Friday, February 26, 2010

The Daily Note - Planning for Time

It just started, yet this year is flying by. February's last trading day and last weekend of February is here. I can't remember the last time I felt I had too much time on my hands.

I know time is a perception to an extent, yet it is also a way to measure our reality; When we watch the ticker go by, no matter which time frame, we are literally watching time pass. When we are involved doing other things we enjoy, we don't notice it as readily until we are done with the activity. Perhaps it's because I'm having too much fun, or maybe I'm just too immersed in what I do, that I am always wishing for more time to immerse, learn and experience more.

Time is just as important to trading as timing is. How long are you willing to hold a trade is determined by the size of your holding because it relates to the size of your account. Your investment needs to pay off quickly when you use a lot of your capital in a single trade, because you may not be able to enter another trade until you have completed the first one. However if you plan it well, you can give each trade its due time.

When planning the day, pick stocks that fit your capital; so if you pick 5 stocks to trade for the day, know how many shares you can allot for each, so you can enter trades as the opportunities come rather than sit it out in frustration because another stock hasn't reached the goal you seek. This method will make your day much more flexible and more interesting. It increases the opportunity of profit by increasing the time you have for the trade. But, it will not save you time as there is no such thing anyway.

Saving time is like saving money at a store sale: you're spending both regardless of the terminology. It's just a question as how wisely and how much.

Happy Trading, Living and Dancing

P.S. I will be working on updating my site and would appreciate your feedback along the way. Please feel free to leave your comments good or bad and whether something does not look okay. Thanks in advance.

The BlogList: PCLN The PlayList: SUBSCRIBE

Copyright DayTrading with Anni 2010

Thursday, February 25, 2010

The Daily Note - I Need Music!

I sit here not knowing about what to write. I am spent on staring at charts and looking for a possible move. Let's face it. The market is in a stupor. Unknowing into the unknown which way it's going. The world is in a monetary turmoil. One cannot do without effecting the other, and unfortunately the USA is embroiled in it up to its Uncle Sam's nose hairs.

Meanwhile in the Congress, it's business as usual. Spread the blame, point the finger outside of itself and spend on "like it or not" programs which most Americans do not want let alone pay for. Is Congress listening? Does Congress care what debt it owes?

Do any of them really understand anything? It seems they are masters at accusing others and that is what the entire body has come down to being. I have gone totally tired of the "aren't you" "didn't you" "haven't you" questioning, lawyer speak they use ad nauseum. Not one of them has the guts or honesty to look themselves in the mirror and acknowledge their role in creating this breakdown.

I need music, uplifting, good beat rhythmic, melodic. Got one in mind? Send it to me. It's time to rock this market awake. It's time to rock Congress out of it's cushy chair.

Happy Trading, Living and Dancing (I need the exercise!)

BlogPlay : RIG

Copyright Day Trading with Anni 2010

Wednesday, February 24, 2010

The Daily Note - A Note for Playing

Each day approaching my trading desk, I wonder how it will go. What will this day bring, which opportunities will I be able to see and take advantage of. I always feel that approaching the day with open mind is extremely important yet not always achievable. My head could be buzzing with the latest news, views and opinions from all corners of the marketplace. Any preconception or prejudice will effect how I view the market and will inject a bias I may not see the evidence of until well into its grip. Therefore I plan a Play List.

The Play List I compile after hours, when my mind is quiet, the news is off and I can view the charts in calm. I get a certain centered feeling as I look at the charts with some music in the background allowing my otherwise busy mind to relax. In so picking my plays I have found that they have played out well once I learned to trust the notes.

For the record the results are posted under PlayList Picks on a rolling post, where you can see each day's updates and can make open comments.
To Tune into my Play List, become a member and receive the picks by email. Subscribe. It's free for a limited time.

Happy Trading, Living and Dancing

WYNN ing on my mind

Tuesday, February 23, 2010

The Daily Note - Red, Red Wine

A couple of days ago I started writing about the 8 wines I tasted with our group last weekend. I must say it was a great evening of company, music and grand view from the city, but walking away from an evening of intense blind tasting of wines like California Pinot, I was reminded that the experience can be compared to my trading.

