earn residual income by selling Covered Calls.
For now, I'm sticking with a Cash account.

While I was driving yesterday, this question came to my mind:
Besides profit taking, why would someone go against the Trend and a Big Buyer/Institution?

Making money going short seems very profitable in a fast way profiting from people's fear ( If you know what your doing.)
The downside is:
1) Getting Squeezed
2) Margin Call
3) Upside loss without a stop - better not hope.

Hi again
While reading this post about Margin Trading I wanted to throw you something to think about.
I trade on Margin Account but just about all of my buying is done with the cash I have instead of using the 50% margin cash and you have got to dicipline yourself to do this so you don't get caught in a bad trade and get a margin call.
Reason for this is you can buy and sell without the 3 day unsettled funds free trade rule. Also you can buy and sell as many times as you want as long as you don't do more than three within the same day,, more than 3 times within a week but as long as it's done on a differant day there is no limit to it.
This is working ok for me but it might not be what you're looking for.
Also you must keep at least 2000.00 dollars in you're margin account at all times ,, this is how Scottrade is done,,don't know about other brokers.
Goodluck trading :)

Thanks Wrangler,

I feel good reading your responses.
I'm always open to new information and suggestions.
Looking forward to more comments from you.

Ares

Good morning everyone,
I just finished going through my e-mails and got some really good information from 3SOF members.
Thanks for all your input.

Nasdaq Futures vs. Fair Value: +2.8 as of 8:32am (from the Nasdaq.com page)
I check this to see whether the bulls or bears have the advantage of program trading.

Nasdaq Futures vs. Fair Value as of 9am: +3.0

Pre-market most active (from the nasdaq site and my list of uptrending stocks under $10): lvlt,sgen,brlc,adst,ecgi

To minimize multiple threads, please go to the stock's thread for comments.
ECGI looks the most promising for now.

SGEN is looking nice too.

In at ECGI: $3.15 x 500 =  $1,575
Out:$3.89 x 500 = $1,945
P/L: +$370

Would have been nicer if that was 1,000 shares ($740 profit)

Start:: $5,095
Proift: $370
Commission: $20
End: $5,445

NASDAQ Futures vs. Fair Value as of 8:33am ET: +9.0

Happy Valentines everyone!

Lets see which stock were going to get to know today.

Premarket most active:
CORI,LVLT,BRLC,EXTR,MAMA,TISA,SUNW,MIPS,RDNT

So far I like EXTR after reading its thread.
Just have to wait and see what the market's opinion on it today.


CORI has some block trades already. (Artificial or Real Gap - we shall see)

MAMA looking good.
No trades yet, just alerts.

MAMA: alert at 5.65
EXTR: alert at 4.92 premarket high of 4.75

Valentine's Day and the New York weather must have some effect.

Keeping an eye on ACLS (will it break 7.92 with blocks?)

keeping an eye on SGEN (will it break 52 week high of 9.52)

MIPS looking good.

Today, I had to apply Plan C.

So far, ECGI has accomplished my wishful thinking.
1) Momentum traders taking the stock to the next level
2) Scalpers enjoying the spread and consolidation period
3) Long term investors benefiting from the rally.

After reading "G Pattern to STEPS", this came to mind:

1) Get in using "Daytrading with Consensus" - contribute to the volume and price spike
2) Use " G Pattern to STEPS" - buy on pullback.
3) Get in again using "Daytrading with Consensus" - hopefully, another positive volume and price spike will be created.

Just finished reading one of ECGI's thread.
I thought to myself:
If Setravis sat on this when it was first posted, He must be laughing by now (laughter of joy due to potential profit taking) :)

So far, I really like ARMHY (see comments on the thread)

Nasdaq futures vs. Fair Value as of 9AM ET: +0.5

Premarket most active: armhy,avci,sunw,nxg,lvlt,cori,mrvc,chrd

In CHRD at $3.70 x 500 = $1,850
Out CHRD at $3.75 x 500 = $1,875
P/L = $25
Start:$5,445
Profit:$25
Commission: $20
End: $5450

In AVCI at: $8.80 x 500 = $4,400
Out AVCI at: $8.64 x 500 = $4320
P/L:$ -80
Start:$5,450
Loss: $80
Commission: $20
End: $5,350

Broke so many rules today. :-[

Rushed in without seeing a block trade.
Didn't get out earlier at a + when I realized I rushed in
Didn't date 1 stock at a time. (Hard to follow Market Maker actions)
Instead, I  rushed in again and went in another stock (going over the $5,000 initial Capital)
Still contemplating if I'm going to exit at a loss now or wait until the end of day (counting on the Larger trend to get me out on a + by selling into demand)

Any comments about now would be nice.

Closed my positions
I may have just been shaken out.
Who knows, the stocks may go up.
I just want to cut my loss, re-evaluate my mistakes,preserve capital and trade another day.

I'm not going to add AVCI, and CHRD  to "100 shares long term" forum because I did not see Green Blocks.

Just finished reading ONNN's thread.
Setravis is right, It should have caught my attentions sooner.
I have to learn how to catch these good stocks sooner for long term plays.
Terliso's 3 Magic Lines looks to be working really well.
I wonder what Setravis'  main indicator of catching the start of the move.
So far it looked like volume accumulation.
With Adam, he mentioned about blocks challenging resistance.
Both Setravis and Adam were looking for a breakout of the $5 range.
I noticed that MACD was still below Zero, price was above the 200ma, and was around the 50 ma when it was first mentioned in ONNN's thread.

Looking back at the mistakes I made yesterday.
What made me buy AVCI?
After realizing that I rushed in at CHRD, I saw that AVCI was rising faster and didn't want to get left out.
After I got in at AVCI, I read it's thread.
I found out that long term resistance was 9.07
I knew that the previous hour's high was at 9.02(short term resistance)
Another mistake, I did not wait for the planets(multiple time frames) to line up.
I saw the resistance being challenged (but not by blocks - the fuel I needed to see to break it)
When I saw that no blocks were coming in, I should have sold at the current demand.
Instead of exiting at a profit, I ended up taking a loss of 16 cents
I got upset with the trade and hoped that the stock would tank so that I could get in for a bounce (Another strategy, but doesn't fit Daytrading with Consensus)
It really is true, Emotions is the hardest to master in trading - for me anyway.
I knew what I was supposed to do with that trade- I just didn't do it.
I let my emotions blur my focus.
My focus got blurred when I realized I rushed in at CHRD and made it worse by dividing my focus with AVCI.
Well, time to face another day. :)

After reading some of your posts, I sense that maybe you need to follow the 3stocks on fire thread to learn more about which stocks to trade.  The method you are using now will only lead to pain later on.  I have been trading for several years now and believe me I tried your method, it may work short term, but in the end you still lose.  David is right about the emotional ups and downs, you cannot get upset or happy when trading, it will destroy you in the long run.  You need to learn how to trade strong fundamental picks and treat it as business as usual.   

Mbaugh beat me to it. Applaud you Eatinfish for starting this thread and sharing your journey, but if I were you I'd pack in the day trading and extend your timeframes into days / weeks / months. Stay away from the intraday noise and ticks.
Good trading

Hi Mbaugh,
Thanks for your reply.
That is Plan D.
When we started trading stocks about 3 years ago, we planned  to use $5,000
a year.
We look at it as our tuition fee for learning the stock market.
My wife and I are really considering the 3SOF premium.

Hi Aussie Trader,
It's nice to see you here again.
As I mentioned earlier, we are planning to Diversify and follow the 3SOF program.
However, I also like the excitement of Daytrading.
Those Market Makers are really challenging my intellect.
Just like playing chess.
Looking forward for more comments from you guys (and girls).

Thanks,
Ares

As a young boy of about 7 years old, I dreamt of making a lot of money in the stock market and real estate.
About 3 years ago, we were about to sell our condo and start flipping houses, but a bump on the road came in.
We became victims of a leaky condo here in British Columbia, Canada.
We almost filed for bancruptcy but decided against it.
We said, instead of filing for bancruptcy, let's keep our credit clean and try the stock market.
The plan was:
I'll work overtime so that my wife could learn how to trade stocks.
It was going to be her full time work so that she could look after the kids.
The company that she was working for closed down.
We enrolled at TMTT.
She got pregnant with our third child.
Her health was not very well due to her pregnancy,stress from the previous work, and other factors.
I ended up learning how to trade stocks primarily.
Stress was high as I had to deal with my full time work, learn stocks, deal with the leaky condo problem, family obligations, etc.
Currently, the leaky condo problem is fixed and the value went up.
People tell me that playing the stock market is gambling.
I tell them if you don't know what you're doing, yes.
Otherwise, it's a profession.
Almost everything in life is a gamble if you really look at it.
I bought real estate thinking I got a good deal at that time.
Got hit with about $60,000 for leaky condo repairs.
Thought that I got a bad deal and was tempted to sell or just walk out.
Now, it feels that I made the right decision not to walk out.
If we sell our place right now, we would be in the plus.
The place feels like it's getting smaller(because my family is getting bigger).
To me, buying real estate is just like buying stocks.
I buy it because at that point of time it looks good and sell at a later time  because it doesn't look good anymore.
Buying and selling real estate or stocks you have control if you want to sell it or not.
Gambling on the other hand, depends on chance.
You hope for that dice to land on your favour or get a good card.
Hope and chance is just some of the difference between gambling and trading.
When our third baby was born, we had to decide whether or not my wife should go back to work.
We decided for her to stay home and look after the kids.
We have 3 boys ages 14,7,and almost 2 (as of February 19, 2007)
Our reasoning was:
Money could always be earned one day but we cannot turn back time (this was the reason why she became so upset with me. I ended up spending more time learning stocks than having quality time with my family.)
My wife is feeling a little better now and is planning to look into trading the stock market.
She showed interest in the 3SOF program.
She even suggested that we can use her allowance to pay for the premium service.
Financially, it's tough to be a one income earner.
But, I would rather do something that to wait around for things to happen.
I don't want my children's children to go through what we went through.
One of the experience that comes to mind was the feeling I felt when my family were inhaling the fumes while the condo was under repair.
Our privacy was invaded and we felt like prisoners (the mesh that was covering the building was blocking our view and the sun.)
I was really concerned for my wife's health, the baby (that was still in her tummy at that time), and my 2 boys.
One of my goals for writing this is hopefully, somene else reading this will not make the same mistake I did.
I would be really happy if I found out that even only one's family is spared from breaking up.

Will continue this later.

hi,
applause for putting yourself out there like that . it is tough, and when you started i wanted to say that you should just follow 3sof picks. but if you are playing with holiday money and you are learning (who isn't) then enjoy the ride.
in my experience though a lot of little losses mount up and turn into bigger losses. $50 here $100 there, next thing you know you lost all your money, (i have done that too.) the emotion of it all will hurt you in the end. you can't be neutral about anything , there are no thoughts that are neutral so emotion will always be a part of it.
so , on a technical level , do you use medved quotetracker.? if so add the support resistance pivot lines to your 5 minute chart. these are very good indicators to use for day trading or for position entry and exits.
glta
maxi

Hi Rickjust,
Thanks for your reply.
I'll look into that.
Looking forward to learning more from you.

Thanks again,
Ares

Premarket most active: BSQR,CYTR,MRVC,LVLT

If you would like to see what's going inside my head.
Check out CYTR's thread at Stock Picking.

My wife is asking me right now if I could change Eatinfolikefish into another username.
How do I do it?
I picked that name in haste around 2005 thinking I won't be hanging around at 3SOF. ::)
She just told me I might as well have called my name mackerel or salmon.

Well, another trading day is finished.
The 15,000 seller at INET seemed to have been taken out at the last minute.
Good luck to long term holders of CYTR.
In CYTR at: 3.82 x 1,000 shares = $3,820
Out CYTR at 4.08 x 1,000 shares = $4,080
P/L = $260
commission = $20
Profit - commission = $240
I'm not going to include this in the calculation of the running total because It was not part of Plan A, or B.
I went in when it tanked, when it created a Big red volume that did not push the price down any further but instead created a higher high.
When it created a higher high, I placed a bid on an ECN at the previous high of 3.82.
I could have have gotten out earlier but ended up sitting through consolidation period.
I was expecting a bigger run.
I wanted to get in again at 4.01 at the second tank but decided against it.
Only 300 shares would have been excecuted anyway if ever.
Got out just before the market closed at 4.08 and sold into demand.
I was wondering if ever that INET Big Seller was going to get done
I did not take my chances (for the daytrade part but it still looked good for the long term)
Sure enough about 15,000 on the green was printed on the time and sales just before the market closed (on a friday too).

Hi Eatinfolikefish
  While reading you're thread I noticed you pay 20.00 in commissions also noticed you said you live in Canada.
Reason is the commissions seem high, is that the average for someone living in Canada. If not you might want to check for lower commission from some other discount broker. Commissions can eat you're profits big time if you trade a lot.
A little lesson for you to watch out for while you trade. Never buy within the first hour of market opening. Watch a stocks price for the first 1/2 hour if market markers are going to play with it, it will begin to drop back down after first 1/2 hour that will be the daytraders taking their profit. If price doesn't drop back down then wait for the end of the next 1/2 hour which will be the end of the first hour and if price continues to make new highs then jump on and plan you're trade for the day.
Around 1:00 to 2:00 stocks will begin to idle because that is when the players on the floor begin to take their lunch and action usually will begin to pick back up after that and if a stock begins to come back down after that, usually the rally is over for the day and might come back up a little in the last half hour of the trading day but if it's a strong rally the price will just keep right on going with strong volume still coming in and that is a good sign that rally will continue the next day especially if it ends at the high of the day with 2 or more times the average daily volume.
You probably already know this but thought I might add it in case you didn't.
Goodluck trading :)

Hi Wrangler,
The commission that I entered is a round trip. 9.95 + ECN fees to buy and another 9.95 + ECN fees to sell. Just rounded off the numbers for easier calculation.
About Trading Hours.
Thanks. I do know about them.
As far as I know, the first hour is called the amateur hour.
This is the best time for day traders.
This is what I used to do:
I usually let the market orders flush out from 6:35am to 6:45am (my time)
I get in while the volatility is High.
Wait for a counter Trend and get in again on another stock that shows opportunity.
Take a rest or do something else during consolidation period (when most people are on lunch at wall street)
Go back in at 12pm( my time) for the end of day shakeout.
A lot of times I end up still sitting in the computer even though I know nothings happening much anymore.
In the case of CYTR, I tried to get to know this stock and wrote down my comments under stock picks.
I felt like I was in a chess game with that stock.
With regards to my broker, I use Tradefreedom.
It's a direct access broker where you could trade pre and post market if you want.
You could also place a buy on the bid and sell at the offer.
Looking forward to your comments about my analysis.

Thanks again,
Ares

The best trade that I've seen so far was when I was in the Cybertrading University on-line class.
I saw a short squeeze in action.
There was this stock that closed at about $18 the previous day with news at post market that it was going to file for bankruptcy.
It opened on trading day with gap down of about $8
Some traders in class jumped in at about $8
It went up to about $22 that day
Fundamentally, it didn't make sense.
Technically, it did.
I tried to follow the rules but ended up holding stocks overnight which was a big NO,NO.
Self control was a big factor.
It still is but a little better.
One of the main reasons I write this journal is that if I make a bad decision, someone reading this could give their comments and hopefully keep me in line.
I later found out that some of the stocks being traded there were uptrending long term but a lot were going downhill (longterm).
Probably, the main reason we were taught not to hold overnight.

My vision is to be able to combine:

1 TMTT (taught me the basics - combines fundamental and technical analysis)

2 Cybertrading University(Fast paced - if you're not fast enough on your entry, other classmates are selling to you already while you're still buying)

3 Stockscores (I just attended a free introduction workshop but liked the idea)

4 3SOF (found a wealth of information in it - a gold mine)
The reason I like the 3SOF Methodology is because it combines Fundamental and Technical Analysis.
It's way more inexpensive than taking a course at TMTT.
It has a lot of Experienced traders in it that brainstorms everyday.
We have a sense of community in here where traders help other traders by sharing their ideas through different forums on the message board.

5 and other schools to trade WITH them (Thus, Daytrading with Consensus)

Note: The order from 1 to 4 is the order I learnt trading (not necessarily the most important)

My plan was to:
Wake up 6am and out of the computer by 8am.
If I make my $250 for the day, I'm done.
If not, go back at 12pm  to 1pm and try to make it there.
I haven't been able to follow this.
I end up sitting in front of the computer longer than I should.
There's just too much to learn.
I really enjoy reading and watching stocks.

Earlier, my wife asked me how many people go on-line at the 3SOF.
I told her that it has over 8,000 members.
I said,
Can you imagine if those members buy even just 100 shares of the same stock at the same time?
Combine that with other trading schools that's looking at that same stock and buying at the same too.
That's Institutional Volume!

My wife almost left me because she said I was obsessed with stocks.
I called it determination to learn to provide a better life for my family.
She's right though in telling me to keep a balance.

 Sounds like you've been doing you're homework and the learning never quits.
My wife tells me I'm obsessed with stock trading also. She tried it for a while but didn't have the patience for it so she quit.
Have a great weekend. Monday is a holiday ,,Market is closed

I used to be so upset with my wife when she said, " Jege, you're obsessed. I don't want to talk to you about stocks until you get your priorities straight."
I took that as she she was leaving me all alone to learn stocks all by myself instead of the two of us. In my mind, she was supposed to be the one trading and I'm supposed to provide play money from my full time work.
Later, I realized that she was still supportive of me and that we will still be working towards our goal. It's just she wants me to spend time with our family too.
I lived the anticipated future but missed out on the present.

Looking back at what I did wrong.
After we finished the course at TMTT I was so excited to trade stocks.
We were told to paper trade at least 6 months (I didn't)
I went ahead and opened an account at TD Waterhouse.
Bought BLDP on good news (at a high price) about 8.65 just to see it go down.
I was supposed to cut my loss but ended up holding it.
It went below $5 few months later.
I became frustrated.
Few years later, I got lucky (for gambling) and exited BLDP close to $12.
Trade Freedom was recommended to me by my co-worker.
Found out about Cybertrading University and saw an opportunity to make quick profits.
I would have, if I followed the rules.
But later realized that I lacked self control to exit when I'm wrong.
I was too proud to admit I made a bad decision and held on to a loser.
While on the Yahoo message board, I saw Livelife's recommendation to check out 3SOF (about 2005).
I checked it out but didn't put much attention to it.
I looked at it as just one of those advertisements.
That's when I chose Eatinfolikefish.
It means Eat the meat (good information) and spit out the bones (bad information).
I wished that I chose a different username though.
I didn't know that after David gave me an invitation to check out the Premium Service, I will be hanging around a lot in here.
It made a lot of sense.
Diversified stocks with good fundamentals, good entry, and good money management.
Terliso's 3 magic lines and the G pattern to STEPS comes to my mind as just one of the tools that the 3SOF program may be using to pick stocks that will be included in it's portfolio ( and there are lots of other ideas being brainstormed in here).

What I learned from my latest trade.
I tried to focus and get to know CYTR.
I observed how the level 2 looked like and how the Market Makers moved in relation to the price movement.
I looked up who the Dominant Market Maker could be and was able to confirm by looking at level 2.
The initial plan was go with consensus and ride with momentum.
When it didn't happen, I went with the alternative.
Waited for the stock to tank and jumped in when it found support (hit or close to suspected support)
In my mind, this stock is in an overall uptrend.
I'll get in at the lowest possible price since it has volatility and volume but still protect myself with a stop loss point.
It makes me wonder if I should add this as Plan E.

Proposed Plan E:
Pre market most active
Uptrending in the larger time frame (Weekly or Daily chart showing price trading above 200 and 50 ma)
Positive net price
Traded at least 25 cents above the open
Volume at least 100,000
Go in with momentum
If momentum doesn't happen [ we have to decide whether to cut our loss (as a daytrader) or count on the longer term trend (as a long term holder)].
Wait for stock to tank (Market Maker possibly shaking out weak hands).
When stock tanks, wait for selling volume capitulation for the day.
Buy close to support (protecting ourselves with a stop loss point and sticking to it)
Hopefully the stock is taken back into an uptrend for long term holders.
Even better if a short squeeze is triggered and the stock is taken to the next level.

I don't look at myself much of a writer but my goodness after reviewing my notes in this thread...
I'm thinking, I should get a publisher soon ;D
Who knows, it may end up in Oprah's book club one day. ;)
Gotta get ready for church now.

Thanks to whoever took the time to answer the poll.
I would like to see a lot of numbers in there to make use of the power of consensus(and see consensus from brilliant minds of 3SOF members).
After reading two schools of thought I was just reminded that Big players do gun the stock in order to accomplish their goal.
If you are short, gotta watch out for that trigger just above the previous day's high :P ;D
I was also reminded that:
1 when the market opens, the previous day's high and low (if price opens within) is the most recent battle of the bulls and bears to protect support and resistance that a lot of people look at.
2 to choose the path of least resistance
3 to keep in mind Newton's Law of motion
4 and to be aware of mark ups (artificial gaps)

Momentum (acceleration of a stock's price) = Volume(net force)/ Float(object's mass)

Normally, momentum would carry the price in the same direction unless an outside force stops it (Market Maker playing around until other Market Makers gun it with block trades  or it gets hit with the combined volume of retail investors buying at the same time.)

Premarket most active: CYTR,LVLT,SUNW

What I learned from my latest trade.
In CYTR at:    $4.25
Out CYTR at: $4.84
Profit: 0.59 x 1000 shares = $590 minus commissions of $20 = $570
(I'm not planning to include this in the running total because I used a strategy that has not been included in the plan yet - maybe Plan F?)

I felt that I should have hanged on to $3.82 and held overnight (but that would break my daytrading rule)(I guess I'll have to see how it will turn out at 100 shares long term)
Today's premarket price went as high as $5.05 so far
It really makes a difference concentrating and getting to know one stock at a time
Thanks again to Holygrale for reminding me.
I jumped in at 4.25 because that was my initial alert the previous day.
When it was confirmed by a block trade, I went for it.

Proposed Plan D:
Ride with a block trade (or buy lower as soon as possible - waiting too long could be countered by another block trade in the opposing direction) on a stock that is being closely monitored.

Premarket most active: TASR,CYTR,STTS,ONT,STEC,LVLT,TSTC

Quote from: Eatinfolikefish on February 21, 2007, 08:35:36 AM
What I learned from my latest trade.
In CYTR at:    $4.25
Out CYTR at: $4.84
Profit: 0.59 x 1000 shares = $590 minus commissions of $20 = $570
(I'm not planning to include this in the running total because I used a strategy that has not been included in the plan yet - maybe Plan F?)

I felt that I should have hanged on to $3.82 and held overnight (but that would break my daytrading rule)(I guess I'll have to see how it will turn out at 100 shares long term)
Today's premarket price went as high as $5.05 so far
It really makes a difference concentrating and getting to know one stock at a time
Thanks again to Holygrale for reminding me.
I jumped in at 4.25 because that was my initial alert the previous day.
When it was confirmed by a block trade, I went for it.

Proposed Plan D:
Ride with a block trade (or buy lower as soon as possible - waiting too long could be countered by another block trade in the opposing direction) on a stock that is being closely monitored.

Great trade,,applause

Hi Wrangler,
Thanks again for your support.
I'm starting to really like you now.
Looking forward for more comments from you.
This morning I woke up at 2:59am and went back to sleep
Woke up again at 4:04am and tried going back to sleep... not succecssful this time.
I decided to turn on the computer at 4:25am since I'm all wired up.
I'll just catch a nap later on today.
I've been breaking my trading plan lately of  turning on the computer at 6:00am and to turn it off by 8:00am.
I plan to just work 2 hours a day and make my $250 maybe 3 hours but the 3rd hour should be at 12pm to 1pm

Yesterday's trade:

In CYTR at: $4.95
Out CYTR at: $5.47
Profit: 0.52 x 1000 shares = $520 (minus $20 commissions) = $500

(I'm not planning to include this in the running total again because this is another strategy)

What I learned from yesterday's trade.
(My notes are at the CYTR thread at Stock Picking)
1 It's ok to take profits while it's there
2 I reached my goal of $250, anything more than that is a bonus.
3 Do not ignore what the message market makers are sending.
4 Check the charts, INET book, Time and Sales and compare with the message being sent at Level 2.
5 Take a break once the goal is reached - I stayed in the computer way longer than I should have. After taking a profit, I kept on analyzing the stock and lost track of time. The nice level 2 set up between 6:35am to 8:00am does not have the same result with those "idle hours".
6 I was waiting for the stock to tank to get in again (this strategy takes a lot of time staring at the computer -especially on an uptrending stock)
7 It's probably better to just let the "Big Boy's or Girls" figure out the bottom and ride with them.

I made a profit on CYTR on 3 straight trading days!
I wonder if I should push it or move on to another stock.

The dilemma: Getting to know the stock better or "air may come in my head."
A recap of the CYTR trade:

In: 4.82 Out:4.08
In: 4.25 Out 4.84
In: 4.95  Out 5.47

So far, I bought high and sold higher (except for 4.82)

Thanks  :)
Messages that Market makers are sending. Are you refering to the messages sent when shares are somewhere between 100 and 500. Do you get level two quotes from your trading platform or from another source.
Send some lessons from last post refering to this and block trades. Will be interesting to read.
3 Do not ignore what the message market makers are sending.
4 Check the charts, INET book, Time and Sales and compare with the message being sent at Level 2.
Also if the stock world is what's keeping you awake. I would suggest taking a break.

Hi Wrangler,
I get Level 2 quotes from Tradefreedom (currently our direct access broker)
I'm currently checking out Interactive Brokers and see what they have to offer.
The messages I'm referring to is how the Market Makers set up level 2.
The strategy I used here is a combination of what I learned from Cybertrading University, the book I read by Charles Kim called Swift Trader, and the Market Maker's Edge by Josh Lukeman.
I'm not sure if I could discuss those details here in the 3SOF.
I may be infringing on the rights of the school.
What I suggest is, read those books first.
If you want to go further, check out Cybertrading University - It's an on-line class.
You are right, it's the stock world that's keeping me awake.
I've been working on taking a break for at least 3 years now.
Before, my wife told me I was obsessed with stocks.
Yesterday, she told me I was obsessed with 3SOF.
I guess my main problem is when something interest me - I get challenged and really go for it.
Probably this part I could share since it seems more than 1 school teaches it.
When Market Makers show size in the Ask (10,000 or more) they're either trying to prevent the stock from spiking or to scare traders to sell at the Bid where they are waiting with 100 shares that is being refreshed.

Ares

Price and Volume doesn't lie.
Charts reflect them but Time and Sales gives you the details.
The bid and ask (number of shares and price) may not show on level 2 but Time and Sales should print the trade.

Premarket most active: SUNW,TASR,LVLT,AVNX,CYTR,BRKR

In at LVLT:$6.70
Out LVLT at: $6.73

In BRKR: $9.21
Out BRKR:$9.31

In CYTR: $4.50
Out CYTR:$4.81

I've reached my goal for the day.
Time to have a break and spend some quality time with my family.
We're picking our grade 1 son at school and go out for lunch.
Good luck trading.

Premarket most active: SUNW,CHTR,NICH,AVZA,STTS,CNLG,EPIX

CYTR was not part of the premarket most active but is a stock that I've been following for days now.

In CYTR: 3.56
Out CYTR: 3.60
Profit: 0.04
Went in using the momentum low strategy, but when I saw weakness while recovering, I got out.
Set my alert  to warn me if it gets close to my perceived support at 4.10.

In CNLG:  3.31
Out CNLG:3.95
Profit: 0.64
Went in CNLG with momentum but didn't look at Time and Sales. I went in again mainly based on charts.

In CYTR: 4.14
Out CYTR: 4.36
Profit:0.22
Went in CYTR using the momentum low strategy(tanking stock for the day but has a longer term uptrend - above the 200ma and 50 ma of the weekly chart)
While shopping around for trading candidates (I was click,clicking symbols), I saw an opportunity at CYTR. 
It had a momentum low of 4.11(0.01 above my perceived support of 4.10 earlier). I forgot the rule of round numbers.
I had to wait for strength before getting in. When it made a higher high, I got in at 4.14. After I got in, I saw blocks coming in.
I got comfortable and switched back to CNLG where it had a potential of tanking. I divided my attention and was not able to keep track on the time and sales prints.
I saw the hourly 200ma as potential resistance. I was not able to get out at 4.47(the hourly 200ma resistance).
I got out at 4.36 instead.

In CNLG: 3.49
Out CNLG: 3.51
Profit: 0.02
Tried to catch a ride on a small block trade (less than 25,000) but when I saw a counter block trade and the test of the previous resistance of 3.47 failed, I got out.

In CYTR: 4.49
Out CYTR:4.57
Profit: 0.08
Went in CYTR because it was showing strength again. The hourly chart made a higher high, went above the 200ma, and broke the 4.47 resistance.
It looked like it was still going higher but I had to exit my position because my I had to pick my son up from school.
He gets out at 12pm our time (which is 3pmET - the last hour of trading!)
Oh well, I have to do what I have to do. I had to make a decision on my priorities.
The next target resistance was the hourly 50ma. Sure enough it went there.
I still feel I had a good trade. It's not bad to take profits while it's there.

I just took a look at the minute chart of CNLG (6:50am my time on Saturday, February 24, 2007)
It did tank. It blew my 3.15 perceived support.
What I see here though is a true breakdown on the minute chart.
It broke down on a tight bollinger band with big volume.
The recovery rally is way below the BB.
This reminds me that perceived supports are just that - perceived.
We still have to wait for confirmation if there really is support in there.
Based on the hourly chart, my next perceived support is $2.37

Would someone please show me on how to remove the poll?
I already went to the help section under posting.
Is there another place that I should check out?

My thanks goes to Lucas Scott.

It is for showing me how to change my username.
Your rating should be at 155 now.
Thanks again,

Ares

I'm revising my trading plan starting today (February 26, 2007)

1) use 1000 shares for stocks under $5 with a  10 cents risk : 25 cents reward ratio

2) Use 500 shares for stocks under $10 but above $5 with a 20 cents risk:20 cents reward ratio.

First choice: Daytrade with Consensus.

Second choice: Bottom Fish a long term uptrending stock that has tanked for the day.

The reason I'm revising:( A result of new information and reminders that I have acquired recently from 3SOF).

1) To maximixe the use of a $5000 capital.
2) As long as I still go with the longer trend, I feel more comfortable bottom fishing.
3) My reasoning is if there is not enough volume to push the stock up past the breakout point for the day, most likely, it will come down.
4) When it comes down, as long as it has enough volatility and volume, most likely, a lot of bulls(long term) will find it cheaper and start buying.
5) It's mainly a matter of determining proper support and resistance.

"Buy high to sell higher or buy low to sell high."

premarket most active: SUNW,CNLG,CYTR,CHTR,STTS,LVLT,AIXG.

IONA will be part of my stalk list for today just because I like the chart set up.
Even though it  has not reached 15,000 shares by 6:15 am (9:1am ET)

Why didn't I sell IONA at $6.34 yesterday while the bid was still thick?

I was too optimistic with:
1 The Ascending Triangle Pattern Breakout
2 I know that there are at least 3 schools following this stock

IONA gave me a lot of chances to get out with a bigger profit but I decided to ride the pullback for the day.

