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Wednesday, August 13, 2008

Confused?

Today, I was asked a question, "Why are you buying if 4,8,21 has not crossed above?"
That's a dam good question.
There are many ways to trade the market.
Trading the trend, shorting top and buying bottom.

There are more than one TA and more than one type of chart I use.

For TA, I use: ema, sma, macd, rsi, stoch, atr, obv, fib.

For chart, I use: P&F, candlestick, 1m,2m,3m,5m, 5d5m, daily, weekly.

You just need to learn to determine what works for you.

When buying options, I like to put in a low ball bid.
If it hits, then great, if not, then I just move on.
Some times it pays off; other times it dossn't.
The objective is to make more than you lose.

When I go on a losing streak, I tend not to post my picks because I hate for you to lose money on my behalf. Always protect your capital so that you can come back another day. For example, you know that I bought CF at 145 and when it dropped to the 200sma, there was no way I could recommend you buy the stock. But it would have been a good recommendation.

Here are some of my transactions on lowballing options buy.
Note, most of the stocks were sitting very close to the last support or 200sma.


I know that I complain about leaving money on the table; however, you can't lose by taking profit.