{"id":1797,"date":"2009-08-18T20:58:42","date_gmt":"2009-08-19T01:58:42","guid":{"rendered":"http:\/\/www.smbtraining.com\/blog\/?p=1797"},"modified":"2009-08-18T20:58:42","modified_gmt":"2009-08-19T01:58:42","slug":"fool-me-once-shame-on-me-fool-me-twice","status":"publish","type":"post","link":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice","title":{"rendered":"Fool Me Once Shame on Me Fool Me Twice&#8230;"},"content":{"rendered":"<p><span>After yesterday\u2019s selloff we had a small overnight gap to the upside and we were watching the Open to see whether to trade the market from the long or short side.\u00a0 As usual FAS was on the radar of several of our traders.\u00a0 There was some initial selling pressure in the financial sector but fairly quickly it began to show relative strength.<\/span><\/p>\n<p>The FAS spent about one hour consolidating right below its intraday high in a range between 67 and 67.30.\u00a0 One time the 67 bid dropped and a bunch of people got short myself included.\u00a0 There was no down move and FAS quickly reestablished its trading range.\u00a0 Generally, I don\u2019t like to short stocks that are consolidating close to their highs but FAS is a great momentum stock and I was willing to give the short side one attempt if it appeared to be breaking to the downside.<\/p>\n<p>I immediately covered the short position when FAS was rebid at 67.\u00a0 One of my favorite young traders, Joe P, got long at 67.06.\u00a0 He saw the failed breakdown attempt at 67 and wanted to catch a potential move through the high of the day.\u00a0 Little did I know that JP had some additional caveats to his trading plan.<\/p>\n<p>JP had put a stop order to hit his long below 67 and also decided he wanted to get short if the 67 bid dropped.\u00a0 The first part was fine although after the previous failed breakdown one might consider lowering their stop to 66.89.\u00a0 The second part of his plan made no sense.\u00a0 FAS had already shown once that no one was committed to selling below 67.\u00a0 Without the commitment of a seller below this level it was not a short.\u00a0 The only thing that should have gotten him short besides an identifiable seller below the support would have been a hard downtick in the IYF.<\/p>\n<p>JP got stopped out of his long and then stopped out of his short.\u00a0 Ripper!\u00a0 His loss was greater than the PnL he gave up on the two losing trades.\u00a0 Soon after JP got stopped out of his short position FAS began its best up move of the day.\u00a0 JP got back in but he was in such a defensive posture he was unable to capitalize on a move from 67.35 to 68.50.\u00a0 This was not very difficult money.<\/p>\n<p>Our job as intraday traders is to take in all of the relevant data and then to make correct trading decisions.\u00a0 We had enough information in FAS to know the focus should have been on the long side at 67.\u00a0 Those who maintained their long bias at this level were rewarded with a substantial amount of of PnL.<\/p>\n<p><img decoding=\"async\" class=\"alignnone size-full wp-image-1805\" title=\"FAS 08-18-09\" src=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\" alt=\"FAS 08-18-09\" \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>After yesterday\u2019s selloff we had a small overnight gap to the upside and we were watching the Open to see whether to trade the market from the long or short side.\u00a0 As usual FAS was on the radar of several of our traders.\u00a0 There was some initial selling pressure in the financial sector but fairly quickly it began to show &#8230; <a href=\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":143,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1,8],"tags":[],"class_list":["post-1797","post","type-post","status-publish","format-standard","hentry","category-general-comments-2","category-steven_spencer_steves_blogs","no-post-thumbnail"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.1.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Fool Me Once Shame on Me Fool Me Twice... | SMB Training<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Fool Me Once Shame on Me Fool Me Twice... | SMB Training\" \/>\n<meta property=\"og:description\" content=\"After yesterday\u2019s selloff we had a small overnight gap to the upside and we were watching the Open to see whether to trade the market from the long or short side.\u00a0 As usual FAS was on the radar of several of our traders.\u00a0 There was some initial selling pressure in the financial sector but fairly quickly it began to show ... Read More\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\" \/>\n<meta property=\"og:site_name\" content=\"SMB Training Blog\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/smbcap\/\" \/>\n<meta property=\"article:published_time\" content=\"2009-08-19T01:58:42+00:00\" \/>\n<meta property=\"og:image\" content=\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\" \/>\n<meta name=\"author\" content=\"sspencer\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@smbcapital\" \/>\n<meta name=\"twitter:site\" content=\"@smbcapital\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"sspencer\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\"},\"author\":{\"name\":\"sspencer\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/8eabc642d328f902a341eb510c67ef27\"},\"headline\":\"Fool Me Once Shame on Me Fool Me Twice&#8230;\",\"datePublished\":\"2009-08-19T01:58:42+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\"},\"wordCount\":449,\"commentCount\":8,\"publisher\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\",\"articleSection\":[\"General Comments\",\"Steven Spencer (Steve's) Blogs\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\",\"name\":\"Fool Me Once Shame on Me Fool Me Twice... | SMB