Think of the eight bottles as eight stocks you picked for the day for reasons such as reputation, review, region, vintage, price. Oops I mean such as reputation, analysis, sector, chart setup, earnings and the like. The wines, or trades in front of you sit in brown bags so you have no idea which wines is in which bag, just as the your stock picks in a way. You have no idea which will perform the way you want for the day. In other words although you picked your trades with knowledge of the stock, you are still blind to it's movements or whether one or the other will be better.

In a blind tasting, as with any tasting, we analyze the wines as to color, bouquet, flavors and structure, and make our judgement based on those qualities. The object being really to see and teach ourselves what our true palate will tell as to which wines we favor over others. There is no right or wrong in wine tasting, and seldom are there any losing wines, yet we rate them each and discuss and argue over each wine's merits and flaws that we may feel each one has.

In trading we seldom have time to analyze at length. We use our experience of the stock and it's general movements on it's chart history along with indicators that help us find the markers we seek for our rating and we discuss and argue over each stock's merits and flaws that we feel each one has, with our social trading group.

In the end despite it all we all leave the table with our own conviction about which wines we'll add to our collection learning from the experience of the discussion, but no necessarily being swayed by it. Just as in trading, although we may see other people's input as valid to our analysis, we still buy what we feel will give us the better profit for the day.

It is not a right or wrong game, it is as individual as wine or the foods we taste, or the music we enjoy; adding daily to our repertoire of experience, we grow with each toward becoming masters of the trade.

The Brown Bag Line Up:

2000 Dehlinger Old Vine Reserve, Russian River
2005 Kynsi Bien Nacido , Santa Maria
2006 Tantara La Colline, Arroyo Grande, Santa Maria
2006 Portalupi (Rochiolli), Russian River
2007 Robert Sinskey, Los Carneros
2007 Chasseur, Russian River
2007 Swan Cuvee de Trois, Russian River
2008 Ken Wright Cellars, McCrone Vineyard, Yamhill, OR (a non Calif. ringer)

I won't tell you my scores. Go taste them on your own, and if you give me yours, I'll give you mine.

Happy Trading, Living and Tasting

Today Play: VNO Earnings

Copyright Day Trading With Anni 2010

Monday, February 22, 2010

The Daily Note - A Positive Note

Trading can be addictive, be it positive or negative, it is a lure which keeps calling back with an irresistible song. The tempo of the ticker, the movement of the charts, the blinking of red and green is hypnotic to everyone. When coupled with money, it is easy to follow the day to the end with increasing anticipation. Repetitive motion hypnotizes us into a steady rhythm and puts us into a state of routine movement. It is partly why success breeds success; failure breeds failure.

There are several ways of breaking what I call "flat rhythm" which is experienced under this state. All are designed to limit the time we sit at the computer trading, in order to break the state. The limit can be hours, minutes, or targets.

Hours: With hours, decide at what time of day you are going to stop trading each day, regardless of what your monetary outcome. For many who are on a schedule this can work the best. The positive of this method is that one is forced to concentrate more on timing and reaching the day's goal within the parameters.

Minutes: Choosing minutes is when you can decide when to give yourself a break, like once an hour, where you get up and away from the computer to do another task. The positive of this is that you can actually work through chores for the day sans computer and take care of "to do" lists which take physical activity; or do ten minutes of exercise each hour which is physically and mentally healthy.

Target: At each finish of a trade, (or a target hit on a trade) or a group of trades, take a break. Walk around, go outside, breath fresh air, put on music and dance. Move! Walk, jump, dance, lift weights, play with your pets or kids; do a positive physical activity to express the feeling. Do whatever makes you feel like you are rewarding yourself for a trade well done, or to regroup positively from a bad one.
(I consider getting out of a bad trade, a positive)

The object here is to push away from the computer and leave it for a few minutes or hours. To give us mental and a physical break. A switch in concentration and activity oxygenates the blood and helps get energy back into our system and in turn keeps us healthier for a longer trading life.