1 I saw the buying volume drying up
2 The bid was thickening at around 10:34am ET
3 The minute chart opened and closed below the 8ma
4 The 6.20 support was broken
5 The 6.05 support was touched a few times
6 I finally initiated an exit when I saw a block selling to the bid at 6.05

I ended up exiting at 6.08 instead of 6.34.

In IONA:5.96
Out IONA: 6.08
Profit: 0.12 (instead of 0.38)

Premarket most active: BRCD,SUNW,LVLT,OSCI,CPSL,AMCC,CHTR,AVNX

I would like to follow up on IONA today too.

Hi Ares,

Greetings from T.O.  I have been reading some of your post and I just want to wish you good luck on your trades and great posts!  It is always refreshing to read about one's trading journal.

I don't mean to jack your thread but I was wondering if you know the answer in regards to daytrading rules for Canadians (if any).

I read the following rule for PDT:

Pattern Day Trader: someone who effects 4 or more Day Trades within a 5 business day period. A trader who executes more than 4 day trades in this time is deemed to be exhibiting a ‘pattern’ of day trading and is thereafter subject to the PDT restrictions.

In order to day trade, the account must have at least 25,000 USD in equity, where equity includes cash and stock, but does not include option or warrant value.

The NYSE regulations state that if an account with less than 25,000 USD is flagged as a day trading account, the account must be frozen to prevent additional trades for a period of 90 days. IB has created algorithms to prevent small accounts from being flagged as day trading accounts, to avoid triggering the 90 day freeze. IB implements this by prohibiting the 4th opening transaction within 5 days if the account has less than 25,000 USD in equity.

http://www.interactivebrokers.com/en/trading/marginRequirements/patternDayTraders.php?ib_entity=llc (http://www.interactivebrokers.com/en/trading/marginRequirements/patternDayTraders.php?ib_entity=llc)

Does the above rule apply only to U.S citizens or does it apply to EVERYONE; ANYONE; ANYWHERE trading U.S stocks?

Thanks

Hi rurouni,

I verified the pattern day trading rule with tradefreedom yesterday.
I inquired about it because I saw the requirements at Interactive brokers while checking it out.
Jack at Tradefreedom  told me that I don't need to have $25,000 in the account to daytrade.

Ares

Quote from: Ares on February 27, 2007, 01:02:30 PM
Hi rurouni,

I verified the pattern day trading rule with tradefreedom yesterday.
I inquired about it because I saw the requirements at Interactive brokers while checking it out.
Jack at Tradefreedom  told me that I don't need to have $25,000 in the account to daytrade.

Ares

Thanks for the answer Ares.  I also read somewhere that a PDT are limited to make a certain number of trades per week.  Not sure where I got this from.

Yesterday's Lesson:

In BRCD:9.25
Out BRCD:9.44
Profit:0.19
This was an ok trade


In BRCD:9.25
Out BRCD:9.27
Profit:0.02
I had to do some head scratching here.
I must have missed something with this trade.
I saw at least 300,000 shares on the green at $9.36 go by at the time and sales.
The price went down. I was thinking that probably the market maker that took the order(shorted 300,000 shares in order to service the client who bought 300,000 at $9.36 which was reflected as green on the time and sales) was taking the price down to be able to buy to cover and make a profit.
After I got in,
1) I noticed that the previous candle(the candle where I used the high as an indicator to get in) of the 1 minute chart was outside the B- but the volume was lower than the candle prior to that.
2) the recovery rally didn't touch or exceed the BB
I initiated an exit and was able to get out at 9.27
I'm not sure how that big buyer felt but I had to cut my loss when my indicators tell me to.
I must have missed the counter trades against that block that was at least 300,000 at $9.36


In BRCD:9.15
Out BRCD:9.24
Tried to Bottom fish this long term uptrending stock.
From a high of 9.27(outside the B+ on the 1 minute chart) to a low 0f 9.13(outside the B- of the 1 minute chart).
When I saw that the angle of attack was steep, I waited for a higher high and placed a bid on the previous high.
The candle pierced B- on low volume and ended the move with  larger volume.
I was concerned after I got in because the ending volume was not large enough( I want to see a panic selling volume).
The recovery rally also didn't touch or exceed the BB.
I was watching 9.14 to be the price low(low inside the Bollinger Band with lower volume compared to the momentum low)
9.27 was my perceived resistance.
The price climbed towards it but  kept on stalling.
I thought that 9.24 was pretty close to it already and if I get out here it will be on a +.
I really wanted for the price to pass 9.24 but when the bid and ask locked after the dip, I got out.

While having my haircut (which was supposed to have been done the previous day) I heard on the news that the market was having a sell off.
This is the main reason I don't like holding overnight anymore.

I wanted to get home right away to follow up on BRCD.
I was thinking that if the bulls panic and the price ends up hitting a strong support, a potential short squeeze would be there.

Looking at the hourly chart of BRCD right now(5:14am on February 28,2007)
It had a nice bounce at the 50ma.

I'm still bugged with that block trade.
Now I'm thinking, if a pension fund or another large institution wants to get in a stock, most likely they can't or will not buy all their quota all in one day otherwise the stock price will be driven way up right away.

BRCD just made a higher high (previous hour's high is 9.12)  on the hourly chart at premarket(5:23am)

Yesterday's close was at 9.13 on large volume with a spinning top.
If this opens above 9.13, this would be the first indicator of a continuation.

Looking at the daily chart, it looks like there was a selling volume capitualtion on August 8, 2006 with a low of 4.91

Nov. 22, 2006 was a gap up outside the bollinger band.

Yesterday (February 27, 2007) was another gap up outside the bollinger band - this time with increased volume.

When I arrived home from my haircut yesterday, I turned on the computer right away.
Just to see that I missed the momentum low entry.

I determined $8.90(3:03ET) was the momentum low.
My entry would have been 8.93 (the previous high after the minute chart created a new high)

premarket most active:SUNW,LVLT,CHTR,BRCD,ARMHY,STTS,CYTR,XOMA,MAMA

Stalk list: IONA

In BRCD 9.25
Out BRCD 9.26
Profit: 0.01
Got fooled joining that block trade.
Jumping in with block trades doesn't seem to be working here with this stock.
Jumped in with the _ _ _ _ money (didn't wait until they got flushed out).

Resistance should be at 9.12 right now
next buy target is 8.60

Just reminding myself that price normally goes down faster than it goes up.

IONA is so close to my buy target of 5.48.
The problem is getting in and out for the day because the volume is low(so far, less than 100,000.

12:45ET BRCD price hovering at $9.12

This may have a tweezer creating 2 lows at 8.90 on the daily chart.
Looks like it used the hourly 50ma and yesterday's low as support.

I'm waiting to get in when the multiple timeframes are pointing up or if it tanks close to the 8.60 support
previous hour's high: 9.20
previous hour's low: 9.02

Will the $9.12 support(previous resistance) hold this time?

As of 1pm ET:
previous hour's high: 9.16
previous hour's low:9.04

Hourly chart still below the 8ma but
the 15 minute chart shows price closed above the 8ma
will the next candle open and close above the 15 minute chart's 8ma soon?
watching if the INET big seller gets done

Sorry for this question but i didn't find out the info.  Just want to know how you can transfer your partly money from your tradefree dom account out and how much they will charge for each trx?

Thanks,

Hi Ares
You do a lot of buying and selling the same stocks on the same day and do it more then three times within a week. This fits a pattern day trader , they don't hold a stock overnight or most don't.
Just wondering :)

Here is the website for tradefreedom.
http://www.tradefreedom.com/en/tradingprodfees/accounttypes.asp
They used to offer deals if you traded more than 30 in a month.
As much as possible I don't want to hold overnight anymore.
I got burnt a few times holding stocks that I daytraded.
Realized later that the stocks I were buying before were mainly going down(downtrending).
I found out the the strategy that was mainly being used by the daytrading school was a dead cat bounce!
We looked for stocks that were down at least 50% in the premarket, looked for support, let market orders flush, get in as soon as strength is seen (bouncing off support),sell as soon as it hits close to perceived resistance(unless level 2 and the time and sales says otherwise).
The potential for a short squeeze was very high, but these stocks are very risky - especially if you don't have the self control to exit the position when you realize your wrong.
Being wrong in the analysis is bad enough - holding stocks overnight that are on the way down is worse.
No wonder our teacher kept on telling us - NO OVERNIGHTS,NO OVERNIGHTS!
At that time, I was very stubborn(probably still am).

I'm still considering the 3SOF portfolio though.
I believe that the stocks in there have been filtered well and I am planning to give it  a shot.
I'm in the process of transferring my RRSP from TD Waterhouse to tradefreedom and probably use that for long term stocks.

Hi pnguyen652004,
I haven't taken out any money from our tradefreedom account yet.
I'll phone them later on to find out.
The fee is starting from $9.95

These is what's been running on my mind regarding BRCD's behaviour.

1) Almost everytime there's a block trade on the green or blue, the price falls shortly
2) The momentum low entry seems to be working better.

premarke most active:
LVLT,AVNX,STTS,SUNW,ONSM,BRCD,IMOS,CHTR,ARMHY,GNLB
Stalk list: IONA

Today, my wife actually sat down in front of the computer.
I showed her what I normally do.
We had a deal that she's going to learn and concentrate on stocks if I pursue and apply for the transit supervisor position.
I told her to paper trade first before using real money.
We were looking at BRCD today.
I told her that my buy target is 8.60 but have to see first if there is really support there before getting in.
I also told her that resistance is in the 9.12 area.

So far, BRCD has been behaving as expected.
Everytime a big block on the green gets printed, the price goes down shortly.
Let's see if it behaves the same with the momentum low.
Currently, the price is below the 50ma and  8ma of the hourly chart.
$8.60 has  a horizontal support with the hourly 200ma backing it up.

premarket most active: IMMR,ARMHY,LVLT,ALTI,SUNW,SUPG

Stalk list:
BRCD: perceived support = 8.60
IONA: perceived support = 5.48

In IMMR: 9.71
went in 1 cent above 9.70 support of the 1 minute chart when it pulled back.

Out IMMR 9.80
Didn't like the doji followed by a red candle that broke the doji's low and that it opened and closed below the 8ma.

IMMR didn't seem to have enough volume to push it to the upside.
Let's see where we could bottom fish this.

I see strong hourly support at 7.41 (wishful thiking that it will go down there, but if it does...)

Poll: Is clock watching (time and sale prints) reliable.

1 voter said it's not.

If time and sales is not reliable, how reliable would the price and volume chart be?

Price and volume is not supposed to lie.

Has IMMR found support at 9.15/9.16 area?

support: 9.15 (close of hourly premarket candle, followed by an open at 9.16 by the next hourly candle)

support: 8.03 (open of premarket's hourly candle)

support: 7.41( congestion area)

In IMMR at: 9.19

9.12 low so far looked like a false breakdown.
if this gets broken, next buy target is 8.03

Watching 9.50 as resistance.
will the next push take out 9.45?

Out at 9.12
This is what I get for getting greedy.
Instead of getting out at 9.41( I considered getting out when I saw volume slowing down and getting close to the 9.50 resistance but didn't. My first indicator was when the B+ was broken without enough volume.)
I got out at 9.12 at a loss instead.

Well, market's closed and IMMR didn't go down to the 8.03 buying range.

BRCD would be interesting to watch on monday.
If it opens above 9.08 and below 9.23, it would be good to see 9.23 broken with increased volume.
It filled the gap at 8.73
Daily chart shows decreasing volume as price was pulling back and increasing volume when it made a higher high.

It's been interesting to watch  IONA dip within few cents of my buying range of 5.48 and went up soon after.
The low volume for Daytraders is bad but for longterm holders, this would probably be a better entry.

Tried to play around with my profile.
I was trying to paste a picture of my own but the page doesn't seem to be loading it. There must be something I'm not doing right.

Another thing that's running through my mind about BRCD is:

A big buyer may have given a market maker instructions to buy at a + or - price range.

If BRCD goes up above 9.36 in the coming days (where I saw a block print of at least 300,000 in the green) a pension fund or an institution may really want to be in on this stock.

Selling on an uptrending stock that doesn't have bad news is most likely just profit taking.

There must be a good reason for someone to buy blocks.

Most block buyers or sellers know better than most retail investors.

I still have to find out if a selling volume capitulation on the daily chart is mainly caused by retail investors panicking or if there are block trades (from institutions) selling on that particular day too.

As of today, I think block trades exit or enter way before a selling or buying volume capitulation occurs.

Weekly chart.

Looks like a spring ready to explode.
MACD above the zero line and is about to cross.
Histogram is starting to move away from a valley.
Stochastics has crossed.
Volume is up.
RSI is also pointing up.
50ma above 200ma.

I noticed that my rating went up - I just don't know the reason for it.
I wish I knew.
Thank you for whoever gave me that.
I'm trying to contribute whatever positive thing I can here at 3SOF because I really like this board.

Poll: When the offer is lifted and time and sales prints green, how does level 2 move?

clockwise = 1
counterclockwise = 0
I don't know =  3

According to most books and what I've learned, level 2 moves counterclockwise.
The more offers are being taken away( which shows green at the time and sales), the higher the offers become resulting in the bids going higher too.
It would show on level 2 as offers moving towards the bid in a counterclockwise movement.

More thoughts regarding BRCD.

BRCD gapped down at the open on friday.
I missed out on the artificial gap down.
Artificial gap downs is where market makers normally take advantage of the automatic stops just below the previous day's low to be able to buy the stock they want at a discount.
It was close to daily support.
It filled the breakout gap.
I'm only willing to play BRCD as a day trade.

For long term holders of BRCD, this is the most recent article I got.

3 Sell Signs
By Rex Moore
March 3, 2007
Most loyal Fool readers know how we feel about selling. If you've found a great company with top-notch management and a strong competitive advantage, the best time to sell is almost never.

But that doesn't mean we hold on blindly. Things change, even with the greatest of companies. That's why we're constantly evaluating our stocks and watching for the danger signs that can torpedo our portfolios.

Today, I'd like to share three rules for selling, as set forth by Fool co-founder Tom Gardner for his Motley Fool Stock Advisor members.

1. Selfish management
Tom calls this the "worst possible development" for any of his companies. If the executive team starts worrying more about lining its own pockets than creating value with the business, it's time to let go. For clues, keep an eye on excessive compensation, active insider selling, declining market share, and aggressive accounting. For me, it comes down to the trust I have in management, and I rarely hold a stock once questions arise. The latest example is the ongoing options-backdating mess involving past management at firms such as Brocade Communications (Nasdaq: BRCD) and Comverse Technology.

(Just to clarify: The U.S. government has filed criminal charges against former executives of Brocade Communications, alleging that they engaged in securities fraud resulting from backdating of options, although the federal prosecutors have not alleged that the executives, who have pleaded not guilty, personally received such backdated options.)

2. Competitive disadvantages
Competitive advantages lead businesses to high returns on capital and equity. They could result from many things -- for instance, the "network effect" advantage enjoyed by eBay (Nasdaq: EBAY), which gives it far more buyers and sellers than any other auction site. This powerful force was underestimated by many investors when first Yahoo! (Nasdaq: YHOO) and then Amazon.com launched their own auction sites several years ago. Though eBay's stock price suffered over fears that these other big names would erode the company's market share, neither could gain much traction, and eBay ran away with the race.

If your company is facing weak pricing power, a declining customer base, and lower market share, it's likely operating at a competitive disadvantage.

3. An unstable financial model
First, let's think of strong companies with stable models, like Nokia (NYSE: NOK) and Valero (NYSE: VLO). They're known for stable or rising margins, tight control over working capital, steadily increasing sales, and loads of cash from operations. Companies that aren't following suit in two or more of these categories are showing us a big red flag.

What about valuation?
Obviously, a stock carrying a sky-high valuation is a candidate for selling. But this is the toughest call of all. If properly valuing a company is so easy, after all, everyone would be rich ... happily buying low and selling high. Even Tom has been burned in this area, having sold companies based on valuation, only to watch one or two of them shoot up in value afterward. So tread carefully here; it takes many accurate valuation-based sell calls to make up for just one missed multibagger.

But the three sell signs I've outlined above aren't too hard to spot. Tom and his brother, David, have employed accurate selling and buying guidelines on their way to outstanding performance in Stock Advisor -- 64% total average returns versus 26% for equal amounts invested in the S&P 500. You can get a look at their two picks for new money now, plus all their past recommendations, free of charge with a 30-day trial. There's no obligation to subscribe, and full access to the Stock Advisor service is just a click away.

This article was originally published April 12, 2006. It has been updated.

Rex Moore is brought to you by the letter "R." He owns shares of eBay. Amazon.com, eBay, and Yahoo! are Stock Advisor recommendations. The Fool has a disclosure policy.

The chart is saying 1 thing and the "news" is saying another thing.
Let's see what the market decides to do on monday.

Hi again Ares
Interesting poll, and will be interesting to see the differant answers. Mine was I don't know. The question you're refering to is day trader question and I believe not to many people day trade here.
I would like to learn day trading better but I've always read in differant books that when you find the system that works for you then stick to that system. All traders uses differant systems and everyone has got to find the one that works best for them.
I have stated that you need to show lessons on how you day trade. It could open up a new approach here and make a good thread.
Look how Samantha started the options thread and it's very interesting to read. If I can learn enough from it I might decide to give it a try one of these days.

Hi Wrangler,

It feels like I'm inching towards that direction.
I'm just being cautious because I don't want to step over someone else's rights.
I wish someone would give me a confirmation that what I'm doing is allowed.
What I did recently is to give out a poll that ask general questions regarding daytrading that is published and used by at least one author.
I believe long term holders would benefit knowing how daytrading works and how to get a better entry price since they're planning to hold the stock long term anyway.
It makes a lot of difference knowing what you know and doing what you know.
Emotion is still a factor but is getting more under control.

Ares

Ares
I stated that Samantha started options thread. After going to the options thread I don't know who started it but it seems she gave out a lot of useful info. on it but more than just her post their. I just wanted to clarify that and not take credit away from others who makes the option thread a valuable part of this site.
This is you're personal log that you can post anything you want. If you want to post your trading style and how you go about doing that I don't see why you can't. I'm really interested in how you read the buy and sell ticks to determine when to buy or sell and point the direction of the stock price. I don't use level 2 quotes but I believe you must to observe this kind of trading,,is this correct.
If you post some trading strategies that you learn from someone else just give them credit for it and how it has helped you become a better trader and the strategies that you have learned to input from theirs.
That's all part of the game ,,same as going to school. You must first learn from a teacher and give that teacher credit then pass on what you have learned and how you have gained from it to others still learning.

Quote from: Ares on March 04, 2007, 10:30:20 AM

I'm just being cautious because I don't want to step over someone else's rights.
I wish someone would give me a confirmation that what I'm doing is allowed.

As Wrangler says you can post what you like in this thread, as long as it is not blatant pumping or advertising or some other scam based rubbish ;)

Good Trading

Thanks Wrangler and Aussietrader for confirming that with me.
I believe I've already given credit to the sources within this thread.
I've read the post of other traders here at 3SOF regarding level 2 too, I just can't remember which thread it was and who posted it.
I wish other daytraders within the 3SOF would also share their level 2 strategies in here.
Someone mentioned that he/she was a contrarian and that he/she buys when the MM's line up at the ask.
That's what I look for too.

I'll cut and paste quotes from other 3SOF members that seems to share what I'm looking for in here.

Quote from: Adam on July 14, 2005, 10:59:49 AM
Big blocks been coming in since 10:30. Should challenge resistance at 5, and looking for a breakout

Quote from: trender on March 31, 2006, 10:33:53 AM
Check out this new Real Estate Exchange http://www.inreex.com and
http://www.inreex.co.uk It's publicly traded too (IRXI), I believe it
IPO'd on Monday. I wouldn't be suprised if they get buyout offers from
NYSE etc. down the road? I am going to grab a few as I honestly think
this could be a $10, $20, $30 stock down the road as there is nothing
of its kind out there considering the real estate market is worth
something like 20 trillion dollars. But now there is this exchange
that lets you specualte on Real Estate without having to buy actual
real property. The stock also has a nice share structure as you can
see below.

Share Information
Authorized 50,000,000
Issued and Outstanding: 45,540,000
Public Float: 4,125,000

http://www.inreex.com/InvestorRelations.aspx

Here's some News from this morning...

INREEX, Inc. Looks to Revolutionize the Way You Invest in Real Estate
Friday March 31, 9:33 am ET

LONDON--(BUSINESS WIRE)--March 31, 2006--INREEX, Inc. (Pink Sheets: IRXI - News) is excited to present to the public a new way to invest in the real estate market, without the need to own physical property.

"In the last few weeks we have seen an overwhelming increase in participation on our real estate prediction exchange. We are excited that investors are responding to our product in a favorable manner and hope to continue perfecting this new and innovative way to participate in the real estate market," said Paul Rozenberg, CEO of INREEX, Inc.

The INREEX which stands for International Real Estate Exchange is an exchange exclusively dedicated to trading real estate tracking contracts. These contracts track the price of real estate in a specific area and are quoted electronically on the INREEX exchange. The INREEX exchange has the look and feel of a traditional stock exchange. Each contract has a bid, ask, volume, level 2, time and sales, and even charts that go back 30 years. Trading on the exchange can be conducted 24 hours a day, and 7 days a week.

"We feel that there has yet to be a major enhancement to the way real estate speculation is conducted and that it is time to commoditize this vast pool of equity," continued Paul Rozenberg, CEO of INREEX, Inc.

The trading technology allows an investor to log in from anywhere in the world and buy, sell, or short the entire United States of America. INREEX offers its users free tools such as real-time quotes, advanced java charts, real-time order book, time and sales, watch lists, and a proprietary real time screening tool that allows an investor to easily identify trends in the marketplace.

"Whether a speculator wishes to bet that the price of real estate will go down or a day trader is looking to take advantage of an arbitrage opportunity, we want to facilitate that activity and become the premier destination for electronic real estate speculation," concluded Paul Rozenberg, CEO of INREEX, Inc.

Quote from: Vipyr on March 13, 2006, 03:42:13 AM
FNIX - So much to say, will keep it simple here...
- Hammer close on Friday
- 52 week low
- All buys end of day, last trade on my ticker came at 4:10
- 10 bidders waiting on bottom at .018
- Sellers coming down
- Indies bottomed out
- Shortest volume day Friday, (see chart history for this as an indicator)
- Fading resistence sell side
- Down trend on good news
and so on and so on.....looking like a great week in the making fer FNIX


Has continued to fall from grace, small spikes on the chart surrounding its press, but never able to hold gains. Decent gains on 3 day plays as it has worked its way to bottom. How do I see bottom here? I've watched the stock for a couple weeks now and watched as the sellers have come down to meet the buyers at the .018 price. Slowly working down and becoming harder to buy, there is a mass of buyers sitting at .018 waiting to pounce as the sellers continue to line up soon to create no solid resistence. FNIX has continued to drop to a 52 week low on advancements from the company as spouted out over the last couple months.

I am no big fan of press release runs, but, when the press good as it can get, continues to bring the price lower, it would seem to me a make ready time for chart reversal, and a run back up, much the same I saw in XKEM before its turn.

Quiet as a church mouse farting into a cotton ball was the activity on Friday with only a few taking advantage of the bottom price of .0181 just above the wall of of buyers at .018. Leading the level 2 and sitting on top is NITE at .018 with what looks to be a sizeable order.
Where is this going to go and when?
I think come Monday we are going to see a whole new shape of things to come out of FNIX. Accumulated all the way down and still buyers waiting 10 deep at .018, as the spread thins, this is going to make some great play for those that are able to grab at bottom. Going off its news cycles, I see a turn for the better, possibility of a press release early next week and a long way to top. As in all great plays what goes up, must come down, grabbing the bottom before she heads back up does tend to pay a lot better then trying to catch a ride in motion.

Quote from: Terliso on June 26, 2006, 02:17:12 PM
XKEM currently up 23.56% in level 2 ;)

Premarket most active:ONNN,ALTI,SUNW,LVLT,CYTR,MEMY,IMMR

BRCD
1 did not have 15,000 by 6:15am
2 negative net price

I wonder if this will touch 8.60 today

Watching 9.23 resistance to be broken.

So far, it went above the previous hour's high and traded at least 25 cents above the open.

In BRCD: 9.23
Will 9.23 hold or will this tank towards 8.60?
next resistance: 9.31
next resistance: 9.48
next resistance: ?
I wonder if some shorts are considering to cover already.
I still have that block of at least 300,000 at 9.36 in the green at the back of my mind.
If this goes over 9.36, that buyer will be making money already.
Hovering at 9.31
Will 9.31 hold or will it dip back to 9.14?

This chart shows a high of 9.95.
I didn't see how many shares was printed at 9.95.
Is this a signal that the price will be taken there or is it a fakeout?
Another possibility is a market maker testing resistance or triggering stops of shorts.
So far, multiple timeframes show and uptrend.
If the trend really is our friend(on this particular stock) this should go up.

So far, the trend has been friendly.
The hourly chart shows a close above the 200ma accompanied by volume.
A golden cross on the hourly chart is about to happen.
Previous hour's high: 9.34
Previous hour's low: 9.23

Quote from: pnguyen652004 on March 01, 2007, 02:42:03 AM
Sorry for this question but i didn't find out the info.  Just want to know how you can transfer your partly money from your tradefree dom account out and how much they will charge for each trx?

Thanks,

I just got off the phone with Marco at Tradefreedom.
He told me that there are 3 ways of withdrawing money from the account.
All we have to do is call them and they could:
1) send out a cheque(free)
2) do an electronic transfer (free- we just have to provide a void cheque where the fund will be transferred)
3) wire transfer (not free)

Out BRCD at 9.37
Stalling too much
This may go up just after I exit but these are my reasons for getting out:
It opened and close below the 15 minute 8ma.
Not enough volume going up after it created a higher high on the 15 minute chart.
Watching for another entry.
I may have to buy higher than my exit to enter with momentum or wait for the stock to tank and buy close to support.
I still like the look of the 50ma that is about to cross the 200ma of the hourly chart (noting that this hasn't crossed yet)
On the other hand, the 15 minute chart gave me a definite signal to get out (for now).
In my mind, it's better to get out at a plus for now than to hope for the 9.45(previous hour's high)/9.48(52 week high) resistance to be broken.

In BRCD: 9.23
Out BRCD: 9.37
Profit: 0.14

Looking back, the 15 minute chart gave me a signal to get out at around 11:30ET when the price opened and closed below the 8ma.
If I initated an exit at that time I could have gotten out close to 9.45 since I  know that 9.48 is resistance.

In BRCD again at: 9.43
Hourly chart made a higher high, time and sales green(momentum building)
15 minute chart has price above the 8ma again.

Out BRCD:9.57
minute chart opened and closed below the 8ma.
next push didn't go  above 8 ma and time and sales was slow (making a decision)

In BRCD: 9.43
Out BRCD: 9.57
Profit: 0.14

Buy target:

9.60 (previous hour's high with a low of 9.38) resistance broken or

Support at:

9.26 (Hourly 200ma)

9.08 (Hourly congestion area)

8.73(Daily swing low)

8.60 (previous hourly congestion area)

Premarket most acive: AVNX,BRCD,XOMA,CHTR

Question: If a market maker is at the best bid showing only 100 shares , the time and sales prints red for a few seconds printing way more that 100 shares but the price is not going down. What could be happening?
a) It shows that time and sales is unreliable  0 (0%)
b) The market maker has actually more than 100 shares that is willing to buy at the bid but would only honor 100 shares.  0 (0%)
c) I don't know  2 (100%)

Total Voters: 2

Most of the time, the market maker has actually more shares to buy than it actually shows.
This is called, hiding size.
The market maker is refreshing 100 shares at the bid.

BRCD's premarket high is 9.70
It should break this before I get in or wait for it to tank in the 9.00 range.
Today's set up is better than yesterday's
1 active in premarket
2 positive net price
3 didn't gap up

Hourly 50 ma:9.31
Hourly 200ma:9.07
9.01 = premarket low, hourly congestion area

This is how I look at it.

I let the market get consensus and let it decide where iit wants to take the price.
Price will either go up or come down.
It takes more effort for price to go up than to come down.
Price falls faster than when it climbs (most of the time)

If there's strong demand, I'm in.
If not, I'll be waiting close to perceived support.

If I'm wrong in determining my first perceived support, I'll cut my loss and wait again at the next perceived support and the next and the next.

Price somehow would find the real support and climb.

Previous hour's high:9.68
Previous hour's low:9.53

The hourly chart shows price closed below the 8ma.
Daily chart is still positive.
If the hourly chart opens and closes below the 8ma and breakdown 9.53 - this could go down fast.

momentum seems to be picking up.
So far, the bulls seem to be fighting for price to go up

I was getting bored with BRCD. I just placed alerts and started shopping around for other candidates.
XOMA's hourly chart looks interesting.
I'm looking at 2.96 as resistance to be broken.
XOMA pierced the lower bollinger band with small volume, tanked and ended the move with a large volume outside the B-.
It went above the BB on the recovery rally.
second dip was just touching the B- with way smaller volume.
The previous hour's candle touched the 8 ma and backed off with a high of 2.96

BRCD's momentum is really starting to pick up.
I'm tempted to get in but still holding back.

XOMA is below the 8ma of the weekly chart, and the daily chart so far.
There's a lot of overhead resistance's in here.
I'm still interested with this though because of the momentum low possibility in the hourly chart.
The added benefit during a bear market is a stronger possibility of a short squeeze.

In BRCD: 9.66
Hourly chart made a higher high.
Taking a chance entering below 9.70 because momentum has been building up and multiple timeframes showing strength.

I would have gotten in XOMA at 2.96 but the alert went on after I got in at BRCD.
I find it hard to focus on more than one stock at a time.

Out BRCD: 9.71 because the 15 minute opened and closed below the 8ma.

In BRCD:9.66
Out BRCD 9.71
Profit:0.05

XOMA opened and closed above the 15 minute 8ma.
Watching if there's momentum that will break $3.00(previous hour's high.
Seeing green lately and is trading close to the high of the day.

Looks like the AX of XOMA just refreshed 100 shares at 2.98

Hourly chart of XOMA just opened and closed above the 8ma with a high of 3.00 and a low of 2.97  (a doji).

We're currently within the "idle trading hours".
There may be not much movement, but sometimes there is.

I'm thinking of shadowing the AX and placing a bid of 2.981
It's currently sitting at 3.00 at the ask,
Might be better to see it go away first.

There seems to be more risk going long right now.
Ask thickening with almost a penny increment in depth.
But if your a contrarian, you may look at that set up differently.

Bid and ask locked at 2.99
Level 2 starting to move counterclockwise?

It's paused at 2.99.
Making a decision?
A calm before the storm?

Why did  the AX leave the bid?
Is the price going down or did the ax use a disguise at the bid to swallow weak hands?
So far, shorter trends are up.

Whoever is watching XOMA, don't forget to blink or should you? ;D

BRCD is getting active again.
Watching 9.72 to be broken.

In XOMA at 3.01

Good luck overnighters.
I'm out at 3.05
XOMA broke the 15 minute  upper bollinger band backed by volume.
Good sign but I just don't like holding overnight anymore.

