Template for One Good Trade (OGT)
We ask that you prepare OGT for the rest of the desk periodically. We do so for the following reasons:
1) the only voice heard should not just be mine
2) traders on our desk can learn from you
3) it is important for you to know how someone else trades so that your trading conversations with them are more meaningful
4) this is the best way for Steve and me to get a feel for your trading and offer constructive thoughts to improve
5) sharing your trades will improve your trading as you will have to defend each decision
6) valuable screen time is gained by all who watch your OGT
7) OK that is enough reasons already
When you prepare your OGT please follow the instructions below prepared by Alex:
One Good Trade Video Instructions
To be done on your computer
1. Use screen recorder to record trading activity.
2. Save file to hard drive
3. Watch tape and identify the OGT you would like to highlight. Take notes of the important times of trading so that you can fast-forward thru unimportant periods.
4. Write up the OGT Word document. (See example of OGT doc at bottom)
5. Save Word document and video to network “\\smb-gil2\One Good Video Network”
To be done on Recording Station or Bella's computer
1. Open screen recorder but do not record yet.
2. Open Magic charts and type up the chart on the day the OGT occurred.
3. Open Briefing.com to the earnings/news story which made the stock you traded in play.
4. Open OGT Word document from network
5. Open Video in Window’s Media Player (mute the sound)
6. Record desktop activity
7. Open Briefing.com story and highlight and discuss why stock was in play. Let the viewer see the briefing.com story that shows why your stock was in play.
8. Open Magic charts and highlight the chart on the day of OGT. Show important intraday levels and longterm levels to the viewer.
9. Open OGT Word document and highlight “Proper preparation” and “Hard Work”
10. Open video and fast forward to the section where the OGT occurred. If there are unimportant times during the trade then fast-forward thru these periods please.
11. Narrate the OGT enthusiastically and with conviction highlighting why it was a good trade and how it could have been better (if on Bella's computer must hold the big mike close to your mouth and speak into the big mike)
12. Open the OGT Word document again and finish highlighting the rest of the fundamentals
13. Stop the screen recorder and save the file to the network: “\\smb-gil2\One Good Video Network”
Alex made an excellent template that you can follow and can be found on our network: MomentumADIOpen(OGT)(AJ); \\smb-gil2\One Good Video Network\webinars\MomentumADIOpen(OGT)(AJ)
Our video session is an important learning tool for us all. Doing the above will allow us to gain the most value of of these sessions. If you have any questions about technical issues under no circumstances should you ask me (please ask GMan).
Thanks.
Bella
Alexander James – (ADI) – One Good Trade – 5-21-08
Proper Preparation: Reports Q2 (Apr) earnings of $0.44 per share, excluding non-recurring items, $0.03 better than the First Call consensus of $0.41; revenues rose 5.8% year/year to $649.3 mln vs the $627.2 mln consensus. Co issues guidance for Q3, sees EPS of $0.43-0.45 vs. $0.43 consensus; sees Q3 revs of $650-665 mln vs. $638.81 mln consensus. Board of Directors has declared a cash dividend up 11% q/q to $0.20.
Levels: 33.50, 34.00, 34.50
Average Volume: 4.5mm
Short % of float: 3.2%
52 week range: 26.15 - 40.99
Hard work: Watched the prints and inside market and noticed the stock could not trade above 33.00. A big offer for 20k appeared on NYSE.
Patience: Got long at 33.03 as soon as 33.00 lifted
Detailed plan: Plan was to get long as soon as 33.00 lifted and stay long as long as the stock was going up (momentum trade). Sell when the stock slows. (Please insert a plan for if the stock trades in your favor and a plan for if the stock trades against you. In this case the sale was when the stock slowed.)
Discipline: Executed on my plan as I sold at 33.14 as soon as the stock slowed.
Sharing your best trading ideas: N/A
Review: I had a long bias initially because ADI had positive earnings and guidance. I thought the ADI would pop after some initial profit taking on the Open. Looking back at the trade I should have recognized that ADI could not trade above 33.00 and shorted ADI when the large offer at 33.00 appeared. That said, the actual trade I made when 33.00 lifted was executed well and I sold as soon as the momentum slowed.
Proper Preparation: Reports Q2 (Apr) earnings of $0.44 per share, excluding non-recurring items, $0.03 better than the First Call consensus of $0.41; revenues rose 5.8% year/year to $649.3 mln vs the $627.2 mln consensus. Co issues guidance for Q3, sees EPS of $0.43-0.45 vs. $0.43 consensus; sees Q3 revs of $650-665 mln vs. $638.81 mln consensus. Board of Directors has declared a cash dividend up 11% q/q to $0.20.
Levels: 33.50, 34.00, 34.50
Average Volume: 4.5mm
Short % of float: 3.2%
52 week range: 26.15 - 40.99
Hard work: Watched the prints and inside market and noticed the stock could not trade above 33.00. A big offer for 20k appeared on NYSE.
Patience: Got long at 33.03 as soon as 33.00 lifted
Detailed plan: Plan was to get long as soon as 33.00 lifted and stay long as long as the stock was going up (momentum trade). Sell when the stock slows. (Please insert a plan for if the stock trades in your favor and a plan for if the stock trades against you. In this case the sale was when the stock slowed.)
Discipline: Executed on my plan as I sold at 33.14 as soon as the stock slowed.
Sharing your best trading ideas: N/A
Review: I had a long bias initially because ADI had positive earnings and guidance. I thought the ADI would pop after some initial profit taking on the Open. Looking back at the trade I should have recognized that ADI could not trade above 33.00 and shorted ADI when the large offer at 33.00 appeared. That said, the actual trade I made when 33.00 lifted was executed well and I sold as soon as the momentum slowed.