Happy Trading, Living and Dancing

Swing Play

copyright Daytradingwithanni2010

Friday, February 19, 2010

The Daily Note - Whose Rate Is It Anyway?

I wonder who actually mandated a raise in our rates. This one quickly sneaking under the radar until it was released at a perfect spot on the horizon.

China has been worried about our worth. Since they own most of our debt and hold most of the gold (outside of Soros), but not enough to thwart our default,so they have a right to be worried. The way we go, so goes the world... for a while.

It's time for the USA to wake up that we are, like all people, replaceable. Certainly not right away, and certainly the world will suffer at our demise, nevertheless, we are replaceable. Another nation will rise to the top, if not already there waiting, almost ready to take our place.

It is fortunate that China still needs us to buy their manufactured goods and employ their workers, otherwise this house of a cards relationship would collapse. China's been complaining, USA's been discreetly listening to their wishes, because they own most of our debt.

The Fed said this raise does not mean they will raise again in March, but if the rate of inflation is beginning to loom big, they short on choice and we know which way that chase spirals. Since China wants to be paid back with stronger dollars they will keep the pressure on as well and the USA will have a hard time holding rate hikes back.

With jobless rates still at all time highs, forcing the banks into higher rates, small businesses will suffer further; the events if mishandled, could literally break our populations's back but perhaps that's the plan all along.

Rates and opex today should prove to be an interesting day.
Happy Trading, Living and Dancing (in the dark)

The Play List: GLD isn't everyone playing this today?

Posted 2/19/2010 07:23 Eastern

Thursday, February 18, 2010

The Daily Note - Taking a Break

Members of the Play List have been watching and playing in anticipation of earnings announcement which did not disappoint. Today, we'll take a break to let the prices adjust and smooth out before we see a continued direction to take.

It is good to take a break away from a followed equity once it makes a big move, because attention to big movers brings in traders that are likely to put the stock into what I call a "tizzy" or confusion where direction is hard to pick. So unless we have a clear continued direction, PCLN is now on a break. We have other plays to discover and other moves to dance to. Always dance to the feel of the music and pause at a break.

Happy Trading, Living and Dancing

The Play List:

FSLR was on yesterday's Single Note for a +2pt. Today, let's see if we can make music. Earnings after hours.

Wednesday, February 17, 2010

The Daily Note - My Olympic Best

Watching the Winter Olympic games again last evening reminded me how much work, dedication and endless study goes into everything they do. From a young age they seem to have a calling without knowledge of its true meaning; a drive that propels them to do it more and do it again until they become the most perfect they can be, yet even then only a few, a very few, get to share the games with others of caliber on the field with five rings.

It's really not unlike what each and everyone of us do to succeed at what we love, regardless our age at discovery. We may forge into it with reserved interest, at first, unsure about giving commitment until such time that it has got us with a grip which we cannot let go. What really takes us on the trip? What makes us put our foot one in front of the other regardless the discouragement of trial and error? What keeps us going day after day, hour after hour unable to tell when and if we will succeed or fail? What gives us the strength to practice year after year, take criticism day after day and move our determination to higher levels? Is it the conquering of a challenge, the feeling of pride, or is it the satisfaction in knowing that we have stretched to do our very best?

I've been fortunate to have experienced and succeeded at more that one passion in my life; each one demanded that I do my best and each one had me meeting challenges yet undiscovered and unconquered. Yet it is in the results where I find I receive my greatest satisfaction and proof that I've done my personal best.

Results of the highest caliber are not easy to reach; each and every field that we enter has thousands of challengers for the same honor. Yet what we do in our search for the apex has to have unshakable conviction to continue toward the goal. On the way we have to push through all adversity, meet each obstacle and have continuous passionate desire to go on.

In his commentary about the skaters last evening, Scott Hamilton, 1984 Olympic Gold Medalist, said it best: "You have to go to work everyday, love every minute of it, and eliminate every would've should've and could've from your thinking."