Watchlist: AVRX,ZVUE,BRCD,XOMA,LPSN,LEXG,BDSI,CYTR,IONA
Premarket most active: AVRX,ZVUE

IN CYTR: 4.16
Weekly is still below the 8ma (currently at 4.37)
Daily,60,15 are above the 8ma so far.
Most of the symbols in my watchlist are red so far except for CYTR.

BRCD is picking up steam too but I have to concentrate on CYTR first before I'll initiate a position in BRCD.

Those bulls that can't short out there may be searching for a cheap stock that they could go long.
So far CYTR may be fulfilling that need.
NASDAQ is currently red.
More traders must be more comfortable shorting right now.
But those shorting CYTR may have to cover.

CYTR's previous hour closed as a higher high.
Previous hour's high:4.30
Previous hour's low: 4.1199

Is it a coincidence that CYTR's AX is bidding at 4.12 and asking at 4.29?
That's about a penny from the current high and low of the day!
That's a 17 cent spread.

IONA looks like it's going to join the bulls.
Low volume though.

The 30 minute breakout rule just came to my mind. I can't remember the author though.

This may go up later but I'm out for now at CYTR: 4.24
I went out because the 15 minute chart gave me a signal when it opened and closed below the 8ma.

In CYTR:4.16
Out CYTR: 4.24
Profit: 0.08

In AVRX:5.31

My perceived support was 5.23

next perceived support is 4.90

It feels like I've entered too soon. Out AVRX at 5.30
Looking at the minute chart the volume that accompanied the candle outside the B- is not as huge as I wanted to see.
The hourly chart looks like the sellers are already fading though.

In AVRX:5.31
Out AVRX: 5.30
Loss: 0.01

Weekly above 200,50, and 8ma:
CORI,CHRZ,BDSI,BRCD,LPSN,IONA,ALTI

Watch List:
CYTR,BSQR

Premarket most active:
MAMA,ALTI,CORI,ONSM,

In MAMA:5.87
Went in with momentum when green prints challenged the high of the 15minute doji.

Out MAMA: 6.01
Opened and closed below the 15 minute 8ma too soon.

In MAMA: 5.87
Out MAMA: 6.01
Profit: 0.14

Sorry, I typed BRCD earlier instead of MAMA

I have to try harder sticking to my goal of working just 2 hrs - 3 hours max in the stock market.
It gets too addictive.
I have to balance my life.

Goal: to make $250 within 2 to 3 hours of work.
6am to 8am
12pm to 1pm

Happy trading ;D

If MAMA tanks,

Hourly support areas:

4.90  = 50ma
4.36  = 200ma
4.20 = congestion

Looks like MAMA is tanking - a gap to crap?

Today, I'm following up on MAMA.
Looking at 5.60 to be broken by lots of green (Blocks of green is what I'm really looking for.)

OR

If it tanks, I'm waiting to see a steep decline(angle of attack) towards my buy zone with panic selling volume outside the B- at the end of the move  on the minute chart.

50 ma= 5.02 (yesterday was 4.90)

200ma = 4.43 (yesterday was 4.36)

congestion = 4.20

Watching LVLT.
Looking at 6.48 as resistance to be broken.

I might be dipping myself in hot water here but I'm in BRCD at:9.50

Reason:
9.48 support on weekly chart backed by 8ma support.
Minute chart had been downtrending.
Big selling volume outside B-.
It was followed by a recovery rally that exceeded the BB.
2nd dip was inside B- with lower volume.

BRCD's too slow for me. Out BRCD at 9.55
I went past my cut off of 8am
In BRCD:9.50
Out BRCD:9.55
Profit:0.05
Happy trading   :)

MAMA bounced at the 50ma of the hourly chart at 5.06 (Earlier the 50ma was at 5.02)
I may have to buy it on strength now since I missed the bounce.
Either it breaks 5.23 (previous hour's high)
or if it test support again.

Current Hourly support areas:

50ma = 5.07
200ma = 4.47
Congestion = 4.20

My suspected AX is currently sitting at 5.05 Bid and 5.25 Ask

Posts regarding level 2.

Quote from: Melf Elf on April 11, 2006, 04:03:29 PM

Quote from: Liquid Stick on April 11, 2006, 03:25:23 PM

Yes,  but did you see how high the bid was stacked up at 3.76?  Somebody doesn't want to see ALTI bleow 3.76.  Find out who it is if you have level II. 

Liquid Stick,

No, I don't use Level II.  We got some buyers in the final two minutes.  Closed at 3.83.

Quote from: Terliso on January 30, 2006, 04:01:25 PM

Quote from: Terlisa on January 30, 2006, 04:00:21 PM
I'm watching @ level 2 riight now.... looks like TGB will close @ HOD ... WOW is that a big blocks right there 1 minute before the close ;)

And it did ...nice, nice ;) :D ;D

Quote from: hermanpu on April 28, 2006, 10:35:41 AM
I like ameritrade beacuse they offer ppl with balances of 5000$+ or 30 trades per quarter free Level 2 quotes and no inactivity fees and you get a lot of other free stuff. Commissions are now down to 9.99$ so its not bad.

Quote from: doyerdiligence on April 06, 2006, 11:24:43 AM
nope i've never read any anywhere, i just teach myself i suppose for level 2
for example you can see the gap on the bid side between .0027 and .002
i doubt we will go below .0027 because of this

Quote from: tokyopua on November 17, 2005, 10:18:45 PM
netfishmademerich,

I do hope you are right.  The technicals do still seem to be in line for TIII to go up, but it was a bit concerning today to go down while most tech stocks rallied so strongly.  Perhaps its still the minor insider selling from yesterday weighing the stock down?  I am looking forward to David's analysis since its getting close to his buy in price.


On a separate note, I havent traded in a stock with this low volume before, I am curious about the way it moves on Level 2.  The current price might be 2.87 with a bid and ask of say 2.85 and 2.89, and then the next trade will be 2.93.  I dont really understand why anyone would want to trade it past the lowest price they can get? 

Quote from: vic666 on April 05, 2006, 01:04:09 PM

Quote from: jsintexas on April 05, 2006, 10:19:42 AM
I tried selling from 1.35 all the way down to .88....Could never get my market or limit order to execute.  So, im still in!   :P

How do you get ur orders to execute?

Here's what I did....was looking at level 2 right from open....saw it kept going up without a break, with no real downticks...thought I'll pull the trigger at $1.00, but the bids were lining up and ask was thinning...and after it took out $1.00, I thought it'll get weaker, so had my finger on the trigger, but it was still going strong...right about when it went to $1.13 or so, I put in a limit sell order at $1.07....the thing went going higher, and finally whern the bid was at $1.18 and ask was at $1.19, it took my sell order, probably 1 minute after I entered it.

The trick is:

1.) always sell when you still see buying power and upticks instead of when it is going down.

2.) set your limit order several steps below the market bid price only then do u have a chance of getting filled , especially during rapid price movements.

I set my sell order when the stock was still experiencing buying power...not when it turned the tide.

I've experienced with several pennies, that it's useless to chase when buying power is great, and likewise, useless to sell when everyone has theoir orders to sell.

kinda like, sell to strenght and buy into weakness.

good luck! hope you get out with a profit.  :)

Quote from: Lucas Scott on January 04, 2006, 04:34:31 AM
Wheezie - I've been with Ameritrade in one form or the other since I started. Thus I can't really compare it to other brokers other than to say I've been happy with them for the most part.  I use Ameritrade Izone which is $3 per trade. To get Izone you have to pay a $50 a year annual fee. Pretty much a no-brainer if you plan to make a couple trades a month (the standard (non-Izone) Ameritrade is $5 per trade).  As to ASR's comment that Ameritrade doesn't give the best price, I think he's talking about market orders. I usually use limit orders unless the stock is super-liquid with a 1 penny spread (i.e. SIRI). If I want to buy a stock immediately, I look at it on Level 2 and place my limit order at the ask. And if I want out of a stock immediately I look at L2 and set my limit at the bid. Works 99% of the time.  Another nice thing with Ameritrade is you can buy and sell OTC's or pink sheets (ugh) with no restrictions. You can buy 1 share or 100 million shares and they charge you a flat $3.

Another broker I've looked at but as of yet have not test-driven is Interactive Brokers. Very good word of mouth with IB. One thing I know IB offers that Ameritrade does not offer are bracket orders. That's where you can set a limit order that says "Sell XYZ if it gets to $9.50 or sell if it falls below $8. That way you can set your exit price above and below the current price. With Ameritrade and most other brokers you have to pick one or the other.

I wouldn't consider Scottrade if I were looking for a broker. I'd go Ameritrade or Interactive Brokers.

Quote from: gharknes on April 12, 2006, 12:43:55 PM
watching level 2 and raw trade data on this stock indicates to me there are a lot of shares being traded on this stock that aren't obvious to see, my best guess is this was taken down to allow a large buyer to take a large position, us small retail investors will have to wait for this to finish.......anyone looking at HOM   wow

Quote from: ket1390 on April 21, 2006, 12:52:13 PM
good higherstocks! level 2 looks good

Quote from: gmarc66 on August 06, 2005, 12:32:32 AM
Hi cmshop,

no, i did not buy...just too expensive for me...although i was completerly mesmerized by the level 2 action going on...wild!

Good eye though on finding it and posting it before the action started!

Congratulations on a very exciting and energetic pick..I hope u were able to pick some up  though.

Applause!

have a great weekend...dying to see what happens on Monday. ;D

thanks very much,

julia

Quote from: fill_the_gap on July 08, 2005, 08:12:52 AM
http://finance.yahoo.com/q/bc?s=NGPS&t=1d

I watched the close on Level 2 Thursday.
Large buying blocks.

Quote from: higherstocks on April 11, 2006, 03:13:53 PM
RushNet Inc. Gains New Brands With Brewery Purchase
Tuesday April 11, 2:16 pm ET 
Major Increase in Licensed Product Base Realized


BLUE ISLAND, Ill.--(BUSINESS WIRE)--April 11, 2006--RushNet, Inc. (Pink Sheets:RSHN - News) proudly announces that RushNet's President, Robert J. Corr, and investment group Lynch Partnership One ("LPO"), led by well-known entrepreneur Michael Lynch, have agreed to terms with the owners of a regional Midwest brewery, and will proceed with the private acquisition of the brewery in order to promote the future expansion of RushNet, Inc. throughout the beverage industry.
ADVERTISEMENT


With years of experience in the brewing industry, RushNet President Robert Corr understands the potential for future expansion and enhanced profitability through the acquisition. He stated that, "Upon completion of this purchase by the two parties, RushNet, Inc. will be appointed as the exclusive, Licensed marketing agent for the brewery's existing branded products along with new beverage items to come. The brewery alliance, by providing RushNet with a constant stream of innovative quality beverages, can transform our company into a full-fledged beverage marketing firm." Sales at the brewery were up 40% in the first quarter of 2006 compared to the same period last year.

The brewery, one of America's oldest, has been family owned and operated for over 100 years and brews and produces its own high-quality branded line of alcoholic and malt beverages, and gourmet sodas. For fifteen years it has packed Ginseng Rush and other Rush Beverage Co. products, and the brewery also does private label work for other companies. Both Michael Lynch of LPO and Robert Corr of RushNet Inc. intend to compound the value of the traditional brewery. Mr. Corr explained that "The new owners will introduce a complete line of innovative all-natural beverages, such as fresh-brewed flavored teas and sodas, and lightly carbonated 100% juice drinks. We will install a modern tunnel pasteurization unit at the brewery to ensure integrity of the all-natural ingredients without the use of preservatives.

The latter also gives me the chance to reintroduce a Ginseng Beer like I made in the 90's and distribute it worldwide with my new partner Michael Lynch. Michael has special affection for the Rathskeller and Rock Hard Red products the brewery makes."

RushNet, Inc., Licensee of the highest quality Rush Ginseng Sodas and the new e-water(TM), have recently expanded distribution into Southern California, Midwest and East Coast supermarkets and convenience stores, making the products more easily available to meet the growing demand being created by the national consumer PR campaign and investor requests.

The correct link for Real-Time Pink Sheets Inside and Level 2 Quote Montage for RSHN (RushNet,Inc.) is: http://www.pinksheets.com/quote/quote.jsp?symbol=rshn
RushNet Inc. is the licensed marketing agent for Rush Beverage Company products including Ginseng Rush®, Ginseng Rush XXX(TM) and Rush Ginseng Cola(TM). RushNet, Inc. is the brand owner of e-water(TM).

Disclaimer: The Company relies upon Safe Harbor Laws of 1933, 1934 and 1995 for all public news releases. Statements, which are not historical facts, are forward-looking statements. The company, through its management, makes forward-looking public statements concerning its expected future operations, performance and other developments. Such forward-looking statements are necessarily estimates reflecting the company's best judgment based upon current information and involve a number of risks and uncertainties, and there can be no assurance that other factors will not affect the accuracy of such forward-looking statements. It is impossible to identify all such factors. Factors which could cause actual results to differ materially from those estimated by the company include, but are not limited to, government regulation; managing and maintaining growth; the effect of adverse publicity; litigation; competition; and other factors which may be identified from time to time in the company's public announcements.



Contact:
Christie Communications
Ms. Cristina Romeo, 805-565-4122
[email protected]

--------------------------------------------------------------------------------
Source: RushNet, Inc.

Quote from: usedcasting on September 22, 2005, 09:06:48 AM
Still no information on Rangy delisting. Can only get Level 2 quotes or end of day. Closed at $1.60 tuesday and $1.35 wednesday. Does not look good but really hard to tell.

Good trading all!

uc

Quote from: doyerdiligence on February 27, 2006, 01:51:48 PM
ahh just ameriturd is my online client. i have a few other brokers i have to phone into that charge 3% each way but allow me to see true level 2 spread. Ameritrade should be ok for pennies... i've never heard anything good from my friends with scottrade and pennies, they all have switched.
you can also look at teranova system... although i'm not sure how good they are for OTC or if they allow it at all, but i know they are great for nasdaq and bigger cap type plays. I'll be opening an account with terra soon.

http://www.ameritrade.com/index1.html
http://www.terranovaonline.com/

Quote from: Wax on July 11, 2005, 06:10:04 PM
Oh yes. Small market cap and people holding is doing some great things to this one. This closed WAY to strong to not have at least one more run in it. Also the level 2 on this stock today would have removed any doubts if I ever had any.

Quote from: flanders on February 06, 2006, 10:19:44 PM
Inseq on level 2 after hours at 16.02     , 2 large buys afther hours , 1 at 9.5mill and 1 at 4.7mill, price 0.0017$, somethings up, insider buys ??????????????????,,, >:D

Quote from: ssubirias3 on May 24, 2006, 02:46:34 PM
DKGR, promises, promises, promises.... the stock couldn't even break .013 today and if you're watching level 2 you can clearly see yet again this stock is not going to crack the .015 resistance that it continues to pop through.

It really is a shame, so much hype and promise around this stock.  Good luck to eveyone, I sure hope your right FurrySound, but before new 52 week highs this needs to get up and over .015.  Another disappointing day for DKGR, unless of course you flipped it from .008 to .012!!!  Muhahaha.

Quote from: ramlau on July 15, 2005, 02:07:36 PM
That dump and then the level 2 window almost halted my computer. Couldn't find any bad news. Hope it was just good ol' profit-taking...

Ram

Quote from: rocket8 on June 21, 2005, 03:37:52 PM
250,000 BUY ORDER AT $0.45
ON LEVEL 2 NOW

Quote from: vic666 on July 13, 2005, 04:44:01 PM
julia,

I was ready to hit the button when it got to 0.0014, was waiting to see how good the support was, and see if it would trend back up...level 2 showed me solid support once again at the 0.0014 - 0.0015 level (which seemed like it was a resistance for a quite some time).

The good thing is IDVL seems to have consolidated/is consolidating and digesting the gains from yesterday. Normally,if this was anything like a P&D, u'd have seen much lower volumes today and a possible break of support at 0.014.

anyways, i'm holding and waiting fora break 0.0025 (which looks mighty close on level 2 !!!)

alos if u remember, we broke of a short term ascending triangle and medium term cup pattern yesterday, so that gives me more faith in the stock....not a fale breakout in my opinion.

good luck!

Quote from: fill_the_gap on July 08, 2005, 02:41:07 PM
Watch the close.  Alot of Green on Level 2.

Quote from: ScottishTrader on October 04, 2005, 10:18:54 AM
But his point is a good one, I always find it difficult to time my trades properly, and very often end up buying higher than I want to :-[

I have been playing with limit orders quite a bit, but without a technical base to attempt to align my trading price with, I often find I miss the buy and end up chasing the stock.  Never nice when it is moving fast.  Conversely, if a stock is moving, I very often see that and by the time I get in, it reverses direction and pulls back (as just happened right now with CMGI) leaving me looking at red from the outset - also not very nice.  I suppose the important thing is not to get emotional or annoyed about it, pick your ideal position and then accept that this is a position trade - if you made the plan right then it should gain much more than its intraday movement.  However, any  advice at picking intraday buying targets would be much appreciated :D  I guess it also helps a lot to have level 2...

Quote from: tokyopua on December 22, 2005, 02:36:51 AM
Wow, for once I got lucky on these offerings, I sold yesterday at 4.14 just because I had a bad feeling about the stock based on having traded it actively since October (and I was watching a particularly fast slide on Level 2).  Yesterday I was kicking myself for not taking profits at 4.8...

I have traded this stock more than any other stock so I acted on a hunch.  I guess my thought now will be where to try to buy it back, if at all, maybe it can go up. 

I will say this though, this sucks for NVAX to do this again so soon.  Sorry to all who got caught, we have all been there more times than we care to admit.

Quote from: gharknes on May 17, 2006, 08:41:14 AM
unfortunately with my stupidity and some bad luck and poor choices i have managed to loose 35k on this stock, last week i was up 38k when the stock was trading at 2.80, i was going to sell but decided not too, i went out to shop came back 10 mins later and it had dropped to the 2.20 area, in my wisdom i bought another 60,000 at 2.25, the money came from my broker allowing me (T3) 3 days to settle, the stock rebounded to the 2.50 area but i still didn't sell, another stupid move, then the market crashed when i was out shopping, I have now had to cover the borrowed money as the 3 days where up, my broker is being unforgiving and is forcing me to sell some 80,000 shares at to cover the 151k i owe them at an average price of 1.84, i shifted most of them yesterday as the stock moved down and down, I have another 40k to sell today................total loss approx 35k from being up 38k a week ago a swing of almost 90,000 dollars


yes this is a nightmare and has caused me great pain, I have nobody to blame but myself.

you can all imagine i am devestated right now, how can anyone be so stupid.


my only hope is that the stock will go up slightly today allowing me a litte loose change, but when you put so many shares up for sale it has the effect of driving the price down, the MM's when not helping either, every time I placed an order they dropped the price down below it with a couple of hundred shares, I keep hoping I'm going to waken up from this nightmare.

I screwed up

just thought i'd share


PS I wouldn't have been worried if it had been my own money, I'd have just held and waited for the rebound, but my broker wanted their money back after 3 days

so if anyone would like to drive the price up a little today, it would be very welcome


PS PS, I also think the AMEX traders are crooks lining their own pockets, i believe they somehow new my predicament and played me, i placed orders yesterday at 2.03 when the level 2 bid and ask was 2.04 and 2.05, my 2.03 never got filled........go figure


sorry for the long post but i just needed the share my stupidity with the world.

Quote from: fill_the_gap on July 12, 2005, 12:56:03 PM
1.2 Million Buy Order Level 2 went through.

Someone thinks it is a buy.   8)

Quote from: patriotmp on November 01, 2005, 02:01:51 PM

   hey guys,  I have been looking a level 2 all day and it almost seems that the stock moves faster than the computer can keep up. so unpredicatable. it is definitely a roller coaster ride from hell. you really can't tell what the direction is going to be.

Live life,  what is your take. I would think that the last hour will be what the big guys think it will do tomorrow. i am glued to the screen but to try and beat the market on this one is next to impossible. I would think that whatever comes out tomorrow in the press conference is already factored in. I hope we see one last day of going up if you are following the trend of the last couple of weeks of 3 days up then 3 down and now we are on the second day of up..will see...good luck to all

patriomp

Quote from: rv on March 27, 2006, 03:19:20 PM
so, been sitting here watching Level 2 again, (because it's just so damn much fun) and I'm watching the buys and sells, and comparing them.  ironically, there will be a buy of 57k shares at .0158 and then an immediate sell of 57k @ .0157.  man, if anyone doesn't think this thing is being manipulated, you're crazy.  it's been constantly doing this now for about an 1.5 hours.  wish they would just let it run and let everyone be happy  :o

Quote from: Fré on January 25, 2006, 06:25:44 PM

Quote from: fill_the_gap on January 25, 2006, 03:44:03 PM
Bizarre trading on Level 2 to say the least.   ???

Can you explain what happened?

Quote from: Samantha Stephens on November 28, 2006, 08:29:02 PM
OK David - your secret is safe with me... ;) I'll check out the link. Thanks for sending it!

OK ... I CAN'T HACK IT ANYMORE!! Instead of ignoring the shiny bright object stock of the day ... today that was CSUR.  Yesterday is was CNLG ... the day before that it was PNTR ... and of course there was ZVUE. Can someone PLEASE explain how you trade these quick running stocks? It closed yesterday at $3.34 ... there has never been any volume ... it opened up 14% @ $3.80 ... no news on my screen...that was the low tick on the day and it just ran from there. SO my questions are ... what is the setup... do you know about these kinds of stocks before they move by doing some kind of obscure stock ... twisted type of research?? What flagged you that 14% would turn into 300+%? And when after just a couple minutes it had a 100-200% increase ... how did you know it would go higher? How do you know when to get in and get out? When you place an order do you include a stop ... so it's up or out? I keep thinking that if I buy it will turn right around and go back down. What do you look at??!! How do you do this?!! Please help ...

**Awesome help that I got from KSLIFKA on shiny bright object stock spotting and catching (applaud):**
I watch the pre-market most active list.  Most of these stocks will be low float stocks and ones that have been beaten down.  I look to make sure that it is at least above the 50dma before I buy.  Better yet to have the 3 magic lines below. Watch on Level 2 to see the bid and ask race widly early.  Because of its low float, CSLR this morning had a .50 spread between the bid and ask and it was going nuts.  I try to find a support level on the daily chart to enter. Eventually the volume kicks in and the bid and ask get closer. Hope this helps...even though it's not very technical.  Just takes experience seeing it happen.

PROJECT UPDATES:
QQQQ Strategy:
RickJust - I've added CCI w/volume & pivot points with support and resistance to a 5min chart that has all my other criteria... I still need to figure out what CCI is telling me. J Thanks for the suggestions! Now if I just knew what all these lines are telling me!!! hahahahaha

When the stock market is flat on the day ... so is my QQQQ strategy. If the goal is to take at least a dime, it could have been done today, but I didn't feel like there was a good market direction signal in the first half hour. So, I guess to the criteria, I need to add that Becky Quick needs to scream 'IT'S BURNING DOWN!!" ... OR "THIS MARKET'S GOING TO THE MOON!!" Some sort of pre-market pump would be helpful. hahahHAHAHAHA
     The options I watched:
     Jan07 43 call – range from $1.50 to $1.80
     Jan07 45 put – range from $1.60 to $2.00

Strange Skew Stocks:
NFLD, ONXX & AGIX ... all seem to be falling, but the IVs are still high. My NFLD spread is back in the profit zone ... but with the swings it keeps making, I'm not sure it will be able to stay between 10 & 15 by January expiration... or right around 12.50 by December expiration...

The new stocks with strange skews that came out on my screen ... Kind of a long list. I'll narrow down the list and post only the pertinent movers in the option folder:
TELK
NLY
TE
MAS
MLS
OVTI
DG
VCI
SKS
PLAB
DG ... this one has rumors flying
LPX
C

-Samantha

Quote from: vic666 on April 01, 2006, 01:03:46 PM

Quote from: vic666 on March 31, 2006, 04:23:40 PM
wow...what a day for this one...close at $1.025 with high of day being $1.03 (the $1.10 you see was a fake high by MM's...)

i'll post the chart later today. i'm all smiles this weekend.  :)

Here are the charts I promised...albiet a bit late.

Weekly chart:

The 1 yr. weeky chart shows a solid breakout from previous high of $0.87 albeith on lower volume than previous week. The weeky chart shows RSI just entering the 70 + levels...like many high flying stocks that have shown us in the past, a stocks RSI could be in the 70 + levels but pps could continue to rise...we'll just have to look at other indicators in conjunction with the RSI.

The stochastics on weeky chart continue to shown bullish signs...I would best call this "HOLD" stage....if you are already in.

Daily chart:

Looking at the daily chart...first up, the high recorded on Friday at $1.10 was a fake one...the actual high being $1.03, I saw the MM's on level 2 processed on head-fake trade at $1.10 (and another one at $1.05), not sure why, but it happens often on penny stocks. There is a possibility that this head-fake false high has meesed up a few indicators on the chart.

The RSI shows excellent signs of continued bullishness...looking at the previous run from $0.25 to $0.75, the RSI stayed in the 70+ range for a quite a while until it peaked at 90, and fell back one day, and RSI regained strenght tht we still see today....IMO, there is some more room for the RSI to run from current levels of 84 to around 90 or so...may be a trifle higher....what does that mean for the prices....may be a couple more days of running before another pullback. I wouldnt be surprised to see a quick run up on morning of monday before cosolidating and pulling back for a breather before the next leg up resumes.

The stochastics also shows possibilties of turning down and the price consolidating before resuming uptrend.

The ultimate oscillators also shows a negative divergence, meaning, it's trending down while the pps is going up....good indication that price might take a breather in the next few days...

Conclusion:  

But one thing is certain...I think we are in the middle of a longer bull run for this stock..kinda like the XSNX and the PTSC's....fundamentally speaking, bird flu negativity will not affect this stock much even if the rest of the sector takes a hit, because, from this week's news, the continuous stream of revenue for this company is from it's surveilance/security divisions.

Simply put, this stock will not be affected much by a downturn in the bird flu sector, but will stand to benefit nicely in case of buzz in the bird flu sector...WHY?  because the actual money as of today is being made in it's security/surveillance division...and it's bird flu containment system is just taking off with interest from several S.E Asian countries...   ;)

Quote from: kslifka on November 28, 2006, 04:30:40 PM

Quote from: SamanthaStephens on November 28, 2006, 03:28:59 PM
Can someone PLEASE explain how you trade these quick running stocks? It closed yesterday at $3.34 ... opened up 14% @ $3.80 ... no news on my screen...that was the low tick on the day and it just ran from there. SO my questions are ... did you know about these kinds of stocks before? What flagged you that 14% would turn into 300+%. How do you know when to get in and get out. I keep thinking that if I buy it will turn right around and go back down. What do you look at???!!!!! How do you do this????!!!!
-Samantha

Samantha,

That's the million dollar question :D

I've had luck catching these early but it is very risky.  I watch the pre-market most active list.  Most of these stocks will be low float stocks and ones that have been beaten down.  I look to make sure that it is at least above the 50dma before I buy.  Better yet to have the 3 magic lines below.

Watch on Level 2 to see the bid and ask race widly early.  Because of its low float, CSLR this morning had a .50 spread between the bid and ask and it was going nuts.  I try to get find a support level on the daily chart to enter.

Eventually the volume kicks in and the bid and ask get closer.

Hope this helps...even though it's not very technical.  Just takesexperience seeing it happen.

Quote from: shipman on December 29, 2005, 02:00:31 PM
I'm in 1.17.   Thanks Bro!!!!  Looks real good.  by the intraday action, specificly the level 2,  heavy ask---tells me mms are trying not to let this thing fly.  I'm contrarian though, I know they are short if they are doing this.  I don't think we're going to see your entry point.  As they try to pound it down in price, you'll see the bid increase in size.  I think it's gonna fly.  87 million float

Question: Institutions have enjoyed the benefit of wide spreads by buying at the bid and selling at the offer. Can you do this too? Can a retail Investor buy at the bid and sell at the offer too?

yes  3 (100%)
no  0 (0%)

Total Voters: 3

It is true, regular retail investors can buy at the bid and sell at the offer.
It is normally through ECN's that we can do this.
Direct access brokers offer this service.
People could also buy and sell in the premarket and postmarket but normally, liquidity is way less than when the market is open.

Just finished learning from the ALTI thread.

At first I thought that Melf Elf was being serious about Lucas Scott being the Ax.
Later it turned out that Lucas Scott referred to himself as the Ox. ;D
It's nice to see how Melf Elf Mediated between Liquid Stick and Vic666.
I like Terliso's 3 Magic lines.
I just wonder when he pulls the "trigger" to buy (60,15,5,1 minute chart?)

Just finished reading, copying, and pasting posts from other members.

I finally found the post I was looking for.
It was a post from shipman.

Quote from: shipman on December 29, 2005, 02:00:31 PM
I'm in 1.17.   Thanks Bro!!!!  Looks real good.  by the intraday action, specificly the level 2,  heavy ask---tells me mms are trying not to let this thing fly.  I'm contrarian though, I know they are short if they are doing this.  I don't think we're going to see your entry point.  As they try to pound it down in price, you'll see the bid increase in size.  I think it's gonna fly.  87 million float

He looks for a heavy ask on level 2 - exactly what I look for.

However, I combine that set up with other indicators.
These other indicators that I look for is a combination of the posts that I copied on this thread.
A combination of technical Analysis (moving averages,RSI,MACD,Stochastics,candle formations,etc.), Level 2 Activity,News and fundamentals being a bonus.

My challenge until now though is: ::)

The discipline to follow my trading plan - but getting better at it ;D ( I think ). :-\

Posts regarding Market Makers.

Quote from: BullMan on August 09, 2006, 12:41:59 AM
How MM works--coped from other DD sight
Market Maker Speaks Out: Ways of a Market Maker
I was an OTC MM for about 10 years ending in the late 80's. Since then I have been strictly an investor. Since I have not been that up to date in MM rules I will only make statements that I feel fairly confident are still accurate regarding these activities. By and large most MM don't have a clue nor do they care to learn, about the fundamentals of the stocks they trade.

They just try to make orderly markets. When dealing with BB stocks it is very easy for a MM to get trapped into being short in dealing in a fast moving market. Reason being; most of the MM's in this stock are what are called "wholesalers" this means they don't have retail brokers "working" the stocks.

So they have to rely on what's known as the "call" from larger retail houses. If a "Big" retail firm like an E-trade calls up a market maker to purchase say 5,000 shares of a stock, they expect to get an "execution" from that market maker. If he turns them down, or only gives a partial then the "Big" firm will go to another MM.

If this second MM "fills the order" then that "Big" firm has a moral obligation to continue to give future "business" in that stock to that MM who performed (his life blood). This will go on until he "fails" to perform and so on.

Contrary to popular opinion the "Big" firms Do NOT neccessarily go to the "Low Offer" to fill a buy order (Or high bid for a sell). They "Go" to who they think will perform to fill the order and expect that MM to "match" the "low offer" in the case of a buy (bid in the case of a sell). Even though this MM might in fact be the "high bid" and not really want to sell any more.

