Bella, I thought EDU offered some great opportunities to use the tape and levels from yesterday to catch most of the downtrend we saw today. EDU was heavily in play yesterday on SEC investigation news (roughly 20x average daily volume), and today it was even more active (roughly 35x average daily volume). My one concern in this trade is how … Read More
How to tell a stock is breaking down (EDU)
Bella, A couple quick questions on EDU based on what you were discussing in the meeting after the close: I was watching EDU and felt that the 15.70 level was more important intraday support than 15.50. The push down to 15.50 happened simultaneously with the market exhausting its downtrend before pulling back, and at the time it looked like EDU … Read More
Trading Bigger (GMCR)
GMCR from 7/16 Where to add size on this play? I thought about it all day and discussed it with a number of other traders. One camp was “be big at 19.20, the 2nd time, at 11:20am with an out in the mid 30s”. I can’t totally agree with this. I don’t think you can get that big there, responsibly. … Read More
Spencer Trade Review: $LXK $GMCR
* No relevant Positions
Should you quit trading?
Hey Mike, How are you? Everything at SMB going well? Life outside of work is good? If you have the time, I could use some advice. I have now been trading about 10 months at (firm deleted) and learning from one of the best traders. For our style of trading, the firm as a whole finds this to be one … Read More
S&P/FX Trade Example
I talk a lot about the intermarket relationship between the S&P 500 Index futures, and the EUR/USD forex pair. The relationship is typically, S&P goes higher, EUR goes higher. There are fundamental reasons for this that I am not going to go into here. What I want to do here is highlight a particular condition that appeared in the S&P … Read More
One Netflix Trade
NFLX has been in play since the huge move on Thursday. I looked to trade it on the short side on Friday as it was overextended and had a powerful Opening Drive to the downside. It ended trading off about four points from its high but failed to close below 81 which had been a key support level on Thursday. … Read More