We can't all be on an Olympic podium receiving a medal for our achievements. But we can all examine whether we met the criteria to reach our personal best and looking at the results, if we can say we have no regrets, I think we can also say we have reached our Olympic best.

Work each day, love each moment and take each trade to your Olympic Best!
Happy Living, Trading and Dancing

The Play List: Let's continue with AAPL

Receive additional PlayList picks by registering HERE

Posted 2/17/10 05:31 Eastern

Tuesday, February 16, 2010

The Daily Note - The Slavery of Debt

I am not going to pretend to understand all about sovereign debt, international monetary funds, and the ups and downs of lending and borrowing by big and small governments. I have a very childish view of money and debt; I only know one simplistic idea: debt and balances. You work to earn; if you spend more than you earn, you have to borrow. What you borrow, you pay back with interest. If you can't pay back what you borrowed, you still owe it until you can. It's not forgiven and you may lose everything in order to pay it back. In other words, you can go broke and will have to start all over again. In addition, from experience, I also learned at a young age that it always takes longer to pay back a debt than to borrow it.

One thing is left out in the above written simple thoughts is that in order to borrow, the borrower must have something to secure the borrowed money so the lender is at least assured of having some return on their risk. Risk being lending money and not being totally sure of repayment. Think of it as insurance and is known as collateral.

So, then, as I examine those thoughts, I cannot for the life of me see how they do not apply to adults and in turn countries. I know that they are supposed to, yet somehow there are deals upon deals figured by "representatives" of the people, who earn the money, behind closed doors and *poof* somehow one debt is forgiven and another is not and the real lenders of the real money never get payed back. Be it investors or taxpayers. Witness the lent money to the banks under TARP that were paid back by the banks with interest and now the government wants to spend it on something else instead of paying it back to the people by reducing the debt.

The scenario is being played out the world over. My childish mind thinks perhaps this is what has happened and is happening: the "adults" (our governments) got to play with money which they did not earn. When it became evident that they overspent, they stopped using collateral (gold)in favor of IOUs and started printing money. The people were forced to lend the money via taxes and without collateral, on promises of repayment. Money that has no real backed value except by what it is agreed upon in the markets, is imagined value because it can be printed easily and it is an endless way to spend until such time when the loan is due or is called.

Not having the means to call it, the people (taxpayers) were/are made to pay more and more taxes so the promises could/can be kept even as they are multiplied. Jobs in return were/are being promised to the lenders (taxpayers) lest they get angry but also because without jobs, taxpayers could/can not pay more taxes. Are you beginning to see the picture? The borrowing and lending ballooned/balloons as the governments played/play more and more with ever larger sums, borrowing and lending to a wider number of governments the world over.

The result is the ultimate fairy tale and the biggest balloon produced. One for Ripley's Believe it or Not if only we as the people, could be just spectators. Unfortunately, we are not because it's we the people, not our governors or government, who produce the GDP they so lavishly promise and spend. We are the promised people and our children are the promissory notes of our GDP to be delivered somewhere down the line. So unless it be forgiven, welcome to the slavery of our debt.

Happy Trading, Living within your Means, and Dancing

The Play List for 2/16 AAPL for your future

Posted 2/16/10 04:38 Eastern

Friday, February 12, 2010

The Daily Note - Friday Thoughts of Insanity

It's the beginning of a long weekend. The President's Day. Wonder if people remember which Presidents we are celebrating anymore. Normally, Friday before would empty early, but I feel this weekend to be different. I wonder if anyone will show up due to the winter storms, long weekend and yessss the Winter Olympics, and and and..ta-daa Valentines Day! Jam packed weekend, I'd say.