As a wholesaler he must perform or he will get a reputation as a "non-performer" with the "Big" houses and will cease getting "calls" which means he will soon go out of business. I mentioned above that this activity is very significant to BB stocks. I say this because most of the trades in these BB stocks are "unsolicited" and are done through discount houses.

With the above groundwork laid, let me try to explain how market makers get short even if they like the Company; Lets say that a stock (shell) has been lying quietly at $.25 bid $.50 offered. A limit order comes into one of the MM's to Buy at $.50 for a thousand shares. Prior to this trade that MM may be "flat" (neither long or short any shares). He fills the order and is now short 1,000 shares. He may raise his bid hoping to find a seller to "flatten" out his position. But before he realizes it a wave of buyers have come in and cleared out all the $.50 offers. Now the stock is $.50 bid .75 offered. Here comes that "Big" firm he just sold the 1,000 shares to at .50 with another bid for 1000 at .75. He makes this print. Now he is short 2,000 at an average of .625. The market keeps moving and now its .75 bid 1.00 offered. Now he has to make a decision.

Just like investors, MM Hate to take a loss. So 9 times out of 10 he will now sell 2000 at 1.00 making him short 4000 but with an average .81. At this time he would love to see a seller at .75 so he can cover his short and make a few bucks.

But instead the market keeps moving up. Now it is 1.00 to 1.25 and here comes the buyer again at 1.25. He doesn't want to lose the call so now he needs to sell 4,000 at 1.25 to keep his break even point above the bid. Now he is short 8,000. Market moves up to 1.25 bid 1.50 offer here comes the buyer now he feels he must sell 8000 here because "stocks don't go up forever".

Now he is short 16,000. And so on and so on. If the stock keeps moving up, before he realizes it he could be short 50k or 100k shares (depending how big his bank is). _________________________

Finally the market closes for the day and on paper he may look all right in that his "break even" price may be around the closing price. But now he has to figure out how to entice sellers so he can cover this short. It is important to note that if this happened to one MM it has probably happened to most all of them.

Some ways MM's entice sellers; Run the stock up with a "tight spread" in a fast market, then "open" up the spread to slow down the buying interest. After it has "cooled off" for a little while lower the offer below the last trade right after a small piece trades on the offer then tighten the spread so that the sellers feel they can take a "quick profit" by "hitting the bid" on the tight spread.

Once the selling starts the MM's will walk it down quickly by only making small prints on the way down with the tight spread. Another way is by running the stock up in the morning, averaging up their short then use the above technique to walk it down in the afternoon.

Hopefully after doing this for several days, it will demoralize the buyers. The volume will dry up and the sellers will materialize thinking that the game is over.

Contrary to popular opinion, MM usually Do Not Cover in Fast moving markets either Up or Down if they are short. They Short More. They usually try to cover after the frenzy is out of the market. There are many other techniques they use but the above are the most popular.

This technique works about 9 times out of 10 particularly in a BB market. However that is because 9 out of 10 BB stocks are BS. Remember what I said above. Most MM's don't have a clue as to the value of a Company until they get trapped. If the Company has solid fundementals and a bright future. Then the stock will do very well. And the activity that caused the situation will prove to even help the future stock activity because it created an audience."

Posts regarding Block Trades.

Quote from: gambler2075 on March 06, 2006, 11:11:27 AM
they covered half of rimm at 81.1... still approx 1k short.

dvw ain't looking bad either.

or lu

or insm bought at 2.15

or miva (some nice block trades going through)

g

Posts regarding headfakes.

Quote from: gmarc66 on September 26, 2006, 05:37:23 PM
Hey kslifka....oh yes...I did notice this g-spot breakout, and bought some at .40 today....i tried to get at the gspot of .37 but missed it...as usual i was too slow to catch it...my td waterhouse takes forever to execute. I actually almost bought some at .35 as it looked like it really wanted to get over the gspot, and I was right...but i hesitated., becasue one time when i bought before it hit the gspot, it actually was a headfake and then started to decline thereafter. Its good to see it actually break the gspot.

But, NMEN is a beautiful gspot breakout...and it looks like it may continue for newer highs. I sold at eod, just becasue I am trying not to hold anything anymore, but I regret doing that, next time i think i will just sell half my position at close and ride the rest to see where it goes.

Today it created a new vol high..so this could also be the start of a new gpattern (not gspot)

Glad u r noticing the gpattern breakouts...if u spot any, post them, becasue the more of us looking the better, sometimes i see them too late...hard to watch so many stocks.

Very nice...again..wish Elite g was here to see his theory working its glory :)

Another gspot breakout i played today was UWNK...after i saw it break the gspot this am, i bought some and again sold it at close. Im still chicken of the markets these days, but i have to learn how to maximize the gspot breakouts, seems i only get a small percentage..i still dont know how to hold...oh well..at least i got a profit..its about time..lol ;D

glta

julia

Posts regarding shakeouts.

Quote from: setravis on June 06, 2006, 09:33:38 PM
Going to analyze why a cup with handle forms, the desirable features of the pattern and how we select them.

Stage 1: Setup. The pattern starts with a stock rising from a former base. At some point, profit taking sets-in and the stock begins to decline, ending the setup. The maximum price reached at the end of Stage 1 is called the "Left Cup", and the amount by which the stock rose from its prior low is the Setup Gain. To ensure a well-defined left cup, require that the setup gain be at least 30% from the prior low level for it to qualify as a valid left cup.


Stage 2: Decline. The stock now collapses into a new base. The collapse can occur for any number of reasons: poor company results; over-all market conditions; bad news; profit taking after a strong setup stage, and so on. There should be strong selling and volume should be well above average for the first few days of the collapse. Note that collapsing price alone is not sufficient to provide a good CwH pattern, volume is also important. This is because you want most of the buyers from the setup stage to liquidate their holdings, so there will not be a lot of overhead supply when the stock begins to climb the right side of the cup. The combined price and volume action in stage 2 is important if the eventual breakout is to succeed. By the end of stage 2, volume should have fallen to well below average levels as most holders have sold and there is little buying activity, if any. The depth of the base is important also. You do not want the stock to collapse to a level from which recovery will be difficult, if not impossible, so when selecting CwH stocks for your watchlist,  limit the cup depth to be at most 60% of the left cup price.


Stage 3: Recovery. If and when the conditions that brought about the stage 2 collapse have been resolved, the stock may begin to recover. If it does so, the stock will start to climb the right side of the cup. As it does so, we like to see above average volume on days when the price moves up, which indicates that institutions are taking an interest in the stock, but light volume on days when it closes down, indicating that there are small numbers of sellers. Ideally, this constructive price and volume action will strengthen as the right side of the cup is formed and the stock moves higher. Meanwhile, there will be some holders of the stock who bought at or near the left cup price but didn't sell in stage 2. These holders are waiting for the time when they can recoup some or all of their losses. There will also be profit taking by bottom-fishers. As losses are covered or profits are taken there will be pauses in the recovery and a typical cup right-side will exhibit a stair-step characteristic, rather than the smooth ascension. Each of these pauses, or pullbacks, reduces the overhead supply left over from the left cup setup.

As the price on the right side approaches the left cup level, the last holders will finally decide to cut their losses and there will be a large volume sell-off. This often is preceded by a day on which the price spikes on high volume which the sellers have interpreted as an overbought condition and therefore a last opportunity to recoup their losses. This is the point at which the pivot forms, and marks the end of the recovery stage.

There are several technical conditions that must be met before you will recognize a valid pivot. Firstly you want the stock to have attained a strong relative strength when compared to all other stocks, so require an RS of 70 on a scale from 1-99. You also want the pivot to be approaching the left cup level, so require the pivot price to be at least 60% of the left cup. Thirdly, there must have been sufficient time for a shakeout of holders during stage 2, and sufficient time for institutions to notice and take an interest in the stock during stage 3. This is essential if the stock is to be projected to new highs after the breakout. Consequently, require the distance from the left cup to the pivot, to be at least 6 weeks (30 sessions). On the other hand, don't want the cup to be so long as to be meaningless, so there is a maximum cup length of 325 sessions imposed.

Mentioned above the need for constructive price/volume action while the stock is building the right side of its cup. This is measured by Right Cup Quality and is a component of overall Chart Quality.


Stage 4: Consolidation. After the pivot you want and expect to see a shakeout while the overhead supply is depleted. This will cause the price to decline, initially on high volume but then the price should stabilize or drift down on volume well below average levels. The institutions who are tracking the stock know that they want the overhead supply eliminated and will wait for these stable conditions to materialize before they pounce. To identify well behaved handles,  require that the decline (or "droop") in the handle should not be more than 30% of the pivot price, that the mid-point of the handle be above the mid-point of the base and that the minimum time spent in the handle should be two days, but that the overall handle length should not be more than 90 days. Also you do not want the handle to be disproportionate to the cup, so require that the handle be no longer than a third of the cup length. The two day handle minimum is considerably shorter than that recommended by William O'Neil but you want to make sure you don't miss any strong candidates.

Measure the price/volume action in the handle, called Handle Quality, which is also a component of Chart Quality, mentioned earlier.

After the price has stabilized, it is not uncommon to see the price begin to rise on higher volume. This is an indication that institutions are starting to nibble and may indicate a strong breakout to come. I have noticed that breakouts are 17% stronger, on average, when the price and volume rise on the day before the breakout.

When the conditions described in these 4 stages are satisfied, you have a valid CwH pattern and the stock will be placed on CwH watchlist. If the conditions change so the stock no longer meets the criteria, then the stock will be dropped from CwHWatch.  Monitor the stock while it is on CwH Watch and issue a real-time alert if the pivot price is met or exceeded and the projected daily volume exceeded 1.5 times the average daily volume - an indication that institutions are buying the stock in large quantities.

Quote from: Orson Vaughan on May 23, 2006, 06:38:42 PM
The charts I normally use are Point & Figure (P&F) charts powered by Dorsey Wright & Associates. The P&F charts aren’t news for the oppose it; the P&F analysis is very, very old.

Point & Figure chart analysis was created by Henry Dow (the father of Dow Jones Index). This chart  has been very popular in their time because that it was very simple to maintain a large collection of P&F charts back in the days before computers. In less than an hour, using just a pencil and a graph paper you are able to update and analyse a lot of charts every day. This was the first charts in history.

With the computers the P&F charts started to fade in popularity because it started to be easy draw a lot of different kind of chars with complex data.
However, after trying a lot of other kind of charts I am convinced the P&F chart is the better way to look for the price movements and select stocks.

The P&F charts consisting in a chart of Xs and Os arrange on a square grid. When the stock price falls you draw a O; when price rises your draw a X. Each chart has a setting called the Box that is the amount that a stock needs to move and draw a X or O. When the stock move one box or more you mark in this column the number of box is move drawing a X or O according the trend in the column. You reverse when the stock price moves more then 3 boxes price and mark the movement in the next column drawing the opposite figure to the last movement (X if was O and vice versa)

I prefer the P&F chart to the usually bar or candlestick charts because the P&F eliminate the noise of the market (the insignificant price movements); the support and resistance are more stronger with less traps then other kind of chart, make the trend line recognition a “no-brainer”.

About the ARW I think this is a good opportunity to pay attention to stock and may be buy it.

The stock ARW broke a d Double Bottom at 31USD on May 22nd, 2006 to being a shakeout pattern. If the Double Bottom is a sell signal the shakeout pattern is a very good buy signal and better if the stock price is in a up trend like it is.  The ARW trend is fantastic. The stocks continue trade in a positive trend as it has since 2003. In March the price tries trapping the trend in a hound of baskervilles movement but the trend support and the stock rise for new highs. Currently the Bullish Support Line is at price of  28USD with stock trading at 30.85USD. The stock can touch again the BSL in this shakeout pattern. The bottom of the trading band is at 29USD. So, you can risk and buy to scaling at these levels (market price) with a great ratio risk/reward, otherwise watch for a reversal to Xs.

The only problem I see in this stock is the fact of it is trading bellow the moving averages (50; 150; 200 : 33.66; 33.02; 32.30) but considering 50days>150days>200days and a reversal in chart take the stock above the MA, I think you can accepted the risk.

Relative Strength against the Market and in stock chart are on a Buy signal and the The Monthly, Weekly and Daily momentum are negative.
The stock is trading -52% on the oversold side of the ten week trading band, the middle of this trading band is 33.87.
I see a better stocks in the market and in the sector then this mid cap. But I don’t see problem in buy it with a stop at 25USD considering the positive trend and the 4 of 5 attributes positive.

The stock is optionable if you want you don’t need stop at 25 and you can hedge at 26.

Sincerely,

Orson Vaughan


(http://rightsideclub.com/forum/index.php?action=dlattach;attach=9;image)

Quote from: snowcat on February 03, 2006, 03:37:09 PM
Cabot's Mid-Week Market Report
February 2, 2006                Volume 5, Issue 169
-------------------------------------------------------------------

In This Issue:

1.)  Feature:   Rising Rates?  No Big Deal
2.)  Investment Tip of the Month - February
3.)  A China Stock in a Steady Uptrend
4.)  Undervalued Stock at $50/share
5.)  Watch This Stock!
6.)  Newsletter Coupon Savings
7.)  About Cabot

-------------------------------------------------------------------


1.     Rising Rates?  No Big Deal

Tuesday morning all the usual things occurred. The sun rose. People went to work. The market opened on time. And the Fed raised interest rates again! That's the fourteenth consecutive rate hike, but the market expected it, so it was no big deal.

Despite all the attention, positive and negative, given to today's interest rate move and the switch of Federal Reserve heads (Greenspan out, Bernanke in), it's best to keep your feet grounded in our proven system. Currently, all three of our "T's" are bullish, with the Cabot Trend Lines and Cabot Tides positive (telling you the intermediate- and longer-term market trends are in your favor) and the Two-Second Indicator revealing no intense, internal selling pressures.

If you're wondering about negatives, we can tell you that after three and a half good months sentiment is starting to get a bit frothy. Our in-house Sentiment Barometer has lifted to 70, its highest level since March of last year. More subjectively, we're getting more phone calls asking for our "one best stock", and we're even hearing from some friends and family who are excited about picking stocks again.

You shouldn't sell out because of these sentiment readings; sentiment, after all, is an inexact indicator, and is only useful at true extremes. Right now, we can't say euphoria is in the air - but we're certainly moving in that direction. If anything, these readings are simply telling you to keep your feet on the ground. Enjoy the gains you've made! But resist getting overly confident, which can lead you to chase stocks that have just made a huge upmove.

________________________________________________


2.    Investment Tip of the Month - February


February, 2006

IT’S EARNINGS SEASON AGAIN!
by Mike Cintolo

Once again we find ourselves smack dab in the middle of earnings season, as hundreds of quarterly reports are being released as we write.  Over the next few weeks, thousands of analysts and money managers will be spending countless hours perusing the reports, listening to conference calls and determining which stocks to buy, which to sell and which to hold.

The collective action of these managers has been causing outsized, violent ups and downs the past few years.  We believe that’s because of Regulation FD, which took effect just a couple of years ago, disallowing any “wink-wink, nudge-nudge” hints from companies to analysts.  Theoretically, everybody is now on a common playing field.

But the flip side to that is that the big boys now have little idea of what a young, fast-growing company is going to say.  The result:  Those huge swings up and down, when many stocks gap up 10% or more … or plummet an equal or greater amount.  When running a concentrated portfolio like the Model Portfolio, such moves definitely increase the stress level.

Seeing such moves, many investors get angry when their stocks go against them, wondering why a stock should fall so much when “they just missed estimates by a penny.”  Well, not to be harsh, but simply put, that’s the world we live in.  If you want to invest in growth stocks these days, you have to take the good with the bad.  And part of the challenge in owning these stocks are the volatility you encounter during earnings season.

In other words, it is what it is.  Don’t argue with a stock’s big downmove if it disappoints Wall Street.  It doesn’t pay to get angry, or to believe that Wall Street is cheating you out of your money.  Instead, realize that this is part of the ballgame … and take steps to adjust your portfolio if one of your holdings falls out of favor.

Our studies show that big gap ups or down following an earnings report tend to lead to follow-on buying (or selling) in the weeks ahead.  And that goes double when the market’s overall trend is in the same direction as the stock’s earnings gap.  So the good news is that this season can allow you to reposition your portfolio – into strong stocks, out of weak ones.  Bottom line, if you look at these times of years as opportunities, earnings seasons can help your portfolio immensely, not just create nervousness and headaches.

Cabot's Investment Tip of the Month, Copyright 2006. ________________________________________________

"Happiness is not something you experience, it's something you remember."

Oscar Levant, 1906-1972, US pianist and composer ________________________________________________


3.   A China Stock in a Steady Uptrend

Multi-Fineline Electronix (MFLX) The flexible circuit business is booming, as cell phones, laptops and more are designed to fit the customer first and the inner hardware second.  And Multi Fineline is a main beneficiary of that trend.  The stock looks great, featuring both a steady uptrend and solid support at 50.  Fourth quarter earnings will be announced today, February 2 . 

Current Cabot Recommendation: BUY

China Stock Profile  courtesy of Cabot China Investor Report, Copyright 2006. For subscription information, visit: http://www.cabotchina.com

________________________________________________


4.    Undervalued Stock at $50/share

Cabot Benjamin Graham Value Letter
Featured Stock:  Overseas Shipholding (OSG)  Price: $50

Wrap up:
-----------
OSG is currently riding the wave of heavy demand for oil and gas shipping.  We expect OSG to easily reach our sell price of $91 within two years. This company is one of the largest independent shipping companies in the world, specializing in the transportation of crude oil and petroleum products.

The recent acquisition of Stellmar Shipping will greatly enhance revenues and earnings for OSG and higher shipping rates will translate to big earnings gains during the next two quarters.

Interested in building your wealth with undervalued stocks like OSG?  

Visit the Cabot Benjamin Graham Value Letter at: https://secure.netatlantic.com/benjamingraham/orderform.html

________________________________________________


5.     Watch This Stock!

Cabot Top 10 Featured Stock:
TradeStation (TRAD)
=============================
Why The Strength?

While bull markets benefit all stocks, they’re particularly kind to companies that benefit directly from that bull market – brokers and investment houses. TradeStation is an up-and-coming Internet brokerage firm that tailors itself to professional and active investors, with state-of-the-art order execution and data availability, as well as the ability to create and backtest numerous trading strategies for stocks and futures. Business here has always been leveraged to the market’s performance – when things are good, the number of trades (and hence,
revenue) booms, and thanks to its all-Internet operations, those higher revenues fall right to the bottom line. Right now, we see revenue growth accelerating, and from previously announced metrics, fourth-quarter growth should come in around 40%. A big market downturn would hurt, of course, but if this bull market persists, TradeStation should do very well.

Technical Analysis

From 1 at the end of the bear market, TRAD spurted ahead to 13 in 2003, as business recovered along with the stock market that year. But then, despite a grudgingly-advancing market in 2004 and much of 2005, this stock corrected and consolidated, building a huge, long base. The breakout didn’t come until the end of October, when TRAD bolted to 12, and after testing that level numerous times over the next few weeks, the stock and RP line have shot ahead to new highs on huge volume. Earnings are due out February 14, and that’s sure to have an impact on the stock’s near-term action. Overall, however, we expect this uptrend to continue. You could buy a little up here, but a quick shakeout toward 15 would offer a great entry level.

Cabot Suggested Buy Range: 15-16 1/2

=================================
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7.    About Cabot

Founded by Carlton G. Lutts in 1970, The Cabot Heritage Corporation is an independent publisher of investment advice.  Neither the corporation nor its employees are compensated in any way by the companies whose stocks we recommend.

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Quote from: RIGHT SIDE investment club on April 29, 2006, 10:36:02 PM
P&F Charting : The main trend of AET is bullish and stock continue have very strong relative straight characteristics.

The stock make a shakeout but with the CEO and CFO leaving the company the price drop and broke a triple bottom. Now reversed to Xs and is 100% oversold.

What do you think?

Quote from: ChartTechsCo on November 13, 2006, 08:06:34 AM
This is an important new change in sentiment for HANS starting today and deserves a new thread for discussion of a new long position timing starting today!

Short covering is expected starting now, off this triple bottom.

HANS (great time to go long now) Hansen Natural Target $42.50   

--------------------------------------------------------------------------------
Triple bottom, with well established support at ~ $25.

Selling volume diminishing, bottom is in, techs are deeply oversold. This stock is a whopping -50% off of its high pps, and far too oversold. Short trap seems certain. Confirmation met twice with buying on heavy volume and large % increase in pps. Whipsaw action shows Market Makers are playing momentum while accumulating and covering their short positions. Retail Capitulation is well behind HANS now, and now the up game will begin.

Those who are bailing are already bailed. MM's are in control and will take it to where the volume is next (higher prices coming).

Hansen has already stated that the options issue will not have a material effect on earnings, past or present. This is a low level concern at best. With the current numbers and increased earnings and proven growth track record, this latest dip to the triple bottom is the final shakeout of the last of the weak hands.

HANS will gap up and run up strong as soon as the Market Makers get their shares and instill a little more fear. It could happen today, Monday morning, but regardless - a company this strong financially and with this kind of proven growth will be in great demand for funds and retailers in the know. The rest will follow along as usual.

Many funds have been looking for this kind of selloff, to begin buying and this selloff was way too overdone. Even analysts agree the target value is $45 still.

Support at $25, gap-fill takes it to $42 approx.

Recommended buy is $25.25

Target PPS is $42.50
within 2 to 5 weeks

Quote from: AussieTrader on September 13, 2006, 06:23:54 PM
Interesting shakeout over the past few sessions. A retest of the 50sma on low volume and then a bounce to the upper descending line. As my notes said I had a stop at $10.70, but didn't sell as volume was low and I suspected this was just a retest of support before a new upward move. Todays close  near the high and right on the descending line of resistance. I expect to see the 1H results out next week.

Quote from: saffeysite1 on November 29, 2005, 11:14:13 PM
The weekly technical resistance we discussed yesterday began to make itself felt on Monday, and despite strong retail sales data over the weekend the retailers were rather severely punished. This was discouraging to some investors considering that oil was down two bucks and the market tends to take heart when oil falls, as it directly impacts the consumer in a positive manner. Much of the leadership for the market however, has come from mid-caps, especially energy names, and when they sell off and other sectors don’t benefit from capital rotation, then the market as a whole swoons. That’s what happened on Monday, as the profit-taking was broad-based.
Sales of existing homes fell 3.7% in October and there is now a great deal of awareness about the extent to which equity extraction has supported the U.S. consumer and therefore the economy and the stock market. That figure appears to be around $700 billion or 7-8% of annual income for the average homeowner. This is old news to TSR subscribers. Despite the 3.7% drop, the long-term trend in existing home sales is still up, having gone from an annual rate of 5 million to 7 million over the last 4 years.

Meanwhile, the percent of equity for the average homeowner has fallen steadily for the last 30 years, and now sits at 54%. In other words, drawing an analogy to an equity trading account, the average homeowner is operating this investment at full margin. Given that there are more than 20 metropolitan regions in the U.S. that experienced greater than 20% appreciation in home prices in the last year, with some such as Phoenix rising 55% over that period, it is not surprising that the equity percent has fallen. The wealth effect for this amount of equity appreciation remains unquantifiable but it is real. Moreover, we also know that this type of real estate appreciation is not just a U.S. phenomenon; it is happening globally. We are in the midst of a worldwide economic boom. At some point all the good news will be priced in, but we don’t think we are there yet. We anticipate more euphoria and more violent price swings the top.

As the market has begun a correction, we have six charts below to give you a sense of the big picture. Briefly, both the large caps and the small caps are undergoing tests at important resistance. Some of this resistance is due to trading patterns over the last two years but for the Nasdaq and Nasdaq 100 there is even a resistance element from the two tops made in May and December of 2001.

This is an important test and there are two ways to analyze it: price/volume behavior and market internals (the A/D and new 52-wk highs and lows). In terms of price, the key number to watch on the S&P 500 is 1247. We don’t want to see that price support taken out on a closing basis, especially with any virulence. On the Nasdaq, ideally we want 2232 to hold on a closing basis, which is just 7 points lower than Monday’s close. That is not much wiggle room for the 4-letter crowd. Watch the semiconductors, which will tell the tale for the Naz. If the SMH can stay above $37 on a closing basis we are locked and loaded for a continuation of the 4-letter rally.

We also use market internals to gauge the underlying health of the market and so far the bull is doing just fine. These indicators are telling us that we are in a pullback similar to the one we had in late June. At that time the market had advanced fairly steadily for 27 days from the May 16 reversal and experienced two days of rather intense selling. That selling led to a two-week base that resolved positively on 7/7. As of Monday, we had rallied for 27 days from the 10/19 reversal day, so we are due for a similar shakeout. The fact that this test comes when the S&P 500 is at weekly resistance makes it more significant, however.

Quote from: owen654321 on October 17, 2005, 01:17:41 PM

Quote from: ScottishTrader on October 17, 2005, 12:20:27 PM
Anyone got any idea what's going on with HYRF???

Any ideas?

Judging from the high volume, Friday was the shakeout as traders exited their positions on the news (I mean, c'mon, the gains have been incredible!).  Today there is another down day... BUT notice how the volume is drying up today.  I take this as a good sign... in fact, if it were high volume I would exit today.  But I believe that all is okay and these are the final traders wanting to cash out their gains after seeing that "it's down again."

It remains to be seen whether HYRF will drift down slowly on low volume and become a dull stock for a while, or if this is a shakeout of one wave of traders.  My suspicion is it's the later, and that it will resume its uptrend at a more moderate pace within a month.  Disclosure: I must admit I cashed out half of my position around $1.10... but I am still holding half, and I think I will hang on to it for a while!

Quote from: basonista on May 05, 2006, 12:38:32 PM
I'm also in but couldn't sell anything quick enough to get closer to the low like you guys.  I know this has had quite a run but that was an impressive shakeout!  Would have been nice to pick up the shares on the retest....

Quote from: ABEX_TRADER on September 22, 2005, 08:24:05 PM
I tracked the trades late in the day which I feel is the most important time to watch. It was quite Bullish which is a good sign to me.

I will hold regardless as to what happens in the short term as I believe there is just to much potential here and CCE did not get  into this to lose $$.

SOF  :D well you do need to be a soldier sometimes to fight for what you believe is true concerning the sub $1 issues! When these issues flounder allittle it is best not to fret when they fall as it does not help. These OTCBB are very Volitile which makes many people impatient and have mood swings I have found. I no longer look at the paper loss on them! I sit guilty also as I am impatient at times,but try not to have mood swings as it does not help and even hurts some people. Last thing I need to do is hurt others I think.

Did not know there was a Mag also! Will check it out as there are very few sources that follow low priced stocks. 

Last thing I will mention is to give an example of how dead the markets are with the exception of Oil or Energy .Today CYTR ,which I own in the Bio sector with a great mgmt. team, came out with news that people have been waiting months for.Did not do anything for the pps.

Hang in there,it will get better I believe! Nothing has changed.CCE is not in this to lose $$ right. It might just be a shakeout due to market conditions. I will be adding more shares at these prices! I predict this will move up on no news one day. The best stocks always do.

Quote from: mastaflash on June 30, 2005, 11:22:52 AM
Chart still looks good...looks like a takeprofit/shakeout day. Note how it bounced off support at .004. If it drops through .004 on heavy volume, it will likely go lower for today...but it don't think we will see that happen.

Based on current earnings I would value this @ between .005 and .01. Soon I believe it will find that level. But it won't hold it for long without news...

JMHO

masta

Quote from: AussieTrader on April 29, 2006, 12:21:26 AM
Following the news release regarding investment and 'possible' CECT IPO XING touched the 50sma and powered back above resistance and near 52 week high close on great volume. Technically very strong and should provide perfect stage for follow through to new highs next week. The action prior to the financing release was classic shakeout activity, interestingly seems there is 2M+ shares short on a current 18.6M shares outstanding.

I think the news has negated what did appear H&S top as Melf correctly pointed out a few days back. News can always change the chart.

Good luck to those back in.

Quote from: REALDEALS21 on December 14, 2005, 09:55:05 AM
Early morning shakeout ?? ??? ;D

Another chance to buy under .85

Quote from: basonista on November 18, 2005, 01:06:42 PM
KC, I somewhat understand the MM tactics.  That is why I also don't like to use trailing stops and if I do use them, I position below where I think the shakeout would take the stock.  But I rarely use them so don't have to decide a shakeout price very often.

I agree that the fundamentals look pretty good on TIII.  I am bothered by the fact that while the NASDAQ is in rally mode and hits new 4 1/2 year highs, TIII declines.  I do expect some pullback after the run it's had though, just didn't expect it to bring the stock down 20%+ in just a few days.  And to see that 20% profit go away that quickly isn't fun either.  ;)

Posts regarding Bear Traps.

Quote from: Melf Elf on July 28, 2006, 06:57:51 AM

Quote from: AussieTrader on July 28, 2006, 05:37:22 AM
200 day now key support zone, if that fails it won't be nice. Fundamentally NTRI 'should' come back, current market and sentiment however currently disagrees.

Watching for bottom to be put in around the 200 day.

Good Trading

Aussie,

Good observation.  Applause. 

Yes, NTRI really needs to bottom in that area because it's TRIPLE support.  Before we get to that, a quick review of a few technical features,  which we've all discussed in other folders:

1. Starting with the Right Shoulder of the H&S Top at 44.80 on February 27:

When the high of a Right Shoulder gets taken out to the upside, you don't want to stay short (discussed in the ESLR and GIGM folders).

In the case of ESLR, the takeout was a Bull Trap fakeout, but there were other opportunites to re-short it.

In the case of GIGM, it was the beginning of a huge 100%+ rally.

When the high of the Head gets taken out to the upside (like GIGM and NTRI), you really, really don't want to stay short.  You want to get long (also discussed in the GIGM folder).

In the case of NTRI, look what happened after the high of the Head (50.00) got taken out.  :o

Horrible short squeeze.  That giant April 25 gap probably was the last earnings release, but it also was fueled by players caught short, having to buy to cover.

2. The June 16 break of the channel (in blue).

Shorting that break is fine.  "Sell, or sell short, breaks of support." But, have a reasonable stop.

That break ended up being a gap-filling Bear Trap (the 52.75 gap before April earnings was filled), then NTRI went back up through the channel (in blue), "trapping" bears below the channel. 

3. "When a stock has a terrible gap down at the open, I sell AT THE MARKET, without hesitation."  That doesn't always mean that the stock won't have a snapback rally, but in the vast majority of cases, the stock is going lower.  We've had many, many examples of stocks like NTRI that we've discussed in other folders over the past year.

Notice that when NTRI gapped down on Tuesday, the top of the channel (in blue) was at 59.90.  NTRI open at 59.73, rallied a bit, then tanked.  UGH..it looks like someone grabbed that pre-earnings white candle by the throat, and slammed it back inside the channel.

Just from that 59.73 gap down alone, NTRI is down an additional 18.47% at yesterday's 48.70 close.

:o  :(

Many 3SOF members won't hold through earnings, which sure isn't a bad strategy.  But, again, and this is only a suggestion, if you're caught holding on a slam to the downside, particularly below support, get out.  And, certainly don't "buy more" because it's cheap...or because "the stock shouldn't have done that."

