Managing your exits is at least as important as where you’re getting into the market, and a quirk of human nature makes this a little bit more complicated
Why I Lost Money In GS: Part Deux
I noticed that the first blog I wrote on GS from a few days ago received a few comments/questions. Let me share a bit more of my analysis on why I was interested in trading GS the day following earnings and specifically how I selected possible entry points for trades. GS is one of the most difficult market leaders to … Read More
Why I Lost Money In GS
Yesterday I traded GS. It was a second day play following their earnings release on Tuesday. GS has been showing signs of life recently, and after observing Tuesday’s price action I was fairly confident it could trade up to 160. And perhaps over the next two weeks up to 170. We discussed GS in the AM Meeting and I clearly … Read More
Ripping Through Charts
Before training at SMB I used to rip through charts religiously. I called it the “poor man’s training program” :-). This was several years ago, but I still rip through charts. I find it to be a very useful source of trading ideas and for getting an overall feel of what the market is doing across multiple sectors. Ripping through … Read More
Adam’s Rules
Sometimes it is necessary to state the obvious…
Critical Feedback: ACN
I would like to spend some time reviewing how ACN traded on Friday October 1st. The big picture in this stock was they had reported their earnings and raised guidance going forward. The initial reaction to the news was that it popped in the after hours on Thursday. The next morning it was trading above the previous day’s after hour … Read More
Will the Real Level Please Stand Up? (Know Your Market)
Traders watching the S&P 500 have at least four possibilities for market proxies (and most other major indexes have similar issues), but they’re not always created equal. Some instruments do some things better than others and some are completely inappropriate for certain uses. Let’s start with looking at the pros and cons for each SPY proxy: SPY: An ETF that … Read More
I Love That!
During the AM Meeting I spent a few minutes discussing the importance of focusing on the “right stocks”. The right stocks are one’s that have the attention of a sufficient number of market participants to cause them to have powerful and clearly defined moves on many different time frames. Too often traders attempt to execute trades in every stock that … Read More