It has been difficult for people during the past week with the cold, heavy snow and transportation nearly at a stop in many areas of our nation and from what I see some parts of Europe too. Stores have been emptied for fear of supply shortages, and it's not "panic" time yet. It makes me wonder why we don't think global cooling to be more threatening than warming. Maybe because we'd need oil for heating rather than wind farms for "cooling"? That last one, just kidding. But, can wind farms work in the freeze? Doubt it. Solar too would have a difficult time toward workability and profitability. Yet we are and would still able to burn oil and (get ready for the bad word) DRILL for it. Oh my, could I suggest that perhaps drilling is still a good idea for preparation for global emergencies? A simple yes. Imagine the world in economic chaos. If you are wondering can it happen? It's already happening in Europe. Now imagine a climate chaos on top of it. NO, I'm not really suggesting that this will continue, yet we do have a more recent evidence of a mini ice age. Just thoughts as I hear that Dallas had the snowiest day on record.

True, food can be imported from South America.. hmm food in California not grown anymore? The food basket of the world has been disabled over the years but most recently crippled further by water rationing. So ask yourself. Does the USA want to go about food as it has gone about oil? Insanity!!

Happy Trading, Living and Keeping Warm
Happy Valentines Day
and wishing luck to all the Olympic Participants

The Play List:

GOLD GOLD GOLD In this economic mess, we still need some stability besides
who knows what to expect going into these 3 days?

Posted 07:45 AM Eastern


Thursday, February 11, 2010

The Daily Note - Global Warning

Some things to consider for today's trading environment: Iran has announced success in enriching uranium just 2 days after announcement for a trial. Still not warhead level, but it's a significant step. Also, Greece is a model of what may come to many more countries as the budget crisis continues to unfold.

Looking at the two above mentioned events, it occurs to me that most people do not wish to tie things together because of seeming lack of relationship, yet it was economic crisis coupled with increasing political unrest and muscle flexing, which set up 2 world wars. The ingredients are mixed, buy the box and just add trigger.

I'd like to think we're not that close, yet there are underlying movements where certain beliefs are held which we should not ignore. One, that resurrection comes out of revolution and two, only wars save us from economic disasters. Both are incorrect, yet both are believed by many. I have spoken personally with people who hold those beliefs and think that many will need to pass before the perfection for their global vision will be reached. Somehow they have a disconnect between life and human life for cause and seemingly think that those who "must pass" will do so voluntarily or some other magical painless way, I cannot fathom, as I cannot comprehend their nonrecognition that they are supporting the death of millions.

Well, enough said, we cannot predict the future only pray for it's presence.

IMF & Greece:

Happy Trading, LIVING and Sanity

OIH for a news play

Posted 07:11 AM Eastern

Wednesday, February 10, 2010

The Daily Note - Snowed Under

Perhaps all this snow is a metaphor for the times we are currently living. I feel it is for me. Maybe it is a sign for us all to take it slow, ease back. Life will go on like it has for eternity. We need to quit trying to hurry things through, but instead, think things through.

There is a lot of hurry to fix, the economy, the ecology, the currency, the commodity, the climate, the budget and jobs, will only get us into more confusion, conflict, dilemma and chaos. It gives us more to do which may make us feel like we are getting somewhere, but it only results in more running around without reaching accomplishment. Maybe the snow is sent for us to realize there is a time for reflection and no action.

Regardless of the fact that I am living in California, I feel snowed under, so I will heed the signs. To my snowed under friends across the lands and seas, let it rest and enjoy the quiet life if only for a day.

Happy Trading, Living and Resting

BIDU was a great play yesterday. with a total of 31+ point gain. Don't push it today, don't be too eager. Let it play for you in other words, become the dancer.

Posted 04:31 AM Eastern

Tuesday, February 9, 2010

The Daily Note - Broken Dreams

Broken glass lay about my feet, shards missed me yet they cut anyway. It's funny how things we hold dear can be broken and we feel pain, yet things we don't care for we don't notice passing. This was dear, yet perhaps the passing of it good. There comes a time when we all have to let go of things that no longer suit us, no longer give us joy, or no longer give us pain.

Notice how we hang onto pain? We get used to holding it and not even knowing after a while that it is painful. The denial, the need to hold on to the hope so strong, that we rather deny the pain than let it go. It is only when gone, that we notice the missing of it. Then we notice the relief or perhaps we notice the emptiness. Many rather than filling the emptiness with something new, yearn for the old and invite the pain again.