NTRI, prior to earnings, had found support at the top of the channel, and was in rally mode.  That top of the channel support got taken out at the gap down opening.   

There are plenty of other stocks to buy.  Don't buy one that is tanking on "try to catch a piano being thrown off the top of a buliding" volume.  NTRI's volume on Tuesday was the highest in at least two years, if not longer.

TRIPLE SUPPORT:

NTRI, as Aussie said, is coming into 200 DMA support, as well as channel support (blue) and neckline/trendline support:

1. 47.55 - 200 DMA

2. 46.84 - Bottom of the channel (blue).  It falls 0.314 points per day.

3. 46.43 - Neckline/Trendline (red).  It rises 0.094 per day.

Volume on this slam to the downside has been huge, so I'm only going to play it for a quick bounce with a 2-3% stop loss if NTRI falls into the 46s, and only because it "should be" TRIPLE support.

Good luck, if anyone plays it.

 

The more posts I read from other 3SOF members the more confirmations I get.

This would be my most recent ideal set up:

Going in with upside momentum.

Active in the premarket.

Price above the weekly 200,50, and 8 moving averages.
Price above the previous week's high.
Price pulled back for 3 days
The 3rd day being a reversal candle ( Doji, Takuri,Inverted hammer,etc.)
Positive net price (open above the previous day's close)
Preferably the open is below the previous day's high (not a gap up)
Trading at least 25 cents above the open.
Market makers lining up at the ask (Ask side thicker than the bid side)
Level 2 showing more risk going long than short.
Multiple timeframes uptrending and trading close to the day's high.
Bid refreshing with 100 shares.
Ax near or at the best offer.
Time and sales print lots of green
Spread is tight or locked.
Block trades of more than 25,000 shares on the green gets printed
Ax leaves the offer.

Indicators that I would like to see are:

1 Tight Bollinger Band being broken with big volume.
2 MACD crossing at or above the centerline.
3 Stochastics crossing up.
4 RSI pointing up.

If I don't see an upside momentum opportunity, then I'll go with the alternative - buying close to perceived support.

1 Momentum low
2 Shakeout
3 Bear traps

Watch List: LMRA,SMDI,SIGA,RMTR,BRCD,CORI,CHRZ,BDSI

MAMA = Watching 4.47 Support
previous hour's high = 5.15
previous hour's low  = 5.05

In MAMA:5.15

Got in on weakness while the minute chart was pulling back to 5.15 (after it made a higher high on the hourly chart) because it's close to the hourly 50 ma Support and hourly chart made a higher high.
If this doesn't do it's thing, my next buy target is around 4.47

In LMRA at 4.94

Out LMRA: 4.90

In RMTR: 3.23

Out MAMA:5.03

Out RMTR:3.10

MAMA In= 5.15
MAMA Out = 5.03
Loss = 0.12
Tried to get in close to support but had to get out when it showed weakness.

LMRA In = 4.94
LMRA Out= 4.90
Loss = 0.04
Tried to ride with momentum and bought into strength but did not have enough buyers.


RMTR In = 3.23
RMTR Out = 3.10
Loss = 0.13
Tried to ride with momentum on this one too and bought into srtength but again it did not have enough buyers.

Watching LMRA's 4.88 resistance.

In LMRA:4.88

I'm trying to go with the trend with this one yet it doesn't seem to be doing what I'm anticipating it to do.

First, I went in with momentum.
Now, I'm giving another chance with an entry after the hourly pullback.

The less confirmations I get from my ideal set up the less chances I have making a profit.

Any suggestions on how to control emotions?

I was looking at LMRA's 4.88 resistance with the plan of waiting for lots of green or a block trade to break it on the time and sales.

I went in WITHOUT seeing that!

I got caught in a bull trap instead.

Out LMRA: 4.77

In LMRA: 4.88
Out LMRA: 4.77
Loss: 0.11

Quote from: Ares on February 11, 2007, 10:27:50 AM

I'm a Transit Operator. Most of the time, at the end of the loop, I read. If my eye won't hurt, I don't have to eat or sleep, and have no other responsibilities, I'll probably keep on reading.

Some of the books I've  read were:
1) The Market Maker's Edge by Josh Lukeman
2) Swift Trader by Charles Kim
3) Bollinger on Bollinger Bands by John Bollinger
4) by David Nassar
5) by "Trader Vic" Victor Sperandeo
6) Japanese Candlestick Charting by Steve Nison
7) a booklet from Vision Investing

Some of the Sites I check from time to time is:
1) NASDAQ.com and
2) StockScores

I took a course with:
1) Teach me to Trade and
2) Cyber Trading University

My main problem is controlling my emotions and respecting the trading plan I made before pulling the trigger to buy a stock that interest me.

Ares,

Hi.

Last time I saw you we were side by side in our buses at the light on Seymour at West Georgia. Obviously I took your tip to check out this site. I couldn't get registered until I finally tried disabling Yahoo Mail's Spam Filter temporarily. For some reason mail from this site's server was being flagged as Spam. Anyway I'm in now and it seems a good site.

To all you guys reading Ares's thread here I have to say I am impressed by his determination. As we both do the same job (though I'm a better driver.  ;) ) I know how very stressful it can be.  For him to do that; keep a wife and three kids clothed, fed, and sheltered, plus get up well before the market opens (at 6:30 AM local), well, as I said, I'm impressed. Kudos Ares! I sure hope your determination pays off and you mature into a winning trader - sooner rather than later. (The same wish goes for me btw.  ::) )

Ares first expressed interest in trading about three years ago. Right Ares? At that time I had much more limited (and bitter) experience but gave him whatever advise I thought useful. Seems he's been plugging away learning from the school of hard knocks that so many of us have done.

Judging by the list of books above you've done more reading than me. There is one book I've read that I believe I mentioned to you but I don't see on your list. It's called:

Reminiscences of a Stock Operator

(ISBN-10: 0471770884 ISBN-13: 978-0471770886)

It seems to be highly regarded amongst successful traders that have been asked what books helped them in their learning. I certainly enjoyed it - but then what do I know?  :-[

It's an old book written in the early 1900s when there were only hundreds instead of many thousands of stocks to trade. It's a bit dated as back then a trader could get to know the quirks of pretty well all the stocks. Nowadays that's impossible of course. (Then again though, now we have fancy computers for stock screening and technical analysis). It tells the fictional tale of the ups and downs of a, well, Stock Operator, and is meant to help one learn sound trading psychology. (As I recall, some people speculate that, while it's a fictional tale, it's one based on the real life experience of either its author or someone he interviewed for the book.

I still remember two of the lines in it that, to a newbie trader like myself, struck me as being opposite to "common sense," They went something like this: "I did exactly the wrong thing. I sold my winning positions and held onto the losing ones." I gather he meant he went on to watch the positions he'd sold (for a small profit) keep climbing and the losing ones he held onto wallow or decline further. So he sold his winners out of fear they'd pull back and he held onto his losers hoping they'd recover. I wish I could say I learnt well from this lesson but, judging by the bad decisions I've made in the last six months of very heavy trading, I haven't.

The other line I remember went something like "A stock is never too high in price to buy nor too low in price to sell," Here I assume he means stocks showing a long term climbing trend vs those doing the opposite. I've yet to take this lesson to heart too. How many times have I stayed out of stocks that I thought wouldn't likely go higher, only to watch them do so? Or bottom fish for stocks I thought wouldn't go lower, only to watch them do so?

Like you Ares, I've yet to learn to control or ignore my emotions; my fears and hopes. I guess this is something all newbies have to get through or else throw in the towel - which is not something I'm willing to do.

Well that's enough for now. Thanks for telling me about this board. It seems a good place.

JELB

Quote from: Ares on February 17, 2007, 04:55:36 AM
Hi Wrangler,

The commission that I entered is a round trip. 9.95 + ECN fees to buy and another 9.95 + ECN fees to sell. Just rounded off the numbers for easier calculation.

With regards to my broker, I use Tradefreedom. It's a direct access broker where you could trade pre and post market if you want. You could also place a buy on the bid and sell at the offer. Looking forward to your comments about my analysis.

Thanks again,
Ares

Ares,

You might want to switch to www.interactivebrokers.com for the kind of trading you're doing. Trading 1000 or more it's about the same as TradeFreedom's pricing but for smaller trades no one beats them. Last I checked, stock trades were a penny a share but with a minimum $2 commission. So you could buy just 200 shares of a stock for $2! (Duh!) 300 for $3 and so on. I've done this a few times but mostly trade 1000 shares at a time with another account - mentioned below.

Not only are their fees low but they also have many different order types - some that are held on their servers (and therefore invisible to Level II) until your conditions are met. Then they're fired off to the market maker. This allows one to use order types that market makers just don't offer. Neat!

Most of the order types I haven't bothered to read their help on as I only have about 5K with IB whereas the bulk of my money is with BMO - in an RRSP trading account. That's where I do most of my trading. Their's is a web browser based trading platform - if we can call it that - and it's a pain in the ass compared to IB but, alas, IB doesn't (yet) handle RRSP accounts.

One order type that I sure wish BMO offered is a One Cancels All. With this order type you could enter a position and then bracket it with a Stop Loss below and a Hard Sell above. If/when either one is triggered the other one is cancelled. Double neat!

Another bonus is that Medved Quotetracker interfaces with IB so you can do your trades directly in Quotetracker if you like. Click on the stock you want to trade and click Buy or Sell. Easy peasy. Come to think of it TradeFreedom interfaces with Quotetracker too doesn't it.

I have to go to work so I'll wrap this up now.

JELB

Hi JELB,

I'm glad you checked out 3SOF.
I think I'm a better driver than you ;D(Of course, that's just my opinion)
I just finished sending my application for the transit supervisor position.
After having a losing streak (due to emotions - not the method) I had to give myself a break.
I did check out Interactive Brokers but I was turned off by the pattern day trading rule in there.
You are right, I still have to read that book that you recommended for me to read.
I've thought about it a few times but still haven't got into it.

I know that you hold stocks overnight and at a longer term.
Check out Terliso's 3 Magic Lines.
It's a very simple approach, but it rocks.

Regarding technical analysis, check out the posts of Melf Elf,Aussietrader,and Setravis.

David Randolf provides fundamental analysis that you should check out.

In the short time that I've been active here at 3SOF, Ive received nice posts from Wrangler, Rickjust,JKN,Quasi,Lucas Scott and many others.
It feels good being in this community.

There's a lot of really good traders with lots of experience in here.
I hope you will learn a lot from here too.
I still am, still continuously learning.

Happy trading John - I'll see you around (who knows when).
Saeed should check out this site too.

Ares

Quote from: Ares on March 10, 2007, 09:57:10 PM
The more posts I read from other 3SOF members the more confirmations I get.

This would be my most recent ideal set up:

Going in with upside momentum.

Active in the premarket.

Price above the weekly 200,50, and 8 moving averages.
Price above the previous week's high.
Price pulled back for 3 days
The 3rd day being a reversal candle ( Doji, Takuri,Inverted hammer,etc.)
Positive net price (open above the previous day's close)
Preferably the open is below the previous day's high (not a gap up)
Trading at least 25 cents above the open.
Market makers lining up at the ask (Ask side thicker than the bid side)
Level 2 showing more risk going long than short.
Multiple timeframes uptrending and trading close to the day's high.
Bid refreshing with 100 shares.
Ax near or at the best offer.
Time and sales print lots of green
Spread is tight or locked.
Block trades of more than 25,000 shares on the green gets printed
Ax leaves the offer.

Indicators that I would like to see are:

1 Tight Bollinger Band being broken with big volume.
2 MACD crossing at or above the centerline.
3 Stochastics crossing up.
4 RSI pointing up.

If I don't see an upside momentum opportunity, then I'll go with the alternative - buying close to perceived support.

1 Momentum low
2 Shakeout
3 Bear traps

I really should keep this in mind before I pull the trigger next time.

cmgi in at 2.29

It's hard to ignore those block trades on the green with multiple time frames trending up and a nice level 2 set up.

Good luck long term holders.
Out cmgi at 2.45
It looks like it's still going higher but I have to get out while demand is still there for the day.

Watchlist: cmgi,mvis,asti,

echo is down quite a bit and I'm looking at 11.00 to 11.10 support area.

In cmgi at 2.36

out cmgi at 2.44

profit: 2.44 - 2.36 = 0.08

 Poll 
Question: Has level 2 helped you in your trading experience? yes  4 (57.1%)
no  3 (42.9%)
level 2 is useless and confusing  0 (0%)
Level 2 is irrelevant to me because I'm a long term holder/swing trader.  0 (0%)
 
Total Voters: 7

Based in my previous trades, these are what I've observed.

Breakout entry - entering on breakout and going in with momentum has a potential of losing a lot if it turns out to be a bull trap (since we're buying close to the high of the day)

Momentum low entry -  seems less risky as long as it is close to a strong support area.

Price low entry - seems to miss out the bottom.

Using ECHO as the most recent example. (Above $10 which is above my limit)

Yesterday's close = 18.61


Perceived Support = 11.47,11.40,11.10,11.00

Open = 11.53
Current low = 11.50
Current high = 12.59

Watch List: cmo,idev,asti,ano,artx,avrx,cmgi,nxg,ont,rno,spex,tags,mvis,idsa

Active:cmgi

Gainers:

Losers:vocl,cvtx

I was checking out the 3sof chat but no one was there. I ended up going to the 30plus_friendly room.
I was surprised with the new look of the 3sof webside yesterday.
I was just wondering who else is using the 3sof chat.

Watching for a bounce at support if these tanks.

TSTC = 8.00, 7.70
VOCL = 3.40,3.27,3.19
IDSA = 7.00,6.41,6.29,5.92

ECHO did it again with a momentum low entry of 11.80,reached a high of 12.59, an exit of 12.35(momentum high) would have been good. Still above my limit.
I would only like to trade stocks below $10 for now.

Watchlist:TGEN,CMGI,HOKU,RNO,NFI,RFMD,TSTC,ABAT

rfmd support areas:6.25,5.88
resistance:6.54

In Hoku at 6.40

Looks like TGEN would have been a better pick.

DNDN is above my price range but just testing where this will go.
momentum low entry = 13.66
protective stop just below 13.50
or
price low entry = 13.65
protective stop just below 13.57

Price low and momentum low entry stopped out

DNDN seems to have used the premarket's hourly marubuzo low of 12.00 as support.
The High of the candle is 19.00

DNDN's previous hourly high is 13.83 and previous hourly low is 12.00
momentum low entry = 12.20
protective stop just below 12.00
The first momentum entry was premature since it was not close to an hourly or daily support.
1st momentum entry = 13.66 - protective stop of 1.350 would have been a 16 cent loss.

A block af 10,000 in gold at the time and sales just went by at 13.72 for DNDN.
Will blocks push the price above the previous hourly high of 13.83 which is a hammer?

moved DNDN's stop from 12.00 to 13.40(15 minute's swing low)

Break out on the 1 minute bollinger band above the 13.83 hourly resistance for DNDN

yup, blocks on the green seems to be coming in for DNDN.
Looking good with 1 minute chart uptrending with a nice level 2 set up.

27,500 block in gold at 14.35 for DNDN.

moved DNDN's stop from 13.40 to 14.10 (5 minute swing low)

Out DNDN at 14.10

In = 12.20
Out = 14.10

profit = 1.90 which outweights the loss of 0.16 of the first momentum low entry.

Should have I waited for price to touch the BB or the B+ of the 1 minute bollinger band before exiting?

BB exit close to 14.18
B+ exit close to 14.29

Looking at re-entry in DNDN at 13.40 and 12.00 support areas.

DNDN momentum low entry at 13.98 with a protective stop just below 13.80
It looks like DNDN used the 13.83 ans 13.79 previous houlry highs as support.
Previous hour's resistance at 14.40 with a low of 13.62

13.98 -13.80 = 18 cent loss for DNDN.
Is it going for 12 bucks again?

Hi ares
Looks like you had a busy day :o with DNDN. How did you turn out overall.

DNDN profit = 1.90
DNDN loss   = 0.16
DNDN loss   = 0.18

Overall =  1.56 profit for friday's trading day ( good if that trade was for real).

Then again, I'm still on education mode (this thread is mainly for educational purposes).

Regarding HOKU, I ended up holding it overnight - worse over the weekend!

I was tempted to exit at 6.43 when level 2 slowed down.
When I didn't see  block trades on the green being printed on the time and sales I wanted to exit - but I didn't.
When the price opened and closed below the 15 minute ma I should have initiated an exit and  closed my position - I didn't.
I said  I'm going to exit post market - I didn't
I said I'm going to exit premarket the following day - I didn't.

Now I'm faced with the dillema on how to get out of HOKU.
This is just paper trading for educational purposes (but I'm treating it as real trades) and yet I'm still having controlling my emotions.

I don't think I'm ready to go in with real money yet.

When I saw TGEN doing it's thing, I didn't get in since I was still in HOKU.

I wanted to exit HOKU and get in TGEN when I realized that HOKU has met less criterias than TGEN did - but didn't.

I sat in front of the computer looking at HOKU go down and TGEN go up.

My pride kicked in and wanted HOKU to go up too - now I'm stuck.

I just tinkered with the Bollinger band and am planning to see how this new settings would turn out.

I changed the period from 20 to 8 and kept 2 standard deviations.

The reason I did this is to incorporate the 8 moving average (which I mainly use for an upward momentum entry) into the bollinger band.

I mainly use the B -  of an expanded bollinger band which I use for the momentum low entry.

For a breakout entry - I mainly use the B+ of a tight bollinger band.

Question: Using the 1 minute Bollinger Band in conjuction with the Daily and Hourly Chart for Support and Resistance, which strategy did you employ that have been the most profitable?
breakout  0 (0%)
Momentum low entry  0 (0%)
Price low entry  0 (0%)

Total Voters: 0



After re-reading Josh Lukeman's book today, I think I misunderstood the definition of a positive net price which deprived me of potential opportunities.
I'm going to take a poll to find out how other members define a positive net price.

pre-market most active: NVAX,CMGI,AVII

Stalk List (closed above Weekly 8ma)
ONT,ADST,ABAT,RNO,SPEX,SONS,MVIS,DISK,TAGS,HOKU,GRIL,BSQR,ANO,CYTR

In NVAX at 3.27

Went in with the trend above the 8ma of the Daily,60,15,5,and 1 minute time frames. (This is still below the Weekly 8ma which is currently at 3.46)

Out NVAX at 3.27

Did not see block trades on the green and level 2 was slowing down.

Previous hour's high= 3.17
Hourly close/open pinch = 3.08
Previous week's high = 2.84
Previous hour's low = 2.75
Daily congestion area = 2.75
Previous day's high = 2.66

Re-entry would be close the support areas above combined with 1 minute momentum low signal

OR

after the hourly time frame pulls back and makes a higher high ( better if it's above the hourly 8 ma with block trades on the green coming in with a nice level 2 set up)

NVAX = bid 3.13
Stop just below 3.08

In NVAX at 3.13
protective stop just below 3.08

20,000 golden block at 3.25 in NVAX got printed in the time and sales.

Out NVAX at 3.07
Broke the 3.08 protective stop
After the momentum low entry of 3.13, it went up as high as 3.26.
Should have gotten out on a plus earlier.
This may go down to 2.84 or tank all the way to 2.75.
With my luck lately though, this may start going up after my exit close to the low.
Let's see what happens.

Watching DNDN's 14.99 resistance

Going in with momentum in DNDN at 15.00

Ares...still have TSTC on your radar? Moving again today  :D

Watching RNO's 4.25 resistance.
RNO went above the previous week's high, pulled back for 3 days and currently has a positive net price.
This may really move when the 4.25 resistance is broken by blocks.

Hi Nutsterrt,
TSTC looking good on the Daily chart but still below the 8Weekly ma.
Weekly 8ma= 8.98
previous week's high = 8.90

Nice bounce from the 8 dollar support area  :) and broke through yesterday's high of 8.41.
Currently trading above the daily's 8ma
Positive net price.
I would wait for at least 25 cents above the open with lots of green at time and sales (better if lots of blocks coming in) to enter with momentum.

I guess just watch out for those overhead resistance.

MVIS just went above 3.80
My alert came on but I didn't see the activity in level 2.
Just to give a heads up to whoever is watching this.

Looking at DNDN's 1 minute chart, the momentum entry would have been at 15.02

momentum low = 14.80
higher high = entry signal
previous high = 15.02
protective stop just below 14.80

Out DNDN at 14.80
This is getting frustrating.
Went in with momentum and bought strength at 15, price went up to 15.40 but didn't take a profit
Saw momentum low entry for buying weakness ,went as high as 15.23 but broke the 14.80 low instead.
The 15 minute chart showed that the price opened and closed below the 8 ma with a high of 15.14 and a low of 14.96.
If I exited using this strategy, I would still have been out at a loss.
I need to find out an exit strategy that would get me out at the highest possible profit (if it is possible).

Momentum low entry for DNDN at 14.70

DNDN recently hit 14.99 (resitance) and pulled back on the 1 minute chart.
Should I exit now at a profit or take some risk, ride the dip, and let it run?

BDSI getting close to 5.96 resistance.

Question: What is a positive net price?
It is when the open is above the previous day's close  1 (33.3%)
It is when the last price is above the previous day's close  2 (66.7%)
I don't know  0 (0%)

Total Voters: 3

I think a positive net price is when the last price is above the open.

PMCS. Watching 7.15 as resistance to be broken.
Above weekly and daily 8ma.

TSTC looks like it'll hold 9 today  :o  Curious if you got in or not the other day.

Wow nutsterrt,

TSTC broke 8.90 and 8.98.
I'm happy for you.
Me, I haven't got into it (even on paper).
I'm still paper trading right now.
Still searching for a  strategy that will work for me.
I'm already frustrated with my trades lately and it's not even real money.
I would have been stopped out at DNDN at 14.61 again instead of a  profit if I exited at 14.94.
I got in at 14.70 using a momentum low entry and looking for the price to break 14.99 again.
When it didn't break it, I hanged on and rode the pullback which went down below 14.61.

Well, good for you for trading on paper while you try to find a strategy that works for you. Wish I would've done the same when I first started; I probably would've saved myself a few bucks over the long run.

My greatest weakness seems to be timing, but I have a feeling that is going to be difficult to ever perfect. Good luck to you!

I would like to test the Linear regression/RSI2.

I'm trying to figure out how I could copy and paste a chart from prophet.net in here.

RFMD is currently at the lower regression line and RSI2 is below 20.
It looks like a buy at 6.20/6.12 area  for a long term hold.
The linear regression line is currently sideways.
I'm just eyeballing the targets since this prophet.net chart is new to me.
Targets are: 6.80,7.50,8.20, and 8.80.

I wonder if this would be a good candidate for daytrading tomorrow.

IVAN is close to the lower Linear regression line and RSI(2) is below 20.
Looks like support is around 1.83 - 1.79.

ALTI is close to the 2.91 support area.
It is  close to the lower regression line and RSI(2) is below 20.

GENR rising from lower linear regression and just crossed up from below 20 RSI(2)

In PKTR at 9.10

9.02 touched the lower regression line with RSI(2) below 20.

TSCM is also at the lower regression line with RSI(2) below 20 with a low of 11.44

It looks lke this Linear regression/RSI(2) entry needs to be held overnight.
I'm trying to find out where the best entry would be for a day trade.
I'll be following PKTR to see where a good entry would be.

1st entry = when PKTR hit the lower regression line and the RSI(2) went below 20. Entry was at 9.10

2nd entry = a bid at 8.43 where the weekly chart shows a close of 8.42 and an open of 8.43

3rd entry = when the hourly chart makes a new high

4th entry = when the daily chart makes a new high.

5th entry = when the weekly chart makes a new high

6th entry = when the price is above the previous week's high, trading above the weekly 8ma, has a positive net price, and trading at least 25 cents above the open with volume higher than the previous day's.

GENR went below the lower regression line with the RSI(2) below 20 at 0.38.
GENR's regression line is also uptrending.
I'm watching if this goes to the upper regression line at 0.54

TSCM has an uptrending regression line too with price at the lower line and RSI(2) below 20)
In at 11.44 for the first entry.

I'll be following both TSCM (Uptrending  regression line) and PKTR (sideway regression line but slanting downwards a little bit) and find out which one does better.
I'm using a 3 month/daily Linear regression/RSI(2) timeframe for this test.

Active in pre-market: MAMA,ENCY,DSTI,PKTR,CYTR,HAYZ

In HAYZ at 5.35 (2nd from low linear regression line + RSI(2) below 20 + Daily support area + 50 ma at 5.34)
stop at 5.25
next support if stopped out is around 4.65 (lower linear regreassion line)

Out at 5.40 in HAYZ since it touched the 5.25 stop ( it looks like a bear trap though)

Info from the delayed chart from prophet.net shows me that the 1 day/1minute linear regression's support is at 5.25 and resistance at 5.70.
Building should look like approximately like this:
5.70
5.60
5.50
5.35
5.25

Grrrr >:(
5.25(lower line) was the low, went up to 5.68 (upper line) then it pulled back.
This Linear regression seems quite interesting.
I guess I just have to find out and do some test on how it works.

I was just looking at the 1 minute linear regression line of MAMA.
It bounced at the lower line at 5.17 (which is currently the low of the day)
The info I'm getting right now is delayed but it's showing that the line is going down.
The real time chart that I could see is from tradefreedom.
It is showing me an hourly close/open pinch at 5.05
The 50 ma = 5.07
200 ma = 4.93
Support = 4.76
congestion = 4.65

2nd entry for PKTR = 8.94
Previous hour's high = 8.94
Previous hour's low = 8.77

This stock also bounced from the lower linear regression line at 8.78 (low of the day so far at 8.77)

It looks like the better  entry  is a combination of the 3month/daily with the 1 day/1 minute linear regression/RSI(2) instead of entering the 2nd time when the hour made a higher high

TSCM is up from my entry of 11.44 yesterday.
If I entered today using the 3month/daily, 1day/1 minute combo of the linear regression/RSI(2), my entry would have been at 11.43

The 1 day/1 minute is showing an exit at 11.88 in the delayed chart and a re-buy at 11.63

So far, it seems less stressful to buy weakness close to support using the Linear regression/RSI(2) compared to buying strength and going with momentum as price crosses resistance.
I will be posting the pros and cons between going in with momentum and buying close to support.
I'm still searching for a strategy where there is a concrete buy and sell signals to help me control my emotional highs and lows.
It looks like the Linear regression/RSI(2) fits what I'm looking for so far.
I will be testing and refining this strategy as the days go by.

TSCM
first entry = 11.44
2nd entry = 11.63

Currently the upper line is at around 11.98

other resistance lines are at 11.90,11.81,11.73

BUYING WITH MOMENTUM

PROS:

quick profit for a day trade ( if disciplined enough to get out when momentum dies down)
Going in with the trend
If holding overnight, the trend is supposed to be with you

CONS:

could be a big loss since we're buying close to the high of the day if the momentum dies down and goes below the resistance that was supposed to be support.
Takes more effort (investors) for stock to go up (because it's getting more and more expensive)

BUYING CLOSE TO SUPPORT

PROS:

Sellers have just finished selling (especially if it has a selling volume capitulation)
Easier for stock to come down to you.
Stock is cheaper

CONS:

going against  the short term trend.
If holding overnight, the trend is supposed to be against you.

Buying weakness criteria as of today.

Watch List:

Will be looking for this on the 3 month/daily chart
previous day's close near the lowest linear regression line.
RSI(2) below 20, better if it hit zero.
Still undecided whether the trend of the linear regression matters.

Stalk List for trading day.

Active in premarket
Will be looking for this in the daily/1minute chart.
price near the lowest linear regression line
RSI(2) below 20, better if it hit zero.

For a day trade:

1 day/1 minute timeframe
Buy when the price hits the lowest linear regression line with the RSI (2) below 20 (better if it hits zero).

Sell when the price hits the highest linear regression line with the RSI(2) above 80 (better if it hits 100).

For a  longer term trade:

(This means holding overnight which I'm still reluctant due to possible gap downs.)

Enter and Exit using the 1 day /1 minute chart in combination with the 3 month/daily chart.

Entry is when both charts  show price near the lowest linear regression line and the RSI(2) is below 20.

Exit is when both charts show price close to the highest linear regression line and the RSI(2) is above 80.

So far, TSCM seems to be doing better than PKTR.

This is TSCM's characteristic today so far:

I didn't see it being active in the pre-market
Price was near the lowest line of an uptrending  linear regression line and the RSI(2) was below 20 on the 3 month/daily chart.
The Daily/1minute chart showed a buy at 11.43 this morning (price being close to the lowest linear regression line with RSI(2) below 20.
So far, the low of the day is 11.39 and the high is 11.82.
Still watching at what price the 1day/1 minute will give a sell signal for a day trade.

MAMA may be heading for the hourly 200 ma that is currently at 4.94
The 1 day/1 minute downtrending linear regression line is around 4.96
The 3 month/daily regression line is showing price currently sitting at the line that is second from the top with RSI(2) dipping below 80(from above (80).
It also looks like the 3 month/daily linear regression/RSI(2) showed a sell signal at around 5.60

I'm amazed with the  1 Day/ 1minute Buy and sell signals of the Linear regression/RSI(2) for PKTR if I followed those today.

Buy = 8.78
Sell = 9.04

I don't know how to post a chart of that in here but if you want you could go to  http://www.prophet.net/default.jsp to check it out.
It's free!

Here's a quote from ny10013.
You could also check out the chart at the  technical analysis forum.

Quote from: ny10013 on February 03, 2007, 03:11:47 PM
The RSI (2) can be a helpful tool in trading, you can read more on it at.... http://biz.yahoo.com/tm/070110/15309.html

One method I stumbled on in the web and I'm using it to trade is as below. Remember nothing is certain in all the tech analysis methods, were just trying to improve our odds

The setup
Tools:  Go to http://www.prophet.net/ then -> Analyze; -> Java charts (free  8) )

1.   Detach chart and maximize it.
2.   In options, check only the Color Bars
3.   At the top, click on tools, -> studies, -> apply studies
4.   Using the pull down menu on select studies and click on RSI, Wilder
5.   Change the bar period to 2 and -> click ADD
6.   Again using the  pull down menu select Lin.Regr Ch,100% and click on ADD
7.   Again using the  pull down menu select Lin.Regr Ch,50% and click on ADD (this one mainly just breaks the empty space I rarely use it)
8.   Now click on SAVE at the top (if you have an account ... which is free ;) you can save this setting) save it using your preferred name, click on OK and click close... and you have saved your parameters.
9.   Enter a symbol
10.   Using the pull down menu pick candle, next select 3 months, and in the last one select D for daily

Next how do I trade from this??

If the RSI(2) line is at the bottom, check the previous 2-3 lows for the stock and if the current RSI is lower than at least one of them, I would seriously consider buying the stock. If it is at its lowest.. I JUMP IN!

On the top chart if you see the price bar near, on or through the lower Linear Regression line (100% line).... I would seriously consider buying the stock especially if RSI(2) is LOW.

When to sell ... your call, the chart should tell you. If the price is near the upper linear regression line or RSI is peaking at 99%.. SELL...

If I'm looking for a possible short I'll do the opposite: The price should be near the top end of the regression and the RSI (2) peaking above around 99%

How can we screen the entire market for those that are set up for this??