Training\",\"isPartOf\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage\"},\"thumbnailUrl\":\"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\",\"datePublished\":\"2009-08-19T01:58:42+00:00\",\"breadcrumb\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\",\"contentUrl\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.smbtraining.com\/blog\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Fool Me Once Shame on Me Fool Me Twice&#8230;\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#website\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/\",\"name\":\"SMB Training Blog\",\"description\":\"Lessons from the trading desk\",\"publisher\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.smbtraining.com\/blog\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#organization\",\"name\":\"SMB Training\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png\",\"contentUrl\":\"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png\",\"width\":230,\"height\":81,\"caption\":\"SMB Training\"},\"image\":{\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/smbcap\/\",\"https:\/\/x.com\/smbcapital\",\"https:\/\/www.youtube.com\/user\/smbcapital\"]},{\"@type\":\"Person\",\"@id\":\"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/8eabc642d328f902a341eb510c67ef27\",\"name\":\"sspencer\",\"url\":\"https:\/\/www.smbtraining.com\/blog\/author\/sspencer\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Fool Me Once Shame on Me Fool Me Twice... | SMB Training","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice","og_locale":"en_US","og_type":"article","og_title":"Fool Me Once Shame on Me Fool Me Twice... | SMB Training","og_description":"After yesterday\u2019s selloff we had a small overnight gap to the upside and we were watching the Open to see whether to trade the market from the long or short side.\u00a0 As usual FAS was on the radar of several of our traders.\u00a0 There was some initial selling pressure in the financial sector but fairly quickly it began to show ... Read More","og_url":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice","og_site_name":"SMB Training Blog","article_publisher":"https:\/\/www.facebook.com\/smbcap\/","article_published_time":"2009-08-19T01:58:42+00:00","og_image":[{"url":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp","type":"","width":"","height":""}],"author":"sspencer","twitter_card":"summary_large_image","twitter_creator":"@smbcapital","twitter_site":"@smbcapital","twitter_misc":{"Written by":"sspencer","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#article","isPartOf":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice"},"author":{"name":"sspencer","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/8eabc642d328f902a341eb510c67ef27"},"headline":"Fool Me Once Shame on Me Fool Me Twice&#8230;","datePublished":"2009-08-19T01:58:42+00:00","mainEntityOfPage":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice"},"wordCount":449,"commentCount":8,"publisher":{"@id":"https:\/\/www.smbtraining.com\/blog\/#organization"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage"},"thumbnailUrl":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp","articleSection":["General Comments","Steven Spencer (Steve's) Blogs"],"inLanguage":"en-US","potentialAction":[{"@type":"CommentAction","name":"Comment","target":["https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#respond"]}]},{"@type":"WebPage","@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice","url":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice","name":"Fool Me Once Shame on Me Fool Me Twice... | SMB Training","isPartOf":{"@id":"https:\/\/www.smbtraining.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage"},"thumbnailUrl":"http:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp","datePublished":"2009-08-19T01:58:42+00:00","breadcrumb":{"@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#primaryimage","url":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp","contentUrl":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2009\/08\/FAS-08-18-09.bmp"},{"@type":"BreadcrumbList","@id":"https:\/\/www.smbtraining.com\/blog\/fool-me-once-shame-on-me-fool-me-twice#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.smbtraining.com\/blog"},{"@type":"ListItem","position":2,"name":"Fool Me Once Shame on Me Fool Me Twice&#8230;"}]},{"@type":"WebSite","@id":"https:\/\/www.smbtraining.com\/blog\/#website","url":"https:\/\/www.smbtraining.com\/blog\/","name":"SMB Training Blog","description":"Lessons from the trading desk","publisher":{"@id":"https:\/\/www.smbtraining.com\/blog\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.smbtraining.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/www.smbtraining.com\/blog\/#organization","name":"SMB Training","url":"https:\/\/www.smbtraining.com\/blog\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/","url":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png","contentUrl":"https:\/\/www.smbtraining.com\/blog\/wp-content\/uploads\/2022\/07\/Logo-e1658419502954.png","width":230,"height":81,"caption":"SMB Training"},"image":{"@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/smbcap\/","https:\/\/x.com\/smbcapital","https:\/\/www.youtube.com\/user\/smbcapital"]},{"@type":"Person","@id":"https:\/\/www.smbtraining.com\/blog\/#\/schema\/person\/8eabc642d328f902a341eb510c67ef27","name":"sspencer","url":"https:\/\/www.smbtraining.com\/blog\/author\/sspencer"}]}},"_links":{"self":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts\/1797","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/users\/143"}],"replies":[{"embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/comments?post=1797"}],"version-history":[{"count":0,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/posts\/1797\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/media?parent=1797"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/categories?post=1797"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.smbtraining.com\/blog\/wp-json\/wp\/v2\/tags?post=1797"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}