That is how holding on to a losing trade feels. The pain of daily looking at its existence after not heeding the stop, watching the bad go to worse and the resistance of letting go seems to get stronger with each tick, minute, hour and day ad it could be weeks or even months before we get the courage to finally cut the cord. Once letting go of the "friend", and feeling the cut of the glass long ago broken, the healing of the wound is almost immediate because the pain is gone and the good feeling is rather euphoric. A deep breath; do not dwell; just go on is often advised.

Once done, we can fill up the void by finding another trade, and this time promising ourselves we will not do it again, yet.... again it creeps in like a bad habit and the feeling of pain is almost welcome like a long ago lost friend.

It is not an unusual scenario, many commit it and talk of it less. Yet it happens in daily lives everywhere. We all do it in greater or lesser terms. It is not unlike the prisoner who has spent so many years in such state and knows no other familiar territory, seeks it again; or the person who's been terrorized so long, rather hold on to the known than leave the tormentor. Nations have done it too, like post communist countries that have drifted back toward the regime because the generations knew nothing better and their education was so riddled with indoctrination, that they have had a hard time assimilating true freedom.

The mistake is made and the repeat path is cast by not analyzing nor examining what made us hang onto something that served us not, but damaged the well being of our capital and our confidence. Whatever reason it may be, the examination of it is a must so we can proceed successfully because the pain will always be ready and waiting for us to don it again until the lesson is learned.

Happy Trading, Living and Letting Go

The Play List:

BIDU today after hours and will most likely be a tight play but needs to be watched for the day for possible opportunities.

Posted 06:58 AM 2/9/10 Eastern

Monday, February 8, 2010

A Matter of Trust (Part V)

Research and plotting and posting a trade is only part of the journey to success. Once done, I sometimes stare at the chart and think to myself "impossible, how can I trust that to unfold?" or "It can't happen, what was I thinking!". I am sure these thoughts are very common within all of us while we look over our creation for the trading day. While it is important to be self critical, it is also important to be self trusting. Both will help you avoid mistakes. Look at each to balance the other, so if you are critical of something, look to see what you can trust about it.

The Play List of trades for the day is sent and posted for those who may wish to partake in the trade. Here is when again the pivot point is placed by you, the trader, and where the destiny of the trade is decided.

In order to participate in the trade, you have to trust something; whatever that is, it's the actual key to how far you will ride it. Maybe it's a particular point area within the posted trade, or you agree with the entry but not the target. Thus, you place the trust in yourself and it becomes your trade to make successfully and to the extent you decide.

It really matters not how little or lot you partake in the trade, it matters only that you recognize that you are trusting yourself and your ability and not so much me as you take control of the helm.

Happy Trading, Living and Dancing

The Play List:

AAPL In consolidation with a slight upward bias, yet in a range where a few point can be harvested.

Posted 10:30 PM Pacific 2/7/10

Thursday, February 4, 2010

The Daily Note - Horse to Water

What is it about us, human beings with such large brains, that makes us so stubborn? We often ask and pray for things to happen and wish to be guided in light to our redemption, but when we are, and opportunity stares us in the face, we look, pause, ponder, question, distrust, watch, study, research, wait; in other words do everything else but greet it with open arms and an eagerness we so often imagine. So, we don't jump in, we don't accept the drink.

We all know the saying: "We can lead a horse to water but we can't make it drink", and I bet many of us think at that point that the horse is dumb, but is it? I think not, it is at this juncture where the horse demonstrates its individuality and where we humans express our unique selves. It is at this precise point where we make the decision and take the true choice of what we wish to do, be or become. The horse may sense the water poisoned as we may sense it not to be correct for our path. Guides and the guiding may be nice and good, but it is up to us to make the decision which path we wish to forge.

It is why we leave our parents: to forge our own way and create our own reality. The horse may know that it will be beaten for not drinking, but what good is it for the "god" who beats it? The horse will choose life for as long as it can. We, the people with big brains will do the same. No matter how many guides, parents, gods we pray for, and invite to rule over our lives, ultimately we'll choose life for as long as we can and thus doing, create our own life, future and reality; each as individuals and each as people.