Go to http://www.tickertuner.com then -> bullish regression -> enter price range and minimum volume. If I'm only interested with stocks with a rising trend I'll use the 3 month regression dropdown to indicate an upward trend. (free  8) )

For a possible short go to http://www.tickertuner.com then -> bearish regression ->... etc

Remember some do fail the test and I always check the recent news, message boards etc for possible skeletons that could spook the trend.

Next topic Will be on MACD and the Full Stochastics. I keep it simple; the triangles are just not for me.

Warren Buffet on gold ... "It gets dug out of the ground in Africa, or someplace. Then we melt it down, dig another hole, bury it again and pay people to stand around guarding it. It has no utility. Anyone watching from Mars would be scratching their head."

I did a scan of stocks that are crossing the 200ma and found ARIA.

This looks bullish right now but the linear regression/rsi(2) is giving a sell signal on the 3month /daily chart.
It is currently on the highest line of a downtrending linear regression line with the RSI(2) at 100.
I would like to follow this stock to find out which indicator would give the best signal  for entry.
I wonder where the price will be when the lower linear regression line is at its lowest and rsi(2) is below 20.

Is that an inverse head and shoulders?

The ideal inverse head and shoulders that I would really like to see though is:

Left shoulder = momentum low = Big volume outside the B-

1st Recovery Rally = touching the BB

Head = low volume inside the B-

2nd Recovery rally = touching the BB or use the previous recovery rally's high as resistance.

Right shoulder = low volume inde the B-

Breakout = a break above a tight bollinger band/recovery rally resistance with Big volume.

MACD = I would like to see a fresh cross of the MACD close to the zero line.
          = A divergence. MACD uptrending while the price action is downtrending.

Stochastics = a fresh cross of the stochastic close to 20

RSI = pointing up (better if it just came from below 30)

Historically, this is what I see:

stochastics crossed from below 20 (low of 4.07)
confirmed by a MACD cross
price had a recovery rally and exceeded BB at 4.55
price pulled back to 4.20.
A swing entry would have been just above the previous day's high after the price made a higher high with a stop loss just below the previous day's low.

I wonder how long it would take for the MACD to cross down and  cross back up again.
Would it be after the price hits the lowest line of the Linear regression  with the RSI(2) going below 20? This is where my entry would probably be.
      

After doing some more reading, this is what I'll be looking for.

A golden cross (50 above the 200 ma)
Uptrending Linear regression line.
Price near the lowest line of the Linear regression line.
RSI(2) below 20 (the lower,the better)

LJPC had a golden cross with volume recently and pulling back on low volume.
Linear regression is uptrending.
RSI(2) had been below 20 and even touched 0.
$6.0 low had been holding for 5 days so far.

These are the regression lines as of today.

5th line =  about 9.0 (rose above the 8.57 high)
4th line =  about 7.90
3rd line =  about 6.60
2nd line =  about 5.50
1st line = about 4.05

I would like to find out the which indicator would give me the best entry.

1) Enter when price is at the lowest regression line with the RSI(2) below 20.

2) When stochastics cross up from below 0 and has a MACD cross for confirmation, enter just above the previous day's high.

3) Wait for pullback of entry #2 and enter just above the previous day's high (when it makes a higher high).

Poll 
Question: Which do you think is a better strategy?
Buy strength as price breaks resistance.  0 (0%)
Buy weakness as price pulls back towards support during panic selling.  0 (0%)
Buy weakness but wait for second test after panic selling.  0 (0%)
Buy weakness as price pulls back on low volume  1 (100%)

Total Voters: 1

Thanks for voting

Now I would like to find out how members view the Linear regression/RSI(2) as a tool.

I wish there were numbers at the end of those linear regression lines.
When I was using e-signal, it was so nice to see numbers at the end of the moving averages.
I wonder which provider has those features for the linear regression?
I'm looking for suggestions.

Quote from: Ares on April 09, 2007, 03:41:44 AM
I'm so glad to see someone else looking for a selling volume capitulation in here.
I've been calling it a momentum low entry (from John Bollinger's Bollinger Bands).
I was starting to doubt that strategy.
Most of the time, I find that when I enter, the price goes up.
The problem is I don't exit while it's still on a plus for the day.
Recently, about 2 day's ago, I've been testing the linear regression/RSI(2).
I almost abandoned the idea of selling volume capitulation.
Now, I plan on integrating both.
We'll see how it goes.

I recently transferred some money into our tradefreedom account.
If I get more consistency on this most recent strategy, I might get out of paper trading and trade real money.

Watch List for next trading day for buying low/selling high:

TSCM
PRGX
PKTR
ACTI
HAYZ
IONA
STTS
ANAD

For  going in with momentum, I'm watching NUVO,DNDN.

Watching LJPC's 6.54 resistance
Above 8 ma
above previous day's high
positive net price
at least 25 cents above the open and still less than 50 cents above the open.
so far multiple time frames are uptrending.
watching time and sales to be filled with green (blocks would be better)
watching MM's if they leave 6.55
waiting to see a nice level 2 set up

Stockcharts is showing that price is already above the previous week's high but on my chart it shows previous week's high as 7.06 and a low of 6.0.

Stochastics crossed below 20 but MACD has not confirmed it yet.

Watching  6.37 15 minute resitance of LJPC.

Quote from: Ares on April 05, 2007, 03:21:23 PM
MAMA may be heading for the hourly 200 ma that is currently at 4.94
The 1 day/1 minute downtrending linear regression line is around 4.96
The 3 month/daily regression line is showing price currently sitting at the line that is second from the top with RSI(2) dipping below 80(from above (80).
It also looks like the 3 month/daily linear regression/RSI(2) showed a sell signal at around 5.60

combined momentum low/ ESM with the Linear regression as support.
MAMA went from 4.90 to a high of 5.37 so far.

I wonder how the linear regression would look like in real time.
It's kind of hard to gauge right now if it's giving accurate signals.
Before the open, it showed that the price was on the top line of the linear regression and RSI(2) was above 80 on the 3month/daily chart for DNDN and NUVO yet DNDN still went way up.
Currently, I see the top line of the linear regression for DNDN in the 1 day/1 minute chart at 21.80 in the delayed chart.
Real time shows way above that right now at 22.45

Currently the  8ma gave me a signal to buy at 6.37 on LJPC whereas the Linear regression is showing me to buy at 6.23.

So far, it looks like stocks close to the lowest line of linear regression's 3 month/Daily chart are stagnant or going down. so far.
On the other hand, stocks on my going with momentum list are shooting up.

There must be a way to combine these 2 strategies.

I'm looking for a strategy to be able to  buy a stock close to the low of the day that moves because I want to be able to get in and out within the day to limit risk.

Looking at LJPC with an entry of 6.37(using the 8 moving average entry - going in with momentum)
(The linear regression at 6.23 still would have not been excecuted at this moment. Currently entry already rose to 6.27)

What I'm working on until now is the exit.
The delayed Daily/1minute showed and exit of 6.73.
Current high is 6.76
If I exited at 6.73, profit would  be at +0.36 right now if the 8ma was used for entry and the linear regression was used for exit.

I would like to see where the 8ma of the 15 minute chart would  exited me.

LJPC opened and closed at 6.59 (below the 15 minute 8 ma)
The exit would be at 6.59 giving a +0.22 cent profit with an entry of 6.37 using the 8 ma entry.
Currently, the delayed linear regression is showing an entry of 6.41(lower line rose again)and an exit of 6.90

LJPC active in premarket.
Stochastics crossed up from below 20
so far, MACD has not confirmed yet

PRGX at 13.50 as a momentum low entry
Uptrending 3 month/daily Linear regression is currently at its lowest line with RSI(2) below 20.
Waited for a momentum low, when the next minute candle was accompanied by  a slow time and sales print, bid at 13.50.
Exit at 3.74 according to the 1 day/1minute linear regression line/RSI(2), so far it's uptrending.
Profit would have been +0.24 cents.
In at 13.56 (delayed lower linear regression line at 13.58 with the top line currently at 13.82)

12:31ET
What I see is a steep downtrend on the hourly chart (including premarket info)
with a high of 14.93 and a low of 13.15 so far.

12:44ET
It looks like the upper downtrend channel has been broken on the 1 minute chart.
I wonder if this breaks the 13.48 resistance.

ABAT
Stochastics crossing from below 20

So far this is how TSCM looks.
12:12et
1 minute chart showing a break of the downtrend line from the high of 11.84.
(from a tank of 11.84 to a low of 11.40)
went on consolidation with a low of 11.40 and a high of 11.56.
Broke consolidation to a high of 11.68.
Will it test 11.56 or go down to 11.40.
I wonder if this will use the horizontal support in combination with the downtrend line as support too.

Will PKTR break 9.10?

Going in with momentum strategy.

Hoku volume above yesterday's
went above the previous weeks high
went above the previous day's high
has a positive net price
trading at least 25 cents above the open but still below 50 cents above the open.
Watching 6.24 as resistance to be broken by lots of green prints.
It would be nice to see a nice level 2 set up with this.
Hourly swing low of 6.09 and a high of 6.17(could be support)
Hourly chart is also showing price is above 8 that is above 50 that is above 200 ma.

15:16 ET
previous 15 minute candle:
High = 6.20
low =  6.16

15:39ET
Hourly swing entry would be at 6.17 with a stop just below the hourly swing low of 6.09

So far, buying strength and going in with momentum looks more attractive than buying weakness close to the lowest line of the linear regression with RSI(2) below 20 for daytrading.

I wonder what the result would be if I integrate all of this for my most recent going in with momentum criteria.

Long term uptrend (a golden cross backed up by volume, or has T3ML)
Short term downtrend ( price trading below the 8 ma, or a Bull flag)
Price close to the lowest line of an uptrending linear regression.
RSI(2) crossing up from below 20
Stochastics crossing up from below 20 (signal)
MACD crossing up near zero level (confirmation)
MACD histogram starting to form a mountain (for momentum).
MACD uptrending to confirm strength of uptrend.

Active in premarket
price trading at least 25 cents from the open.
positive net price.
Bid refreshing with 100 shares.
time and sales being filled with green prints (better if it's green blocks)
nice level 2 set up (ask thicker than bid)
multiple time frames uptrending.
AX leaving the offer.

Will be watching for these resistances to be broken:

Previous 15 minutes high,15 minute 8 ma, Previous hour's high,hourly 8 ma
Previous day's high, Daily 8 ma,Previous week's high,and weekly 8 ma.

Even better if the Fair value,Overall market,Sector, Industry, and Leading stock are all positive too.

FNSR just broke 3.80 and  trigerred my alert.
This would be going in my watch list because so far it has not met my most recent criteria for going in with momentum.

If this tanks, I'm looking at near 3.45 (200 ma of the 60 minute chart as of 12:20 ET)  if the 1 minute chart shows a momentum low entry.
By the time price hits the 200 ma of the 60 minute chart, the 200 ma might have risen above 3.45 already.

12:24ET
Looking  bullish so far though with blocks coming in at 3.81 on the green.

Hourly swing low entry would be at 3.79 with previous hour's high at 3.79 and low of 3.74.

Let's see which one works for FNSR.

1) Hourly swing strategy - entering at high of hourly swing low (after the hourly candle pullback,alert triggered, and 15 minute making a higher high above the 8 ma).

2) Buying low strategy - entering at the 200 ma of the 60 minute chart confirmed by a 1 minute momentum low entry.

3) most recent strategy - waiting to get in using the most recent going in with momentum criteria.

12:38ET
1st entry would be at 3.79 with a stop just below 3.74

14:07ET
3 month/daily linear regression is currently at the highest line with RSI(2) above 80 but another block trade just got printed on the green at 3.79.
Stochastics overbought (above 80) and MACD's fresh cross had been a while already.
Which one to follow - Indicators or time and sales?

14:11ET
A bigger block on the red just got printed at 3.80 - time to get out or will the market maker that took the order push it up first?
Did the market maker sell at the ask (block prints in green at 3.81 and 3.79) cover its short at 3.80 or did the buyer take a loss?
The challenge of clock watching is you have to stare at the prints and analyze it.
The challenge with reading level 2 is making sure you are reading the market maker correctly - otherwise, they'll shake you out of your money

14:32ET
Currently these are the levels I see on FNSR at the hourly chart.

High = 3.82
previous hour's high = 3.82
previous hour's low = 3.78
Support = 3.74
Support = 3.56
Support = 3.46596 (hourly 200 ma)

Looks like PRGX is heading for 14.20 (hourly 200 ma/resistance area)
The entry for this was 13.56 yesterday using the low line of the linear regression with RS!(2) below 20.
I overlooked  the resistance line in the hourly chart at 13.90
3 month/daily Linear regression/rsi(2) is not giving any sell signals yet.
Stochastics is below 20 but no MACD confirmation yet.
I wonder where the uptrend line will be validated.

15:57ET
Just recently saw PRGX hit 14.19 then pulled back, would have placed a sell on the offer in there since 14.20 is a round number but the 3month/daily chart of the linear regression/RSI(2) is not giving a sell signal yet.
Also noting that PRGX  also hovered at 13.90 before heading  for 14.20

ABAT

My entry in HOKU was at 6.40 ( where I got stuck for a while)
and yesterday at 6.17.
Today it went up as high as 6.59
I saw 6.55 as resistance and level 2 stopped showing a nice set up at around 6.57 - I didn't get out.
I really have to work on my exit.
I guess I'm still counting on the longer term trend to get me out.
So far, I see 2 points connecting the uptrend line (dark line) - I like the angle of attack of this trend line - not too steep.
I wonder where the 3rd validation point would be.


13.24ET
these are the levels I see on the hourly chart.
High = 6.59
previous hour's high = 6.42
previous hour's low = 6.38
Support = 6.28
Support = 6.10 (200 ma of hourly chart)

So far, MACD is still in positive territory.

A nice swing entry for this one would have been when the stochastics just crossed up from below 20 with a MACD cross(near the zero line) for confirmation.

FNSR
I saw this at 3.90 at pre market today and decided to get out since a lot of indicators were on the sell side.
3.79 entry with an exit of 3.89 would have given me a 10 cent profit.
next entry would be close to the 200 ma of the hourly chart (currently at 3.65)
Entered at 3.68 using a momentum low entry with first target of 3.80.

10:32ET
Looking at the 1 minute chart.
It has a steep downtrend that ended up with Big volume close to the end of the move close to the 200 ma of the hourly chart (3.65)and close at the high of the daily candle at 3.67.
went on consolidation
What I don't like is, it just broke the upper bollinger band on low volume (possible bull trap) and the 3 month/daily RSI(2)/Linear regression is close its highs.
Out at 3.73  for a profit of 5 cents.
This may go up.
For now I feel more comfortable getting in when the RSI(2)/linear regression are at its lows.

Found another comment that shows I'm not alone.

Quote from: akclide on March 11, 2006, 10:09:31 AM
One main thing that we have to have is discipline,which most of us lack.We must have a plan and must stick to it.Problem is we see a Rosy stock pick making a 100% return and we move away from our plan,including myself.Greed factor kicks in and at the end of the year we find ourselves holding the bag and Granny and Grandpa who followe S&P have done better than us and they did not even looked at the screen whole year,Go figure

Here's a link to a fibonacci lesson that I found in YouTube.
http://www.youtube.com/watch?v=2-OXqME-pyI&mode=related&search=
http://www.youtube.com/watch?v=R6ft90FLI-I

I used to pay over $200 a month to get extra tools and services when I was starting out when I didn't even know how to use them properly (my wife was still working at that time).
Now that I have a better idea (but still learning) it's a little heavy on the budget right now.
Anyone knows where I could get it for free?::) ;D

These are some of the strategies I like on the website I stumbled across:
http://www.visoracle.com/swingtrend/watch-tape.html
http://www.visoracle.com/swingtrend/gap-down.html

More strategies in the main page:
http://www.visoracle.com/swingtrend/secrets.html

PGLA down at least 22%
Would have been in at 8.01 bidding 1 cent above the 8.00 round  number for the momentum low because there was big volume outside of the lower band and it's sitting right on top of the hourly support.

The 1 minute chart also showed that the downtrend line charted from the 12.50 high has been broken.

The hourly chart is showing (selling) volume decreasing as price is decreasing.

next potential buy area if this fails is at:
Hourly 200 ma = 6.88
Daily 200 ma = 3.84
Weekly 200 ma = 2.46

Protective stop = 20 cents (because stock is over $5)
Trailing stop = 20 cents too

protective stop 8.01 - 0.20 = 8.81
1st trailing stop 8.39 20 = 8.19

What I don't like with PGLA is the RSI(2) being above 70

1:13ET
Out at 8.20  for a profit of ( 0.19 x 500 = $95 minus commssion) because it hit my 8.19 stop and there was some liquidity at the bid.

If this takes out 8.45 on volume though this coud go up.
Previous hour being a doji with a high of 8.45 and a low of 8.01

These stocks are currently near or below the lowest regression line.
I scanned the NASDAQ's premarket most declined expecting to see most of the stocks near or below the lowest linear regression line but was surprised to see that just a few of them were.
These were the one's I found and  will be going in my watch List. I will be glancing at them every now and then.
I will transfer them to my stalk list when other criterias are met.

The basic criterias I'll be looking for are:

Trading at least 2.5% above the open
Breaking previous hour's high with volume.
Positive net price
It would be nicer if it's breaking the previous week's high above the 8ema (I may even just wait for this before going in with momentum)


PCBC's current low is at 26.74.

SMTL's current low is at 10.35.

After doing some filtering, I find NLST interesting.
On NASDAQ's premarket most declined, NLST has only 390 shares trade so far.
The 200 ma is at 4.99.
There are 5 red candles in a row on the daily chart with today's  potential gap down on low premarket volume. Manipulation?
The weekly 200ma is at 1.65

Just updating my current paper trading account that started on February 5, 2007.

Currently this is what is showing.

Profit/Loss Realized total: $6,675
Profit/Loss Unrealized Total: (1,235.00)
Profit/Loss Total : $5,440.

Current positions still on the account are:
HOKU
LJPC
PRGX
SOFO
TSCM

I was not able to completely stick with my criterias when I started this thread (especially holding overnight) but I guess the longer term trend kept me on the game.

Got rid of PKTR because it was not with the longer term trend (but this may still continue higher)

Something seems to be up with GNTA.
Does anyone know?
It triggered my 0.35 alert.
Currently, there's about 50,000 shares traded in the premarket.

Active in premarket:
INGN,GNTA,CYTR,INSW,QTWW,CEGE,MAMA.

Watching MAMA's 5.45 resistance(close).
Currently broke the 5.35 previous hourly high
Bounced at the 15 minute 200 ma and is currently trading above the 8ma.

In GNTA at 0.37
trading at least 2.5% above the open
positive net price
above the previous hour's close of 0.369
nice level 2 set up.
green block trades filled up the time and sales.

In MAMA at 5.45

Quote from: Ares on April 10, 2007, 09:35:15 AM
PRGX at 13.50 as a momentum low entry
Uptrending 3 month/daily Linear regression is currently at its lowest line with RSI(2) below 20.
Waited for a momentum low, when the next minute candle was accompanied by  a slow time and sales print, bid at 13.50.
Exit at 3.74 according to the 1 day/1minute linear regression line/RSI(2), so far it's uptrending.
Profit would have been +0.24 cents.
In at 13.56 (delayed lower linear regression line at 13.58 with the top line currently at 13.82)

12:31ET
What I see is a steep downtrend on the hourly chart (including premarket info)
with a high of 14.93 and a low of 13.15 so far.

12:44ET
It looks like the upper downtrend channel has been broken on the 1 minute chart.
I wonder if this breaks the 13.48 resistance.

Out PRGX at 14.70.

14.70-13.56 = 1.14
1.14 *500 shares = $570
$570 - $30(commission) = $540 profit.

In INSW at 7.08 and going in with momentum.

Out INSW 7.90 because it broke the steep 1 minute uptrend line and it's close to $8 -- a psycological barrier.
7.90 - 7.08 = 0.82
0.82 x 500 = $410
$410- 30(commission) = $380 profit.
This may still go up later but I would have locked profits already.

MAMA currently trading above the symmetrical triangle in the 1 minute chart.

MAMA just made a new hourly high( previous high was 5.62) above the 8ma.

Back in at INSWat 8.10 because it broke the daily high of 8.05.

Quote from: Ares on April 18, 2007, 10:05:39 AM
In MAMA at 5.45

Out MAMA at 5.58 because it broke the 3 uptrending lines that I drew in the 1 minute chart.

5.58 - 5.45 = 0.13
0.13*500 shares = $65
65 - $30(commission = $35 profit.

Quote from: Ares on April 18, 2007, 10:27:12 AM
In INSW at 7.08 and going in with momentum.

Out  INSW at 7.90 (my 20 cent protective stop)

I should have gotten out earlier when I saw it stall close to 8.30.

8.10 - 7.90 = 0.20
0.20*500 shares = $100
100 - $30 (commission) = $130 Loss.

In PKTR at 8.93  using the hourly 200ma as support.
This is a risky entry since I'm bottom fishing - buying weakness as people are selling.
Alert at 8.91
Protective stop at 8.73 (20 cents).

Watching INGN's hourly 200ma currently at 4.75 with an hourly swing low as horizontal support also at 4.75.
Alert set at 4.85.
Changing my alert to 5.08 because the hourly congestion is at 4.98.

In CYTR at 4.62 because it freshly traded  2.5% above the open, nice level 2 set up, 1 minute chart uptrending, broke previous 15 minute high above the 8ma and time and sales was filled with green prints.

Out PKTR 9.01 because we have to go out and as of now, I don't want to hold stock that has a lot of overhead resistance and is below the 200 and 50 daily ma.

Quote from: Ares on April 18, 2007, 12:47:06 PM
In PKTR at 8.93  using the hourly 200ma as support.
This is a risky entry since I'm bottom fishing - buying weakness as people are selling.
Alert at 8.91
Protective stop at 8.73 (20 cents).

Quote from: Ares on April 18, 2007, 03:19:05 PM
Out PKTR 9.01 because we have to go out and as of now, I don't want to hold stock that has a lot of overhead resistance and is below the 200 and 50 daily ma.

Looks like I got out of PKTR too early.

Quote from: Ares on April 18, 2007, 01:35:29 PM
In CYTR at 4.62 because it freshly traded  2.5% above the open, nice level 2 set up, 1 minute chart uptrending, broke previous 15 minute high above the 8ma and time and sales was filled with green prints.

Well I'm out at CYTR too at 4.56 - at a loss.
I made a mistake of reading the right set up at the wrong time (trading times for the set up is supposed to be within 2 hrs after the market opens or at the most before the big boys at wall street go for lunch and 1 hour before the market closes.)
I realized this after entering the trade but did not get out right away.
I saw CYTR stall at around 4.65 but gave it the benefit of the doubt that it may just be pulling back (but normally if it stalls, it falls).
I saw the Ax leaving the bid but I read it as it may be doing a fakeout/shake out (because it went up and down - doing the dance.)
I saw the AX moved over from the bid to the offer, but thought it was just bluffing - could have gotten out at 4.59.
When red prints filled the tape and bid and ask locked at 4.56 - I told myself - I better get out and got out at 4.56.

Still holding on to:

GNTA 1,000 shares at 0.37

Quote from: Ares on April 18, 2007, 09:43:30 AM
In GNTA at 0.37
trading at least 2.5% above the open
positive net price
above the previous hour's close of 0.369
nice level 2 set up.
green block trades filled up the time and sales.

HOKU 500 shares at 6.40 and 500 shares at 6.17 and is showing as 1,000 shares at 6.285 on my paper trading account.
http://www.3stocksonfire.org/trading/index.php?topic=8896.msg95024#msg95024

LJPC shows I entered 500 shares at 8.38 on my paper trading account.

SOFO shows I entered 500 shares at 4.27 on my paper trading account.

TSCM  500 shares at 11.44 and 500 shares at 11.63 and is showing as 1,000 shares at 11.535 on my paper trading account.

Currently this is how my paper trading account looks like:

Profit/Loss Realized Total: $7,772.00
Profit/Loss Unrealized Total: ($1,795.00)
Profit/Loss Total: $5,977

These trades would have been possible if my account was over $5,000.

The real test comes in when real money is involved.
That's where the real battle of fear and greed comes in.
I really hope that by the time I trade for real, those emotions are under control.

My wife bugs me and tells me that I've been trading and practicing for years but still have problems controlling my emotions.

Current plan is I'll try to analyze the stock we're interested in, let her know where I plan to enter and exit but she pulls the trigger.

She told me that I may have more experience and practice than her but she has better self control.

I can't wait to be in the premium area to get all the help I need.

We were able to add more funds on our trading account and will most likely take the promotional 14 day trial on Sunday, April 22, 2007.

Wow :o
Just when I thought the premium service doesn't talk intraday... ::)
The more that I'm looking forward to being in there after reading the Stock Talking Board forum a few minutes ago. :)
That's what I get for speed reading - sometimes I miss the important ones.
It's good to re-read, pick up what was missed and understand it better the next time around. ;)
I guess once I join the premium area, I will have to stop posting intraday comments on this (or any of the free area) threads. :(
I guess I'll have to keep my  :-X while I'm in the premium area.

AVCI down at least 30% at premarket.

In AVCI at 9.09

Out AVCI at 9.40

9.40-9.09 = 0.31
0.31*500 = $155
155-30 =  $125 profit

In CBRX at 2.50

So far I like CBRX better than AVCI because it's cheaper and goes more with the trend.

Quote from: Ares on April 19, 2007, 09:41:22 AM
In CBRX at 2.50

Out CBRX at 2.80 because there's too many red prints.

2.80-2.50 = 0.30
0.30*1000 = $300
300-30 = $270 profit

Someone's playing around with CIMT on low volume. ;D

Back in at AVCI at 9.31
I hesitated getting in at 9.10 because I was looking at CIMT.
I see CIMT's true spread as far as I could see at 3.55 bid and 4.75 ask or 3.59 bid 4.18 ask.

So far the open price signal is betraying AVCI's gap down.

Ascending triangle breakout on the 1 minute chart may happen on AVCI soon.

AVCI just broke out of its ascending triangle with increasing volume.

AVCI created another hourly high.
Short squeeze is not too far away.
I don't know the short ratio for this stock though.

Short ratio is about 13.90% of the float according to yahoo

http://finance.yahoo.com/q/ks?s=AVCI

Quote from: Ares on April 19, 2007, 10:04:05 AM
Back in at AVCI at 9.31
I hesitated getting in at 9.10 because I was looking at CIMT.
I see CIMT's true spread as far as I could see at 3.55 bid and 4.75 ask or 3.59 bid 4.18 ask.

Out a t 9.79 at AVCI because it had a hard time crossing 9.80 which was an hourly resistance.
It also broke the steep uptrend line on the 1 minute chart.
This may go up again later but I want to lock on profits.

Thanks mbaugh,
Applaud for your help.

Gotta go. I have to take my son to school now.

Another uptrending line started again on AVCI with current resistance at 9.63 on the 1 minute chart.
The upper downtrending line has already been broken.
Price  just needs to break through 9.63 first.
I'm new to wolf waves but it looks like wave number 5 is being pointed at around 9.20 right now on the 1 minute chart if 9.63 is not broken.
Current level 2 support that I could see right now is at 9.28,927, and 9.06 right now.
As time is progressing it looks like wave number5 is heading lower to 9.06.

Hey Ares. I just started reading your posts in the the last couple of weeks, with great interest Today i began reading some from the beginning and when I get time will read the whole thread. You're quite the interesting writer. Someday maybe a book?

Although daytrading would never be my cup of tea,  I am really beginning to believe you have the tenacity to persevere and build up enough to join 3SOF, diversify into longer term #SOF holdings and relax a bit.

Best of luck in your endeavors and am looking forward to your future  postings.

Thanks for the comment BIGSully1,

Keep in touch.

Ares

AVCI broke the first uptrend line that I drew and is currently using it as resistance.
This may head down to wave 5 compared to breaking the 9.63 resistance right away.

Unless price breaks and resumes above or even kiss the uptrend line I drew, it looks like support with the 5th wolf wave(I thinks) is heading towards the 8.88 support, then the 8.74 support.

I gave it the benefit of the doubt and drew a lower uptrend line than the first one. Price currently broke down below it too.
Those wolfwaves (I think) that I drew looks neat. I
t's as if it's an arrow pointing to a target on the map.
I just added a third (lower) uptrending line.
Let's see if this one holds.

Not looking good for longs at AVCI because following that arrow,I have to get out of the hourly chart and go to the daily chart for support.
Daily 200ma currently at 8.05.
I'll check which horizontal support that is closest too.

AVCI looks like it's about to tank.

AVCI hit the hourly support of 9.30 and produced a momentum low on the 1 minute chart, exceeded the BB with a high of 9.42, created a price low of 9.35.
Watching if price breaks 9.42 with volume.

In AVCI at 9.42 because time and sales was filled with green prints.
If this entry fails, I'll go for the 5th wolfwave that (I think).
Currently the open price signal is still positive and price is above the new uptrend lines that I drew and is above the 8ma of the 1 minute chart.
Hourly chart shows volume going down as price was going down.
Now that price is going up, volume  is also going up.

AVCI just broke 9.63 with volume picking up.

I would have gotten a better entry if I just stuck with shadowing the AX's support.
15 minute chart starting to look good.
I'm finding myself drawing newer uptrending lines in the minute chart as price is going up.

AVCI broke the swing high of 9.75 with bigger volume on the 1 minute chart.

Watching if the ax will leave 9.80 after a block trade printed in gold hit the tape.

Quote from: Ares on April 19, 2007, 02:41:08 PM
In AVCI at 9.42 because time and sales was filled with green prints.
If this entry fails, I'll go for the 5th wolfwave that (I think).
Currently the open price signal is still positive and price is above the new uptrend lines that I drew and is above the 8ma of the 1 minute chart.
Hourly chart shows volume going down as price was going down.
Now that price is going up, volume  is also going up.

It put up a fight, Out at AVCI at 9.79. 1 cent below the ax's offer.
1st and second uptrend lines were broken.
This may still go up if the third uptrend line holds.

9.79-9.42= 0.37
0.37*500= $185
185-30= $155 profit.

Price bounced right on my third uptrend line but I'm hesitating to re-enter because I read the block trade as a signal from another market maker for the ax to move away but it didn't.
A better entry may be above 9.80 if the Ax moves with increased block trades coming in.
9.75 should be resistance now, If that is not broken, the 1 minute chart would have a head and shoulder pattern - not good.

AVCI looks like it is in a downtrend channel with the lower line headed for the 9.46 support where the (suspected) AX is currently waiting.

Just finished updating my paper trading account.

Currently this is how it looks:

Profit/Loss Realized Total: $8652.00
Profit/ Loss Unrealized Total : ($2,181.35)
Profit/Loss Total: $6,470.65

Still holding and hoping that the longer term uptrend will get me out of these stocks at a plus:

GNTA
HOKU
SOFO
TSCM

Stocks currently below $5 and active in the premarket:
EPCT,AVNR,MGRM,IVAN

In IVAN at 2.44 using the 15 minute 200ma as support.
If that fails, I'm looking at:
hourly 200ma = 2.34
Daily 200ma = 1.75
Weekly 200ma = 1.61

Out IVAN at 2.42

I guess the 15 minute 200 ma  as support is not that strong.

In the future, I will start with the hourly 200 ma as support to be confirmed by the 1 minute chart if I were to catch panic selling.

IVAN did bounce to 2.48 but failed to cross it.

I should have gotten out earlier when it didn't do its thing.

EPCT down at least 17% and looks like it's in the process of tanking.
Hourly 200 ma currently at 2.09 and hourly congested support is at 2.25.

I'm currently looking to get in CIMT at 3.51 (1 cent above the market maker).
Sorry, I meant order taker that may be used by the market maker.

Sentiment on AVNR seems to be turning around to positive.
In at 4.27 using the 1 minute chart's uptrend line (bought weakness).

Out  AVNR at 4.19

I should have waited for price to go above the hourly 8ma above the previous hour's high or stick to buying weakness close to the hourly 200ma.

EPCT was down at least 17% from the open, had a double bottom on the 1 minute chart, broke above the reaction rally, pulled back to 3.86 using the upper downtrend channel as support, broke above the previous hour's high that is above the 8ma and currently trading at 4.43 with a swing high of 4.46 :o
I should really pay more attention to those double bottoms.
Another lesson learned.

Quote from: Ares on April 20, 2007, 12:12:43 PM
Sentiment on AVNR seems to be turning around to positive.
In at 4.27 using the 1 minute chart's uptrend line (bought weakness).

Quote from: Ares on April 20, 2007, 12:42:11 PM
Out  AVNR at 4.19

I should have waited for price to go above the hourly 8ma above the previous hour's high or stick to buying weakness close to the hourly 200ma.

AVNR went as high as 4.40 after my entry.
I saw it break the trendline a few times but didn't get out.
Ended up getting out at a loss.
Should have listened to that trendline break.
In the first place I entered on the third trendline I drew earlier which I knew was a risky entry but still went for it.

May this thread be a reminder to me and others to stick to the plan.

In IVAN at 2.32 1 cent above the order taker/market maker and used the  hourly 200ma as a referrence for support.
Volume was rapid then slowed down creating a big volume outside the B- (momentum low).
Will be watching if my suspected ax leaves the bid.
Will be watching the recovery rally and will place a resistance line on it.
Will be watching volume on the second dip.
Just placed resistance line at 2.36
will be watching if 2.36 will be broken, If not, I'll try to get out above 2.32
volume currently low on the way down and is inside the B-

Quote from: Ares on April 20, 2007, 01:47:58 PM
In IVAN at 2.32 1 cent above the order taker/market maker and used the  hourly 200ma as a referrence for support.
Volume was rapid then slowed down creating a big volume outside the B- (momentum low).
Will be watching if my suspected ax leaves the bid.
Will be watching the recovery rally and will place a resistance line on it.
Will be watching volume on the second dip.
Just placed resistance line at 2.36
will be watching if 2.36 will be broken, If not, I'll try to get out above 2.32
volume currently low on the way down and is inside the B-

So far green is being printed in the time and sales.
2nd low is at 2.32 (marked it when price made a new high) right now on lower volume.
Would that be a double bottom already?
Will this break 2.36?
We shall see.

If the hourly 200ma fails, next buy target will be the daily 200ma currently at 1.75.
The nearest daily support that I coud see right now is 2.30

IVAN's too slow.
It's giving too much suspense.
I guess that's one of the things I like about daytrading.
So far, price broke the 1 of the downtrend lines I drew.
It's working on the second and third.
Just broke the second downtrend line I drew.
My goodness, the bollinger band is getting too tight already.
Where will this coiled spring break?

IVAN's way too slow right now that's why it's better to trade on the first and last hours of trading.
3rd downtrend line I drew was recently broken and a block came in on the green.
Will more blocks come in to break that 2.36 resistance?
I wonder if that was scalper volume making money on a 1 cent spread.

Hello, just wanted to post my two cents regarding your IVAN trade.  It has always been my experience that when a stock is down close to its low of day late in the afternoon then it will continue to go down some more during the last hour.  I wouldn't even waste any time on a stock that is down late in the day.  As for CIMT, I believe today may be the last day to grab some shares under 3.70.  Good luck, have a nice weekend!

Hi mbaugh,

I'm still keeping an eye on CIMT.
It does look like it may go up soon.

With regards to IVAN, I just want to test the strength of the 200ma on different timeframes.

I wanted to test that long time ago.
My reason is, if the 200 moving average is a popular gauge of support and resistance, price must bounce on that somehow - the question is how much. Probably the answer is with the Fibonacci retracement tool which I don't have.

My idea in a simple form is this:

If I have $5,000 as an initial capital.

I would start buying a stock with a "going with momentum strategy", take profits (hopefully), and re-buy on the 200ma of the hourly,daily and weekly timeframes in combination with the horizontal support (that is close to the 200ma of the current timeframe), 1 minute chart, time and sales, and hopefully read the market maker actions on level 2 correctly.

Simple scenario:

price = $5 for first entry with 1000 shares and a stop loss of 10 cents with a reward target of at least 25 cents.

previous week's high =$4.50

weekly 8 ma =$4

hourly 200ma =$3 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

Daily 200ma =$2 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

Weekly 200ma =$1 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

With this project, I agree with you, most of the stocks that are down late in the day, tend to go down further.

I will  keep in mind what you said about the time being wasted on a down stock late in the day.

Maybe, I should wait for a confirmed double bottom or inverse head and shoulders (my favorite patterns) on the 1 minute chart in combination with the 200ma in the different timeframes.
Wait for momentum to come in at the time and sales and enter on a breakout or pullback (after the breakout) to save time.

Looks like IVAN just broke out from my 2.36 resistance line.
The problem I have with entering on a breakout is I end up paying a higher price than I wanted.
Sometimes it goes so fast and doesn't turn back  for a while.
Another tendency is is to chase it just to see the stock lose the upward momentum and end up dropping - fast.
That was my experience trading real money about 4 years ago.
I got in close to the high of day (went with upward momentum), didn't get out when it stalled (and didn't listen to our instructor to get out), watched the stock tank, got out because I couldn't stand the pain anymore (just to sell at support and became part of the momentum low volume), just to see the stock rocket back up without looking back to the most recent breakout area (the 1 minute chart didn't have a double bottom anymore and ended up looking as a takuri candle on the hourly chart).

I still remember my instructor asking me if I knew my support/resistance areas (because I sold right at support).
My answer was: I knew the resistance but didn't have a plan (didn't chart my support line)  to re-buy in case the stock tanks.

This is where I find 3SOF members helpful:

Comments reminding me to avoid stocks that are trading close to the end of the day
Confirming (and disagreeing) with my strategies.
Keeping me up to date
and many more.

I give my thanks to everyone that has contributed so far in my learning experience.

Out Ivan at 2.36 this may go up post market but I'll stick to that exit for now because it didn't break the 2 minute 200ma (it bounced off it at 2.40).

I will still be using strategies that I think is effective but the latest strategy that I would like to test is:

To look for a chart that has nice pattern, preferably a double bottom or an inverse head and shoulders.
Will be looking at Ascending triangles, cup and handle, and other familiar patterns too.
Price near the lower linear regression line.
RSI(2) below 20
stochastics below 20 and about to cross or just crossed up.
MACD uptrending and about to cross, just crossed or bounced near the zero line.
Stock active in the premarket.
Trading at least 2.5% above the open
Has a positive net price.
Uptrending in the 1 minute chart (better if multiple timeframes are uptrending too)
Breaking resistance with lots of green prints (block trades even better) hitting the tape.
Volume going higher than previous day's volume
Nice level 2 set up
bBd refreshing 100 shares
No sign of Big ECN seller
Suspected Ax leaving the offer
Level 2 moving counterclockwise

and try to trade within 3hrs from the open on a day trade.

Thanks to Cumulina I may be stuck in the computer longer now (I don't need to go to the library anymore) ;D

Seriously, I really like the website that He/She provided.
It's easy to save and paste it here at the 3SOF website too.

Here's a link. http://www.chart.nu/wolfewave.htm

I'll attach a copy of the wolfewave pattern from that site in here as a quick reminder of how it looks like.

Here's another idea that I would like to consider for an exit strategy.

I like this portrayal of support and resistance.

Premarket most active:
AVNR,AMCC,MGRM,AGIX,EPCT,ALAN,GNTA,MDII.

In ALAN at 3.57 using the 15 minute chart and 1 minute breakout, with time and sales being filled up with green prints.
It had a positive open price signal and a positive net price.

I drew 3 uptrend lines in the minute chart.
I'm watching when the 3rd uptrend line will be broken.

3rd uptrend line has been broken but I would like to give the 2nd uptrend line a chance and see if 4.10 is broken.

Out ALAN at 4.10 for now because it broke the second uptrend line and didn't break 4.10 strong enough.

I'm watching AGIX's 15 minute resistance at 3.23.

AGIX's 15 minute high(resistance) would be 3.21 now.
1 minute chart just broke through a symmetrical triange
but still waiting for that high to be broken.

AGIX's 15 minute high is at 3.20 now.

Watching for overhead resistance at 3.43 (15 minute 200ma) and 3.56(15minute congestion).

In AGIX at 3.20
If this is a bull trap my stop will be at around 3.10

So far, I have only drawn 1 uptrend line on AGIX which was given (what it seems like) a cheap shot by the market maker.

Out AGIX at 3.25 because the first drawn uptrend line was broken at least twice already and it's too slow.
May go up later but too many resistances on this one compared to ALAN.

Hey Ares, i hate to ask, but at least this is your thread and I shouldn't step on anyone else's toes here. I asked on the stock picks board but no response. Anyway I  was wondering if there is a possible bullish formation developing here? You don't need to go into detail but I would appreciate a simple reply. Thanks.

http://stockcharts.com/h-sc/ui?s=PTNR&p=D&b=5&g=0&id=p26388906528

Hi BigSully1,

This is how I see PTNR.

I like the price being above the weekly and daily ema.
PTNR is also above the 50ma which is above the 200ma (bullish signs).
I've read from other books that price moves faster when it's closer to the end of the trend and when the 50ma (gets steeper) follows price upwards.
The daily chart looks like it currently has a bullish flag.

What I'm concerned about is the stochastic crossing down from above 80 followed by what looks like a MACD confirmation (bearish).

Historically, when that happened, price went down close to the 50ma.

This is just my opinion.

Real time price action is what really counts.

Our opinion may be right but the market could prove us wrong.

We will have to see if price breaks out above 16.37 or breaks down below 15.50.

It may also go sideways (consolidation) for a while.

These are just speculations.

Pls. do your own DD if you're planning to get in here.

Keep in touch,

Ares

Quote from: Ares on April 24, 2007, 08:42:56 AM

Quote from: elpnoy on April 24, 2007, 03:56:43 AM
hey wassup ares !!!!!

when do i sell it?

Check out support and resistances then decide how much risk you're willing to take.

Here's a link.

http://www.3stocksonfire.org/trading/index.php?topic=8896.msg96398#msg96398

Hi Jay,

This is how PMCS currently looks like.

I'm glad you checked out 3SOF.

There's a lot to learn in here.

Keep in touch,

Ares

Quote from: Ares on April 24, 2007, 12:54:13 AM
Hi BigSully1,

This is how I see PTNR.

I like the price being above the weekly and daily ema.
PTNR is also above the 50ma which is above the 200ma (bullish signs).
I've read from other books that price moves faster when it's closer to the end of the trend and when the 50ma (gets steeper) follows price upwards.
The daily chart looks like it currently has a bullish flag.

What I'm concerned about is the stochastic crossing down from above 80 followed by what looks like a MACD confirmation (bearish).

Historically, when that happened, price went down close to the 50ma.

This is just my opinion.

Real time price action is what really counts.

Our opinion may be right but the market could prove us wrong.

We will have to see if price breaks out above 16.37 or breaks down below 15.50.

It may also go sideways (consolidation) for a while.

These are just speculations.

Pls. do your own DD if you're planning to get in here.

Keep in touch,

Ares

Ares, Thanks and applaud.

Active in the premarket:

AMRN,VION,AVNR,MPSD,EPCT.

I will also keep PMCS in my stalk list.

Ares
Premium Member
Speculator


Rating: 24
Online

Posts: 639


"Buy high, sell higher or Buy low, sell high"


     Re: Daytrading with Consensus
« Reply #390 on: Today at 08:36:14 AM » Quote Modify Remove 

--------------------------------------------------------------------------------
Quote from: Ares on Today at 08:42:56 AM
Quote from: elpnoy on Today at 03:56:43 AM
hey wassup ares !!!!!

when do i sell it?


Check out support and resistances then decide how much risk you're willing to take.

Here's a link.

http://www.3stocksonfire.org/trading/index.php?topic=8896.msg96398#msg96398





Hi Jay,

This is how PMCS currently looks like.

I'm glad you checked out 3SOF.

There's a lot to learn in here.

Keep in touch,

Ares 

--------------------------------------------------------------------------------

PMCS.png (43.49 KB, 670x754 - viewed 1 times.)

« Last Edit: Today at 09:07:33 AM by Ares »  Report to moderator    64.59.144.88 

--------------------------------------------------------------------------------
Go in with upside momentum or wait for stock to tank and 

Hi mbaugh,

I'm still keeping an eye on CIMT.

I looking to get in (on paper) around the 3.44 range depending where the market maker sits today.

My next entry target if that fails is 3.05 since the stochastics is getting closer to below 20.

I find CIMT becoming more and more attractive.

Ares

In at AMRN at 0.73

Currently AMRN is breaking the 0.77 resistance  of a tight 1 minute bollinger band.
Blocks on the green have been coming in.
The gap down was betrayed by a positive open price signal.
5 minute 200ma is currently at 3.16

There's a saying that there's a lot of reason to sell but not much reason to buy.
In the case of AMRN it looks like there's a lot of buying happening at the moment.

AMRN recently closed above the 5 minute  8ma and the market maker seems to be giving way.
It left the offer.

AMRN's 0.84 resistance is being broken by volume.

So far, PMCS decided to trade above the doji and has a positive net price and is currently trading +1.25% above the open.

We had a power outage earlier today and was not able to watch AMRN closely.

While I was scanning for stocks that have a MACD divergence and stochastics below 20, I found GNTA.

I wonder if this will pop soon.

Any comments?

Question: What do you think of the Linear regression/RSI(2) as a tool? Very Good  0 (0%)
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I'd like to find out what indicator most traders like to follow.

I would like to share these recent free tools that I found on the internet with other 3SOF members.

http://www.wolfcharts.com/default.asp
http://www.fibonnaci.com/default.asp
http://www.champion-trader.com/default.asp

Looks like neccesity is the father of invention.

This is what I came up for the DNDN retracements.

I'm looking for info on how to calculate Fibonnaci extentions.

I believe that the more eyes helping, the better it is.

Traders helping traders to me means traders educating themselves helping each other vs. gamblers (those who don't educate themselves).

If we combine fundamental, technical analysis, and level 2 skills, most likely our probability of success will increase.

Here's a link to the Introduction on Level 2.

http://www.investopedia.com/articles/trading/06/Level2Quotes.asp

I would like to thank 3SOF for allowing us to freely post  here with less or no censorship to further our education on the stock market.

I recently became a member of Elite Trader (and other sites) in search for how other traders interpret the  Wolfe Wave.

While I was there, I stumbled across Spydertrader's journal.

He has 3 journals that has links to videos and books for free.

As of today, it normaly takes about 6 months for most traders to read and absorb the information in it (I'm not sure if that includes watching the videos and books attached to it.)

This is my latest dig for my quest to learn the stock market.

My goal is to learn and see how professional and experienced traders see things - and trade with them.

Found another neat tool.
http://www.tradestars.com/grail-indicator.ASP

This is my most recent morning momentum criteria:

Active in premarket

Volume at least 100,000 (for liquidity)

5 minute higher high (signal)

1 minute pullback

Time my entry using level 2 set up with time and sales momentum.

Bid refreshing (may bid with or 1 cent above the refresher as selling slows
down before the 5 minute signal if there lots of selling at the open that ends with a momentum low[selling volume capitulation]on the 1 minute chart.

Lots of green at time and sales (better if blocks are eagerly coming in)
(May buy at ask and join in with the buying momentum - waiting at the bid during this time may just end up having partial fills)

note:

Better if there's a good range (+ or - 2.5% from the open or at least a 25 cent trading range)

After the first 15 minutes of the open, I watch for market direction (If price breaks above or below the 15 minute opening range with volume).

I'm thankful for all the help that I got and learned from more experienced traders and from the creators of 3SOF - David and Frederick.

In my search for a quick gauge of support and resistance, I ended up creating a table with fibonacci numbers on excel.

If someone already came up with this idea, then it is old news.

If not, then 3SOF members are seeing the development in progress.

I may need your help in marketing this. ;) ;D

Looking forward to your comments.

I used today's high and low of DNDN to gauge potential support and resistance if I were to trade this tommorow.

These levels are not guarantees but expectations that would likely have more meaning when combined with indicators and patterns on the chart.

Here is my latest modification:

If price is king and volume doesn't lie...

Attached is a chart (price) set up i'm interested in.
This set up combined with Gaussians (volume) would be nice too see.

I'm planning on drawing another variation with more labels in it.

If you find one - please let me know.

Ideas, ideas.
For techies, this would be an idea to create a software to search for this kind of set up.

If there's a search feature that scans for this set up already, please let me know too. :)

Would the 5 minute opening range be sufficient?
Here's how I saw ARIA today.
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_A/threadview?m=te&bn=1315&tid=91151&mid=-1&tof=43&rt=2&frt=2&off=1#-1

Goal:
To gather and combine strategies of professional and experienced traders and trade WITH them.

Reasoning:
If I trade with the pros strategies, who would go against it?
One group in mind are uneducated gamblers
Another group are traders that haven't mastered the discipline of controlling their emotions and following their trading plan.
Any more suggestions?

What I have to keep in mind:
Everytime that I go against my trading plan - I become part of the second group.

Extra eyes:
Needed to help each other and to remind the diligent to stay on track.

This is what I'm currently  looking for, what's yours?

Recent unusual rise in price and volume on the daily chart or
Active in the premarket
Stock below $10
Volume+ with Price+
Watching for block trades on the green ( extra eyes needed because I wouldn't be able to see all the time and sales prints of the many stocks under the radar in that valuable 5 to 15 minutes from the open)
Trades at least 2.5% above the open (revised Josh Lukeman's 25 cents above the open to cater stocks below $10 for range)
Volume at least 100,000 (for liquidity)
Volume- with Price- on pullback
Watching for a refreshing bid on pullback
Watching for Elliot wave's c move near the 0.618 Fibonacci retracement
which would anticipate the point 3 move.
Bid with or 1 cent above the refresher while time and sales is slow
If the sentiment changes, I may force in and buy at the ask.

If the initial entry fails to hold I will exit my position (depending on the stocks price), I will be watching for a stock to tank near the 1.618,2.618,3.618 retracement with a selling volume capitulation.

Indicators that I like to follow:

Daily RSI(2)
Daily golden cross (preferably but not critical)
Weekly 8 ema narrowed down to the 1 minute 8 ema.
5 minute positive MACD divergence near zero
1 minute stochastics near oversold
nice level 2 set up
Market maker actions (watching if it jives with the prints) - this is where I need a lot of eyes too.
Time and sales printing lots of green (better if there's a lot of green blocks taking out the highs of a tight bollinger band)

Risk/reward ratio

Stocks below $5 is 10 cents loss with at least a 25 cent reward target.

Stocks between $5 and $10 is 20 cents loss with at least a 50 cent reward target.

If the stock goes against me or if someone else (extra eyes needed) sends out an alert that makes sense, I may get out before the reward target at a small profit or hopefully (that word) at a small loss.

Regarding stop loss:
I will be using a mental stop to avoid getting shaken out automatically.

Will be updating this criteria as new information comes in.

Looking forward to what you are looking for or to any helpful comments.

hi ares

currently i am using ameritrade. I pay 9.99 courtage....now i found a broker that wants just 1-3 dollar....i think this could be a good one it s name is www.sogoinvest.com.

other good daytrading sites:

www.greatstockpix.com (pay-service)
www.daytrading.li (free)

cheers ket

Thanks ket1390.

I give you an applaud for that.
Strength is in numbers.
If enough people likes a certain criteria...
it may become a self-fulling prophecy.

Keep in touch.

Ares

Strategy: Intraday bottom fishing a long term uptrend (above the weekly 8ma)

I'm currently watching HOKU.
Weekly 8ma that I wrote down is 8.80
Daily support I'm looking at is 8.88
Intraday support I'm looking at is:
9.06
8.51
7.96
7.41
6.86

Correction:
HOKU's weekly 8ma is 8.60

If you call Ameritrade and request a fee reduction they will lower it to $7 per trade if you make over xxxx amount of trades in xxx months.  I can't remember what their exact requirement is but with a simple call and a hint of switching providers I  now have $7 trades on both primary and 401k accounts.  Well worth the call.

Thanks bmarc4211 for your input.
I give you an applaud for that.

Re: day alert (LEND) long at 5.03


Hi gdola28,

It's nice to see that you cut and paste the "building" I had created
for LEND (this building would be old info now though).

I just would like to clarify that I'm not the one who is recommending
a short on LEND (because that's how it looks to me).

LEND may be a short at 8.50 though ( if there's not enough volume to
break that resistance or a buying volume capitulation shows up on the
smaller charts).

--- In [email protected], "gdola28" <gdola28@...> wrote:
>
> --- In [email protected], "jegejig" <jegejig@> wrote:
> >
> > Short this on any pop up above 5 or 6 and you'll be
rewarded..This
> along with NFI are going the way of THE PINK SHEETS.
> >
> > Building
> >
> > 8.50
> > 7.83
> > 6.74
> > 6.22 (1.27 extension - ideal profit target from the 1.618
> retracement
> > of the 5 minute opening range)
> > 6.17(PIVOT)
> > 5.71(0.618 extention of the 1.618 retracement from the 5 minute
> > opening range - 50 cent profit target)
> > 5.65
> > 5.22
> > 4.43
> > 3.90
> > 3.64
> > 2.65
> >
> > --- In [email protected], "jegejig" <jegejig@> wrote:
> > >
> > > Please do your own DD.
> > >
> >
>


Previous post(before the one above)

Re: EXIT (LEND)



I got out of LEND at 6.99 because I had to leave the computer already
for family activities. I wanted to stay in the trade because the 1
minute chart recently showed a breakout from a tight bollinger band on
volume, and pulled back on low volume. When I came back, I saw LEND hit
8.09. Oh well, next time.

Here's a copy of my conversation with bballboiy101.