It may explain and help you in knowing that as traders you ultimately have the choice of taking a trade you ask for. There are many advice givers, me included, but it is your place of decision; it's your pivot point where you decided yeah or nay about jumping in.

Happy Trading, Living and Dancing (In another reality I'm skiing)

The Play List:Today's article was inspired by yesterday's $BIDU play that was posted for the members. It's not often that one can partake in a 10-20 point play. I was definitely guided to post the play for a breakout. Here is the post sent to members: " I've been waiting for BIDU to make a move and today may be the day."

I don't know when it will happen again, but will you be ready?
MA It's earnings play and most likely volatile with possible good opportunities:

Posted 05:00 Eastern
©DayTrading with Anni 2010 All Rights Reserved

Wednesday, February 3, 2010

The Daily Note- Let it Play

It was a very difficult day yesterday from what I observed. Most plays seemed tight and the market, although regaining substantial ground, seemed unsure of itself. I find that no matter what the day is like, if I let the day play out, it will eventually show me some harmony, and here it is

What the chart shows, I would venture to guess is a repeat of last July. In which case we are heading for higher highs. The 10400, I mentioned a couple of days ago, still looks like the one to cross for confirmation. On the other hand, we are not out of the woods yet, so don't leave your seats as the "fat lady" may still sing at this concert and we shall see if another reversal takes place to revisit and perhaps breakdown the lows. So let this tune play out, no matter how discorded, one day this tune shall end and another dance will begin.

I think I danced too much last night
Happy Trading, Living and Dancing

The Play List

USO has been moving well in opposite of DTO

Posted 07:50 Eastern

Tuesday, February 2, 2010

The Daily Note - A Swinging Day

Yesterday was what I would call a swing day. The markets reversed the previous two weeks of correction with a significant end. With a few exceptions. Whether this will be a true reversal only the next few days will tell. It could be a consolidation as the DJIA suggests between the 10100 and 10300.

Swing days tend to be cautious only because traders have been conditioned to a trend and now not only do they have to switch directions, they have to trust that the new direction will continue. So being alert is extra important. It happened with DTO. Sensing a direction change, I posted this pick in the subscriber section yesterday yet, I was suspicious about its reversal, and kept vigilant and as it played out with the market to close near bottom of the day. It turned out to be a nice 4 point play. It is these type of trades that I feel worthy to hold over, because the direction and momentum is well defined. When holding over, I don't hold a large position; I only carry a small one. It's because I don't like to give back what I have gained and I figure I can add to my position if my calculation is correct, the next day.

I try to pick stocks for The Play List which can be executed more than one day during the week and perhaps even more than one time during the day; and although I do not actively have time to announce each possibility, I hope that subscribers and followers try to see if they can capitalize on them. And enjoy a swinging day with Sinatra to keep you company:

Happy Trading, Living and Dancing

For additional Plays SUBSCRIBE to The Play List free for a limited time

Today's Play List: DTO

Posted 05:33 Eastern

Monday, February 1, 2010

The Daily Note - Remember This? Remember This!

"What?", you ask?
"Yeah, you know, "What Goes Up Must Come Down" remember?"

Some of us forget, some of us dismiss. All of us see in hindsight.

Last week was too late, the change took place. I wrote about it in "Looking Forward 2010" and even earlier, I showed it on this weekly chart, then again checked and adjusted on Jan 13th in "Ready for a Turn?" which although small, was a foreteller of things to come over a week later.

As traders, we cannot afford the hindsight. What takes us to the next level is to remember what can happen and get out when the change occurs. Although it cannot be exact either, as you can see judging by the charts,knowing what can come and taking note of the markers is a tool for the advantage.

"So what is next?", you ask?

Knowing what is next is impossible; knowing the possibilities is not.
Therefore, look for the possibilities and make them your markers. Then the next impossible task you will need to do, is to remember to heed them.

Happy Trading, Living and Dancing

The Play List:

DJIA Looking forward for February, 2010

Posted 12:15 AM Eastern