Jege gig (8/3/2007 8:34:11 AM): HI bb
John Tiliacos (8/3/2007 8:34:16 AM): btw
John Tiliacos (8/3/2007 8:34:18 AM): for future reference
John Tiliacos (8/3/2007 8:34:21 AM): dd means what?
Jege gig (8/3/2007 8:35:08 AM): I just pulled out a chart of RIG and
will be annotating it at stockcharts. DD means due diligence.
John Tiliacos (8/3/2007 8:35:16 AM): i figured
John Tiliacos (8/3/2007 8:35:19 AM): just making sure
Jege gig (8/3/2007 8:36:26 AM): Current support that I see is 102.38
for the daily zigzag and 100.58 for the 50% fibonbacci retracement.
John Tiliacos (8/3/2007 8:36:50 AM): gotcha, im new to the technical
analysis of stocks
John Tiliacos (8/3/2007 8:36:54 AM): im 19 years old
Jege gig (8/3/2007 8:37:19 AM): RSI(2) is oversold with slow
stochastics oversold too.
John Tiliacos (8/3/2007 8:37:30 AM): I know its oversold
John Tiliacos (8/3/2007 8:37:35 AM): its had 9 straight down days
Jege gig (8/3/2007 8:37:39 AM): when did you start trading?
John Tiliacos (8/3/2007 8:37:44 AM): a year and a half ago
Jege gig (8/3/2007 8:38:06 AM): are on paper or are you using real
money now?
John Tiliacos (8/3/2007 8:38:11 AM): real money
John Tiliacos (8/3/2007 8:38:28 AM): past two weeks before rig i was
doing really well then i got clobbered with this
Jege gig (8/3/2007 8:38:28 AM): have you done any paper trading at all?
John Tiliacos (8/3/2007 8:38:35 AM): i have in the past
John Tiliacos (8/3/2007 8:38:46 AM): i was testing option strategies
Jege gig (8/3/2007 8:39:04 AM): how much weight do you put on technical
analysis?
John Tiliacos (8/3/2007 8:39:16 AM): unfortunately not as much as i
should
John Tiliacos (8/3/2007 8:39:35 AM): and thats something i really need
to look into more
John Tiliacos (8/3/2007 8:40:00 AM): b/c ill find companies with great
fundamentals, but ill get stuck with the technical analysis of some
stocks and end up losing because of it
Jege gig (8/3/2007 8:40:20 AM): I'm back to doing more paper trades
compared to playing with real money because of the emotion factor.
John Tiliacos (8/3/2007 8:40:30 AM): yeah
John Tiliacos (8/3/2007 8:40:38 AM): there is defintely a factor with
that
John Tiliacos (8/3/2007 8:40:44 AM): im up about 35% for the yar
John Tiliacos (8/3/2007 8:40:46 AM): year*
John Tiliacos (8/3/2007 8:40:53 AM): including this RIG loss
John Tiliacos (8/3/2007 8:41:05 AM): i've had great trades
John Tiliacos (8/3/2007 8:41:14 AM): ill just get stuck with something
like this every so often
Jege gig (8/3/2007 8:42:03 AM): Nice. I have two journals - one at 3
stocks on fire and another at elite trader.
Jege gig (8/3/2007 8:42:47 AM): My journals would show you my emotional
swings
John Tiliacos (8/3/2007 8:42:53 AM): haha
John Tiliacos (8/3/2007 8:43:01 AM): i watched your LEND trade
John Tiliacos (8/3/2007 8:43:04 AM): great trade
Jege gig (8/3/2007 8:43:13 AM): Do you have real time info?
John Tiliacos (8/3/2007 8:43:16 AM): yes
Jege gig (8/3/2007 8:44:30 AM): I probably fluked out on lend. I logged
my minute per minute event at my elite trader journal.
John Tiliacos (8/3/2007 8:45:20 AM): oh ok
John Tiliacos (8/3/2007 8:45:26 AM): do you not have real time info?
Jege gig (8/3/2007 8:46:16 AM): RIG seemed to have bounced nicely near
the 102.51 so far. Yes. I do.
John Tiliacos (8/3/2007 8:46:41 AM): oh ok
John Tiliacos (8/3/2007 8:46:43 AM): see
John Tiliacos (8/3/2007 8:46:50 AM): NOV has the same action i believe
John Tiliacos (8/3/2007 8:47:04 AM): i believe the sector of oil srvs
is all in the same situation
John Tiliacos (8/3/2007 8:47:06 AM): NO
John Tiliacos (8/3/2007 8:47:07 AM): RIG
John Tiliacos (8/3/2007 8:47:09 AM): NOV*
John Tiliacos (8/3/2007 8:47:10 AM): DO
John Tiliacos (8/3/2007 8:47:11 AM): SLB
John Tiliacos (8/3/2007 8:48:27 AM): btw, I'm stuck with November 110
Calls on RIG, think I hold onto them or do I buy more contracts?
Jege gig (8/3/2007 8:48:42 AM): 5 minute MACDstarting to show a higher
high
Jege gig (8/3/2007 8:49:33 AM): I haven't done options for real. I'm
still mastering the equities portion of the stock market.
John Tiliacos (8/3/2007 8:49:48 AM): oh ok
Jege gig (8/3/2007 8:49:54 AM): As much as possible, I don't like to
hold overnight.
John Tiliacos (8/3/2007 8:50:12 AM): yeah.
John Tiliacos (8/3/2007 8:50:59 AM): well
John Tiliacos (8/3/2007 8:51:11 AM): my friend gave me these cds
John Tiliacos (8/3/2007 8:51:16 AM): from options university
John Tiliacos (8/3/2007 8:51:20 AM): and ive started them
John Tiliacos (8/3/2007 8:51:23 AM): and they are great so far
John Tiliacos (8/3/2007 8:51:32 AM): it's helped me understand options
so much more
John Tiliacos (8/3/2007 8:51:47 AM): but I'm not even close to done
with that
Jege gig (8/3/2007 8:52:48 AM): I wonder if RIG has already created a
double bottom pattern. I'm still wating for a Big selling volume on the
5 minute chart and confirmed by the 1 minute chart for my entry.
John Tiliacos (8/3/2007 8:53:14 AM): as you can see its hanging aroun
that support level u mentioned
Jege gig (8/3/2007 8:54:47 AM): It could go either way now. It may
break the upper downtrend channel line or tank to shakeout traders.
John Tiliacos (8/3/2007 8:55:31 AM): we will wait i guess to see the
next move
John Tiliacos (8/3/2007 8:55:37 AM): looks flat now
John Tiliacos (8/3/2007 8:56:02 AM): any other stocks you looking for
an entry into?
Jege gig (8/3/2007 8:57:18 AM): no. I just calculated the fibonacci
retracements for support levels based on the 5 minute opening range
right now. My buy target is 104.26
Jege gig (8/3/2007 8:57:43 AM): sorry, that doesn't look right
John Tiliacos (8/3/2007 8:58:09 AM): 104.26?
Jege gig (8/3/2007 8:58:49 AM): that was the 1.618 retracement. that
should be one of the resistnces now.
John Tiliacos (8/3/2007 8:59:30 AM): so breakout if it goes about
104.26 correct?
Jege gig (8/3/2007 9:01:17 AM): These are the levels that I see using
the 5 minute opening range:101.92,101.14 but then I also have to
consider the previous day's candle and the daily swings retracements.
Jege gig (8/3/2007 9:02:34 AM): breakout from that level. yes. however,
support and resistances are all over the place - it just depends on the
timeframe you're looking at.
John Tiliacos (8/3/2007 9:03:20 AM): i gotcha
Jege gig (8/3/2007 9:03:54 AM): I try to look for clusters/confluences
to get better/stronger supoort/resistances confirmed by the smaller
charts price action and volume (5 minute + the 1 minute chart)
John Tiliacos (8/3/2007 9:04:10 AM): oh ok
John Tiliacos (8/3/2007 9:04:21 AM): well you must really know your
stuff obviously
John Tiliacos (8/3/2007 9:04:31 AM): im sure it took you awhile to
learn a lot of this
John Tiliacos (8/3/2007 9:04:41 AM): how long have you been trading?
Jege gig (8/3/2007 9:05:50 AM): about 4 years. The problem is I don't
have much capital to play with. While saving for capital. I try to
educate myself as much as possible and spend as much screen time as
possible.
John Tiliacos (8/3/2007 9:06:05 AM): i gotcah
John Tiliacos (8/3/2007 9:06:13 AM): i don't have that much capital
myself
John Tiliacos (8/3/2007 9:06:25 AM): but I still like to trade
John Tiliacos (8/3/2007 9:09:38 AM): so you use stockcharts.com?
John Tiliacos (8/3/2007 9:11:04 AM): or what do you use to show find
your technical indicators?
Jege gig (8/3/2007 9:11:56 AM): Yes. I'm in the process of creating my
building that I will be posting at the bull team and will try to finish
annoting the chart for ohter members to see what I see. I may not be
able to answer you right away.
John Tiliacos (8/3/2007 9:13:15 AM): its cool, do what you are doing
man. btw, RIG just fell. It looks like its become week now at 102.25
John Tiliacos (8/3/2007 9:13:25 AM): weak*
Jege gig (8/3/2007 9:34:51 AM): Look at LEND
John Tiliacos (8/3/2007 9:34:58 AM): ok
John Tiliacos (8/3/2007 9:35:07 AM): oh its up
Jege gig (8/3/2007 9:35:51 AM): MACD crossing the zero line on the 5
minute chart with lots of green coming in at the time and sales
John Tiliacos (8/3/2007 9:36:09 AM): so buy lend/
Jege gig (8/3/2007 9:37:02 AM): Tempted. but I've got burnt so many
times when it stalled.
Jege gig (8/3/2007 9:39:42 AM): For a momentum trade, I'm watching the
1 minute pullback right now to about 6.15. If 6.15 holds this should go
up. Nicer if 1 minute stochastics gets oversold near 6.15 and creates a
higher high with increasing volume.
John Tiliacos (8/3/2007 9:40:22 AM): went to 6.16
John Tiliacos (8/3/2007 9:40:27 AM): then just bumped
Jege gig (8/3/2007 9:40:52 AM): 1 minute stochstics currently at 50
Jege gig (8/3/2007 9:41:06 AM): watching for an elliot wave abc
John Tiliacos (8/3/2007 9:41:35 AM): let me know when you wanna pull
the trigger, cause i think i might do this trade with you and take the
sidelines on one contract for RIG to play LEND
Jege gig (8/3/2007 9:42:54 AM): 0.618 of the recent 1 minute move is
6.15 (what a coincidence)
John Tiliacos (8/3/2007 9:43:10 AM): so what now
John Tiliacos (8/3/2007 9:43:12 AM): its going higher
John Tiliacos (8/3/2007 9:43:13 AM): way higher
John Tiliacos (8/3/2007 9:43:26 AM): do we wait now
Jege gig (8/3/2007 9:44:24 AM): This is where the problem comes in -
the emotion of fear, hope and greed.
John Tiliacos (8/3/2007 9:45:05 AM): yeah
John Tiliacos (8/3/2007 9:45:06 AM): i know this
John Tiliacos (8/3/2007 9:45:08 AM): ive been thru this
John Tiliacos (8/3/2007 9:45:14 AM): but its coming down as you can see
John Tiliacos (8/3/2007 9:45:43 AM): not by enough though
Jege gig (8/3/2007 9:45:52 AM): I want to wait for the 1 minute
stochastics to go near zero but mfearing that we may get left out) try
to have a little more patience. It looks like the 1 minute is pulling
back for the c move.
John Tiliacos (8/3/2007 9:46:05 AM): ok
John Tiliacos (8/3/2007 9:46:15 AM): im trying to execute one of my
options right now
John Tiliacos (8/3/2007 9:46:20 AM): but i gotta get the right price
John Tiliacos (8/3/2007 9:46:28 AM): with RIG tanking still its not
helping
John Tiliacos (8/3/2007 9:46:28 AM): haha
Jege gig (8/3/2007 9:48:01 AM): LEND' 5 minute MACD is really starting
to open up above zero. So tempting to pull the trigger
John Tiliacos (8/3/2007 9:48:27 AM): wow
John Tiliacos (8/3/2007 9:48:42 AM): it is the right move....... it
looks like its going higher...
John Tiliacos (8/3/2007 9:48:45 AM): yeah
John Tiliacos (8/3/2007 9:48:46 AM): def
Jege gig (8/3/2007 9:48:47 AM): I'm in at 6.30
John Tiliacos (8/3/2007 9:48:49 AM): wow
John Tiliacos (8/3/2007 9:48:50 AM): nice
John Tiliacos (8/3/2007 9:48:57 AM): oh wow
John Tiliacos (8/3/2007 9:49:03 AM): perfect
John Tiliacos (8/3/2007 9:50:23 AM): i believe you got the best price
John Tiliacos (8/3/2007 9:50:31 AM): for the time
Jege gig (8/3/2007 9:50:38 AM):
John Tiliacos (8/3/2007 9:50:51 AM): 6.41
John Tiliacos (8/3/2007 9:50:54 AM): lucky dog
John Tiliacos (8/3/2007 9:51:02 AM): 6.45
John Tiliacos (8/3/2007 9:51:18 AM): 6.48 geez
John Tiliacos (8/3/2007 9:51:43 AM): you know ur stuff
Jege gig (8/3/2007 9:51:57 AM): I have to take a look at my targets.
what is your target?
John Tiliacos (8/3/2007 9:52:24 AM): id get out at 6.55
John Tiliacos (8/3/2007 9:52:41 AM): but i might be technically wrong
about it
John Tiliacos (8/3/2007 9:53:52 AM): its creeping down now
Jege gig (8/3/2007 9:54:23 AM): I have 6.59 and 6.72 for my short term
target
John Tiliacos (8/3/2007 9:54:56 AM): this rig is making me sick
Jege gig (8/3/2007 9:56:14 AM): 6.75 would be my minimum profit target
with the 20 cent risk/50 cent reward money management. This trade
currently doesn't meet that minimum.
Jege gig (8/3/2007 9:56:31 AM): What price did you get RIG at?
John Tiliacos (8/3/2007 9:57:00 AM): well
John Tiliacos (8/3/2007 9:57:05 AM): i bought it on the 31st
Jege gig (8/3/2007 9:57:14 AM): ok
John Tiliacos (8/3/2007 9:57:29 AM): i bought my options at 9.30
John Tiliacos (8/3/2007 9:57:45 AM): they are trading at the range of
4.9 and 5.6
John Tiliacos (8/3/2007 9:57:53 AM): so its a tough loss
John Tiliacos (8/3/2007 9:58:26 AM): i think the stock was trading at
110 or 109 at the time
Jege gig (8/3/2007 9:58:37 AM): I assume RIG's fundamentals are good?
John Tiliacos (8/3/2007 9:58:46 AM): very good
John Tiliacos (8/3/2007 9:58:52 AM): they came out with earnings the
other day
John Tiliacos (8/3/2007 9:59:02 AM): the beat the street
John Tiliacos (8/3/2007 9:59:05 AM): they*
John Tiliacos (8/3/2007 9:59:20 AM): the sector overall is taking a hit
John Tiliacos (8/3/2007 9:59:29 AM): and i guess its a technical issue
Jege gig (8/3/2007 9:59:32 AM): I look at the fundamentals after the
technicals - it should be the other way around
Jege gig (8/3/2007 10:01:42 AM): It would have been nicer if the entry
for LEND was at 6.16 (1 cent higher than the buy target. EMOTION plays
a big role in my decisions (still trying to discipline myself)
John Tiliacos (8/3/2007 10:02:26 AM): I had held my emotions and it had
me doing great until this RIG Trade
Jege gig (8/3/2007 10:02:33 AM): How did you calculate your profit
target for LEND?
John Tiliacos (8/3/2007 10:02:56 AM): no calculation, just off the top
of my head, what kinda profit i would wanna take
John Tiliacos (8/3/2007 10:02:57 AM): like i said
John Tiliacos (8/3/2007 10:03:05 AM): i know nothing about technicals
like you do
John Tiliacos (8/3/2007 10:03:11 AM): im pretty much all fundamentals
Jege gig (8/3/2007 10:03:55 AM): do you play cheaper stocks (between 5
and 10 dollar range?
John Tiliacos (8/3/2007 10:06:20 AM): i like to sometimes yeah
John Tiliacos (8/3/2007 10:06:31 AM): ive had great success in the past
with them
John Tiliacos (8/3/2007 10:06:37 AM): but i havent visited them in a
while
Jege gig (8/3/2007 10:08:57 AM): My mental stop for LEND is 6.10. If it
trades above 6.59, I'll set a trailing stop.
John Tiliacos (8/3/2007 10:09:13 AM): i think thats good if you ask me
John Tiliacos (8/3/2007 10:09:14 AM): i mean
John Tiliacos (8/3/2007 10:09:31 AM): i usually like to take between 5%
10% gains on short term stock trades
Jege gig (8/3/2007 10:10:09 AM): Looks like your RIG is bouncing
John Tiliacos (8/3/2007 10:10:15 AM): i see that
John Tiliacos (8/3/2007 10:10:17 AM): and i hope so
John Tiliacos (8/3/2007 10:10:34 AM): it really just needs a day up to
be honest
John Tiliacos (8/3/2007 10:10:43 AM): it hasnt had one in 10 days now
Jege gig (8/3/2007 10:13:04 AM): Some bottom fishers are just waiting
for a close above the previous day's close on this. Some Swing traders
are waiting for price to trade above the previous day's high
John Tiliacos (8/3/2007 10:14:49 AM): yeah
John Tiliacos (8/3/2007 10:14:53 AM): completely agree
Jege gig (8/3/2007 10:18:01 AM): LEND is flying
John Tiliacos (8/3/2007 10:18:31 AM): wow
John Tiliacos (8/3/2007 10:18:38 AM): i just looked
John Tiliacos (8/3/2007 10:18:50 AM): sell at 7?
John Tiliacos (8/3/2007 10:20:02 AM): 7 seems like the price to me man
John Tiliacos (8/3/2007 10:20:24 AM): 6.9=10% profit
John Tiliacos (8/3/2007 10:20:42 AM): well
John Tiliacos (8/3/2007 10:20:51 AM): 7.20!
John Tiliacos (8/3/2007 10:20:53 AM): did yous ee that
John Tiliacos (8/3/2007 10:21:52 AM): it spikes evertime it hit 7
Jege gig (8/3/2007 10:23:46 AM): Out at 6.99
John Tiliacos (8/3/2007 10:23:59 AM): no matter how muc hmore it goes up
John Tiliacos (8/3/2007 10:24:02 AM): you cant be upset
John Tiliacos (8/3/2007 10:24:10 AM): made over 10% in about an hour
Jege gig (8/3/2007 10:24:26 AM): It may still go higher though but I
have to spend some time with my family now. Nice chatting with you.
John Tiliacos (8/3/2007 10:26:11 AM): nice chattign with you
John Tiliacos (8/3/2007 10:26:12 AM): 7.4
John Tiliacos (8/3/2007 10:26:13 AM): damn
John Tiliacos (8/3/2007 10:26:13 AM): sorry
John Tiliacos (8/3/2007 10:26:23 AM): good luck to you man we will talk
soon

Attached are probabilities based on Friday's candle.

Here's a copy of my recent post at the yahoo board and can also be found at
http://www.thelion.com/index.html under FFHL (keyword search: Traders on my radar)

Re: Traders on my radar  (Not rated)      20-Aug-07 11:56 am     Thanks for your reply FRD88.

I recently finished updating myself with information on FFHL posts.

These are the posters that caught my attention:
Stockskewer
V verdi

CHTR caught my attention recently (August 16, 2007) as an oversold stock.

My annotation could be found at http://www.3stocksonfire.org/trading/ind... and (I had to remove the yahoo link because it linked to something else when I pasted it here - it linked to a male massage ??? instead of comments on CHTR at the bull team that has my story on how I was banned on stocks for 1 week by my 7 year old son).

I'm trying to learn more about bottom fishing and so far I like how it is explained in this site that was recommended by nkhoi(an Elite Trader moderator):
http://www.tonyoz.com/bottom.htm

I still consider myslef a rookie and am looking forward to comments from more experienced traders or anyone that is willing to help to further my education concerning the stock market.

Thanks in advance,

Ares

It's nice to see that GNTA is going up but there seems to be a discrepancy in the chart info.

1 chart shows stock price above $1 on may 2007 and another chart shows stock price below $1 on may 2007.

http://www.3stocksonfire.org/trading/index.php?topic=7480.msg105133#msg105133

http://www.3stocksonfire.org/trading/index.php?topic=8896.msg97445#msg97445

Stalking CTDC

Stalking SEED

Stalking JADE and BCON.

brlc

News is out. BRLC active. New large screen 1080p Olevia available at costco.

Merry Christmas and a Happy New Year to everyone!

Currently watching JADE

Hi Ares
Haven't seen you posting for a while,,was wondering what happened,,hope everything is OK,
Happy New Year and goodluck trading

Hi Wrangler,

Nice to hear from you. I visit message boards every now and then.
I spend most of the time now on Paltalk at the Stock Market Room and IM's with other active traders.

Happy New Year!

Ares

AKNS

Quote from: Ares on January 02, 2008, 10:50:46 AM
AKNS

You playing this stock,,sure jumped up . Think gap will be filled or maybe be continuous. Solar is really hot right now,wouldn't surprise me if it keep right on going,,JMO
I have no position
Goodluck trading

Thanks for the chart Wrangler.

Yes. I did I follow up on this stock today.

My trade log is at Pal Talk on this.

Any thoughts?

Annotation of SPX on Feb9:

Magic lines on the weekly chart on CMD?

OFG weekly chart

Question: Which Indicator do you like the most?
MACD  6 (37.5%)
Volume  5 (31.3%)
RSI  3 (18.8%)
Stochastics  1 (6.3%)
Momentum  1 (6.3%)
Accumulation/Distribution  0 (0%)

Total Voters: 16

Thanx to all that particpated in the poll.

Time to make another poll:

Instead of shorting, it seems less risky to buy an Ultrashort proshare. Is it?

The pairs that I'm currently looking at:

PAL with SMN
ETFC with SKF

I will be applying the "lot method" (learned it from skaterdaytrader who frequents the "Stock Market Room" at Pal Talk) on these.

My most recent goal: TAKE PROFITS EVERYDAY!  ;D

Lately, I have been concentrating more on SKF and UYG.

I plan to mainly trade just this 2 on my TD Waterhouse account starting tommorow (RRSP account which has been inactive for a while).

Instead of transferring it to TradeFreedom (or somewhere else), I plan to tough out a handicap. (To see which one is more reliable).

TD Waterhouse's fee is 29/trade
After 30 trades (which I think I could easily achieve), it will be 9.99.

On this account, I can not trade pre-market or post market.
I also cannot buy at the bid or sell at the offer.

When I establish an active trader status (150+ trades per quarter), the fee will be $7/trade.
It will also give me access to a platform that I'm familiar with already (similar to TradeFreedom's).

http://www.tdwaterhouse.ca/pdf/rates_fees.pdf

http://www.tdwaterhouse.ca/activetrader/index.jsp

I recently downloaded a TOS (Think or Swim) demo software and still learning how to use it.
So far, I like their charts.

http://www.thinkorswim.com/tos/displayPage.tos;jsessionid=32E6E9612A97858A434685D5338FDC92.tos1_w1c1?webpage=clientApplication&displayFormat=hide

I'm also considering of opening an account with them.

I will be posting a summary of my  trades with TD Waterhouse in here, separate from the trades entered on Fous' message board.

http://**********.net/forum/index.php?topic=937.0

It looks like it's not letting me paste the link.

Anyway, it's called the technicaltrader.net
It is in the ETFC thread.

Lately, I've been posting my trades on both Fous' shoutbox and the Pal Talk chat room.

Starting tommorow, I will be mainly posting it at Pal Talk and post a summary on the message boards (here and Fous').

I will be at the room called: Trading with Skater and Angie.

Here's a link to download the Pal Talk Software (free):

http://www.paltalk.com/en/start_chatting.shtml

ScotTrade $7.00 per trade. Why don't use it?

It has many branch offices nation wide.

Quote from: wpSoft2008 on April 14, 2008, 12:49:09 AM
ScotTrade $7.00 per trade. Why don't use it?

It has many branch offices nation wide.

Ty wpSoft2008.

I checked out the Scottrade.com website.
http://www.scottrade.com/scottradeelite_online_trading_platform/

Scottrade Elite Tour:
http://www.scottradeelite.com/flash/ST_shell.html

Canadian orders cannot be placed online: (I'm Canadian).
http://www.scottrade.com/online_trading_commissions/index.asp

I wanted to try the demo, but it looks like it's only for the States.
http://www.scottradeelite.com/register.asp

I give you an applaud for trying to help me out.  ;)

Quote from: Ares on April 20, 2007, 02:59:26 PM
Hi mbaugh,

I'm still keeping an eye on CIMT.
It does look like it may go up soon.

With regards to IVAN, I just want to test the strength of the 200ma on different timeframes.

I wanted to test that long time ago.
My reason is, if the 200 moving average is a popular gauge of support and resistance, price must bounce on that somehow - the question is how much. Probably the answer is with the Fibonacci retracement tool which I don't have.

My idea in a simple form is this:

If I have $5,000 as an initial capital.

I would start buying a stock with a "going with momentum strategy", take profits (hopefully), and re-buy on the 200ma of the hourly,daily and weekly timeframes in combination with the horizontal support (that is close to the 200ma of the current timeframe), 1 minute chart, time and sales, and hopefully read the market maker actions on level 2 correctly.

Simple scenario:

price = $5 for first entry with 1000 shares and a stop loss of 10 cents with a reward target of at least 25 cents.

previous week's high =$4.50

weekly 8 ma =$4

hourly 200ma =$3 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

Daily 200ma =$2 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

Weekly 200ma =$1 will be the next buy with the same 1000 shares and 10 cent risk, 25 cent reward ratio.

With this project, I agree with you, most of the stocks that are down late in the day, tend to go down further.

I will  keep in mind what you said about the time being wasted on a down stock late in the day.

Maybe, I should wait for a confirmed double bottom or inverse head and shoulders (my favorite patterns) on the 1 minute chart in combination with the 200ma in the different timeframes.
Wait for momentum to come in at the time and sales and enter on a breakout or pullback (after the breakout) to save time.

Tokyopua,

I was reading through my journal from page one and found what we were talking about in the shoutbox.

The difference that I found is, I used a stop loss on that idea.

The most current strategy that I plan to employ is to trade UYG and hedge it with SKF and vice versa SCALING (lot method) in and out of positions.

I will be looking at the weekly, and daily charts but will focus more on the 5 minute chart's channels, and volume to determine my entries and exit.

I will time the entry using the 1 minute chart with time and sale prints.

It's amazing to read how many mistakes I've done in the past.

I'm hoping not to repeat them again.

Best of luck to all of us.  ;)

Quote from: ket1390 on July 19, 2007, 04:18:25 AM
hi ares

currently i am using ameritrade. I pay 9.99 courtage....now i found a broker that wants just 1-3 dollar....i think this could be a good one it s name is www.sogoinvest.com.

other good daytrading sites:

www.greatstockpix.com (pay-service)
www.daytrading.li (free)

cheers ket

Ket,

Thanks again for this.

Started my first accumulation of UYG today on my TD Waterhouse account.

My original target was 28.08  but I ended up getting it at 29.11 and my 28.08 limit order expired for the day.

Daily chart of UYG and SKF for April 14:

UYG
#1 at 29.11, open

Placed a limit order today for 116.05 SKF and 28.08 UYG.

116.05 SKF got filled and 28.08 UYG expired.

Summary:

UYG
#1 at 29.11, open

SKF
#1 at 116.05, open

I'm still in the process of accumulation but was not able to add up on any today.
SKF is looking attractive for me right now coz RSI2 closed below 30 and am hoping it will go to around the 105s tommorow.

There seems to be a lot of signals that indicate a possible breakout of UYG's LTL.
Anything could happen. We'll just have to wait and see. :)

Summary:

UYG
#1 at 29.11, open (so far,up on it).

SKF
#1 at 116.05, open (so far, down on it).

Congrats Ares! UYG had a good day. SKF broke the 105 mark. I love reading your posts. Please do not be a stranger.  :)

Thanks Houlahan,

It's nice to know someone is actually interested in this thread. ;)
Please do not be a stranger too and keep in touch. :)

Yesterday, I placed a limit order on my paper account for UYG at 30.51 and an offer for 31.85 but upped my bid on my real account (not really since I can't buy at the bid at my TD account - it's more of I placed a limit order instead) to 30.55.
I also placed a limit order for SKF at 105.46 at my paper trading account and the real account.
Both were filled.

Summary:

UYG
#1 at 29.11, open
#2 at 30.55, open

SKF
#1 at 116.05, open
#2 at 105.46, open

Still accumulating and filling up my "inventory", hang on active trading will start very soon!  ;)

ps. Volume on UYG moving from red to black recently with Price and Volume up = a bullish sign.

Will we get strong volume if price breaks above the ltl?
(drum roll)
Let's see - after the break (sounding like a TV host of American Idol).  ;D

applaud Ares
Will SKF touch the MA200?
Market liked Citigroup's $5.1 billion loss b/c they thought it could have been worse.
Shorts will be covering, pushing skf down?
And GOOG will help lift the market today.

Ty Houlahan for the applaud.

So far UYG's 5 minute channel is uptrending, whereas SKF's 5 minute channels is downtrending.

I just placed a limit sell on UYG for 36.88 and a limit buy for SKF at 94.49

It may get filled or not today - we'll see.

Here's a screen shot of the TOS chart for SKF and UYG on the 5 minute chart:

p.s.
I may have to remove this since I'm not sure yet what TOS requires how to post their charts on message boards.

Quote from: Ares on April 18, 2008, 10:42:55 AM
Ty Houlahan for the applaud.

So far UYG's 5 minute channel is uptrending, whereas SKF's 5 minute channels is downtrending.

I just placed a limit sell on UYG for 36.88 and a limit buy for SKF at 94.49

It may get filled or not today - we'll see.

Knowing that the  RSI2 on the daily for SKF is oversold and UYG overbought, I still TRIED to lowball SKF and higball UYG but had a feeling I may not get filled - I didn't.

My limit orders expired for the day.  ;D

We'll see how it goes again on monday.

Hi Rickjust,

I just sent you a pm.

Ares

I like your action here, I don't know how you do it. I wish I had some good stuff too. about the only good action I have had in the last month was my 47% gain on ASTI which was sweet but I can't seem to replicate it.
if you could be generous enough to at least share one of your sweet trades it would be more than greatly appreciated  ;)

good health and good trading.

<Ares> I like the shoutbox. This was the reason I hanged around a lot at Fous'. It looks like I'll be hanging around more here now too. (grin). Lately, I've been more active posting here since starting my trades with TD Waterhouse. good job on the shoutbox.

Hi pinoleropuro,

It's nice to see you here.
Your 47% gain on ASTI  IS sweet.

Hang on for my sweet trades being posted soon too.  ;)

Good health and good trading 2u2 as well.

I felt the "buyer's remorse" with SKF on friday.

UYG may have a "gap to go" but i feel like selling it for now since the RSI2 on the daily looks overbought.
After my recent charting of UYG, it looks like it may have a failed breakout too (closed below the descending trendline). We'll have to see what happens on monday.

Instead of selling UYG though, I think I will look more into buying SKF - unless SKF goes above my #2 position - then I'll take some profits on SKF.
If UYG reaches or above my profit target of 36.88 then, I may take some profit on UYG too.

It's interesting to see how the -1.618 is quite close to the 200sma of SKF.

We could only speculate using charts, but the most recent price action counts and what we decide to do with it.

gl to all.

Summary:

UYG
#1 at 29.11, open
#2 at 30.55, open

SKF
#1 at 116.05, open
#2 at 105.46, open

Straddle or Strangle?

http://finance.groups.yahoo.com/group/stockteam1/message/913

Hi  pino,

I got your message from stockteam1:

" here is an idea, how about posting your scalp ideas but not the
trades since you would not have the time?
p.s.
sorry to barge in like that. "

No problem at all - barge anytime. ;)

I will be posting my trades at Pal Talk in the room called: Trading with Angie and Skater.

I will be posting the summary of the TD Waterhouse trades here at "Daytrading with Consensus".

My scalp ideas should have unfolded already if you follow the thread closely - if not, I hope it gets clearer as we go along.

Both my limit orders to buy at 95.37 and sell at 116.13 on SKF expired yesterday.
Let's see what today brings.

I called TOS yesterday and ask them how to post their charts.
Technical support showed me how.
They have a neat feature where you could "take a picture" of their charts and post to a message board.

Attached is a shot of the SKF/UYG 5 minute chart.

applaud Ares...nice chart....nice bounce

Ty Houlahan for the applaud.  ;)

Pinolerupuro,

I'm copying and pasting the activity at the shoutbox in here as an example of my scalping strategy.

[April 22, 2008, 01:37:28 PM]
[Disable refresh]
[Tue 13:33] <Ares> gotta go soon. good luck traders.
[Tue 13:30] <Ares> Sorry that I occupied too much space here in the shoutbox.
[Tue 13:29] <Ares> pino, just wanted to show you my scalping strategy as close to real time. hope that makes it clearer.
[Tue 13:18] <Ares> oops, I meant to paste this: Jegejig: UYG out 31.25 from 31.18
[Tue 13:17] <Ares> Jegejig: and the cheaper it gets, the more attractive it becomes to bargain hunters - like me 
[Tue 13:00] <Ares> Jegejig: and the cheaper it gets, the more attractive it becomes to bargain hunters - like me 
[Tue 12:59] <Ares> Jegejig: waiting to renter #2 UYG long when it reaches the rtl of the descending channel) angle of attack getting steeper (the steeper the angle gets, the cheaper the price becomes).
[Tue 12:42] <Ares> Jegejig: long UYG 31.18
[Tue 12:38] <Ares> Jegejig: that should read, instead of buy SKF
[Tue 12:36] <Ares> Jegejig: In this set up, if superscalping, and buying high to sell higher or shorting SKF, I would be looking to buy UYG and add as it goes lower.
[Tue 12:32] <Ares> Jegejig: On the other hand, UYG seems to be forming a point 3
[Tue 12:30] <Ares> Jegejig: volume picking up on SKF on a possible ltl break. Jegejig: careful, may be a headfake during the dead zone
[Tue 11:39] <jorgegr> Closing my trade on DIG now, opened on Apr 1st
[Tue 11:34] <jorgegr> Abt ESEA take a look at an 18 months chart showing SHS formation. I see resistance at 15 bucks area.  Also RSI(5) currently at 90
[Tue 11:30] <Ares> 7, that's me. Ares=Jegejig. Just copying and pasting my post.
[Tue 11:30] <Ares> from 106.36 for the superscalp.
[Tue 11:28] <Ares> Jegejig: Out 107.25
[Tue 11:25] <Se7en> What/who's Jegejig?
[Tue 11:24] <Ares> Jegejig: that could be triggered (for those who have a long position to sell). while the one that triggers, buy at the bid.
[Tue 11:24] <Ares> Jegejig: which some market makers take advantage of.
[Tue 11:23] <Ares> Jegejig: a lot of swing traders have their stops just below the swing.
[Tue 11:23] <bjc> bud - i like it
[Tue 11:22] <Ares> cindykarenstocks: so if 105.99 is support (ltl line) then you sell on that number?
[Tue 11:18] <buddjas1> Just bought ESEA on a bull pennant breakout.  Thoughts?
[Tue 11:17] <Ares> Jegejig: stops = emotions for me. I like hedging better. 
[Tue 11:15] <Ares> Jegejig: 105.99 should be a mark for those who are using stops. just a heads up that just below that is a support line (ltl of the bull flag).
[Tue 11:12] <Ares> Jegejig: coz it looks like it (SKF jus bounced from a c move.
[Tue 11:11] <Ares> if SKF breaks the ltl - it could run - if not, that should be the profit target.
[Tue 11:07] <jorgegr> RSI(5) for SKF is 50
[Tue 11:05] <Ares> pls. do your own due diligence. I just post what I see. no solid recommendation.
[Tue 11:03] <Houlahan> skf...rsi below 30
[Tue 11:03] <Ares> 106.36 entry on SKF for a superscalp on paper - the real one I have is for longer swings.
[Tue 11:00] <Houlahan> oh ares..my $ tied up now. in ico..
[Tue 11:00] <jorgegr> getting close th the 50MA & small gap inbetween
[Tue 10:57] <Ares> heads up, SKF getting close to the rtl
[Tue 10:55] <Ares> ty jorge
[Tue 10:55] <jorgegr> even tho it closed the gap, might still have some legs
[Tue 10:54] <jorgegr> if U like proshares take a look at SKK
[Tue 10:54] <Ares> I'll post a chart later on for the UYG why I thought it was going to bounce (it was about to bounce at the descending trendline support when I called it out).
[Tue 10:53] <pinoleropuro>
[Tue 10:52] <Ares> Ramsburg, this shoutbox is great. It would be better if we have those smiley icons though.
[Tue 10:52] <Houlahan> applaud ares!!
[Tue 10:52] <Ares> ty pino for the extra eye. (wink).
[Tue 10:50] <jorgegr> it wd be great if TBSI cd break 43 today
[Tue 10:48] <jorgegr> yeah that pro-share UYG  going up & down today
[Tue 10:46] <Se7en> Dry shipping stocks doing great, TBSI, EXM, DRYS ...
[Tue 10:44] <jorgegr> Houlahan: congrats U understood my typíng error .  The right ticker is YZC.   
[Tue 10:44] <pinoleropuro> rsi 2 and fast stochastics are pointing down right now on uyg
[Tue 10:41] <Ares> Out on that SKF for a superscalt at 107.55 from 105.97.
[Tue 10:40] <Ares> UYG bouncing soon. imho.
[Tue 10:34] <Houlahan> yes thank you for the warning
[Tue 10:33] <jorgegr> ico has conference call tomorrow - be carefull
[Tue 10:30] <Houlahan> asti baby!
[Tue 10:29] <Houlahan> ycz ma200 sweet
[Tue 10:29] <jorgegr> ASTI warmed up afetr todatys news (JPM underwritting)
[Tue 10:29] <Ares> the one I'm posting as a summary on the daytrading with consensus thread is mainly for the TD Account which are longer swings right now.
[Tue 10:27] <Ares> the recent entry on a superscalp for SKF was at 105.97 near the intersecting lines while time and sales was slowing down its red prints.
[Tue 10:25] <pinoleropuro> I am always too late it seems
[Tue 10:25] <jorgegr> Houlahan: look at ycz vs. ico
[Tue 10:24] <Houlahan> no ares i missed it....
[Tue 10:24] <Ares> backed off right at the LTL and pulled back near the intersecting lines where it recently bounced.
[Tue 10:23] <Ares> did anyone see the bullflag on SKF earlier?. I posted it at the daytrading with consensus before the market opened.
[Tue 10:22] <jorgegr> what great chart for PCU - inverted S-H-S -
[Tue 10:20] <Houlahan> in ico
[Tue 10:20] <jorgegr> DLTR seems to have lost momentum
[Tue 10:19] <52 windsor deluxe> cool.....
[Tue 10:19] <52 windsor deluxe> testing
[Tue 10:12] <jorgegr> Bought XLXN @ 24.70 & watching DLTR
[Tue 10:00] <bjc> wanted the April $10 strike for 20 or 25 cents...at 80 cents now. Hurts
[Tue 10:00] <bjc> Yes missed ICO yesterday due to no settled funds
[Tue 09:56] <Houlahan> watching ico-coal
[Tue 09:55] <Houlahan> hi bjc!
[Tue 09:29] <bjc> Hello?