Jeff Kohler the Option Addict | Stock and Options Trading

2/28/2007

Stabilization

Look! It wasn't the end of the world afterall! That doesn't mean that it didn't totally suck in the meantime.

It is great to see things stabilize, but don't ask me today what the market will do going forward. I am somewhat comfortable with my initial feeling that we will drift higher and likely re-trace 50% of that drop over the next 1-2 weeks. It looked like it was just an over-reaction and a trigger of a tremendous amount of electronic orders.

But like I said....I used the word "feeling."

I am going to be drifting in and out of the office for only a couple hours each day for the remainder of the week. Next week I will be back to full time employee.

In the meantime, if you have found a gem out there, feel free to share it.

PS- We decided on the name, Jordan. It was either that or Cramer, Dow Jones, Ice, etc. Here is a small photo I took with my phone.

Posted by Option Addict at 4:52 PM | Permalink | Comments

2/27/2007

I Picked a Perfect Day To Be M.I.A...

Folks I apologize I wasn't able to be here and talk you through this movement today. I know a lot of money was made/lost today, and I hope whatever the outcome was, that you are all coping with it and that you were relatively diversified and position sized. I hope my early morning post was enough to warn you about what the market was ready to unleash.

I also appreciate all the comments that made it in today. To hear the thoughts, feelings, and opinions of others is helpful to everyone. It makes you stop and realize that we are all in the same boat here.

I don't have a lot of time, so I will cut this short. I hope everyone made it through this today. A few things we can take away from this experience are...

Obviously position sizing & diversification
Trading both bullish and bearish regardless of market trend can help to diversify
Stops can be helpful
Trading options should not be done with the majority of an account balance

I am glad we had some good bearish trades on the radar to help pick up the slack and offset some losses. I gotta run folks, but I will be making a quick appearance tomorrow on the blog, Marketcast, and Forbes Radio. Have a great evening, take a deep breath, and be prepared to hit it again tomorrow.

PS- It's a Boy! 8lbs 1oz. and 20" long!

Posted by Option Addict at 7:20 PM | Permalink | Comments

Posted by Option Addict at 7:44 AM | Permalink | Comments

2/26/2007

Do You See What I See?

Here we have another stock breaking out today. It happens to be Microstrategy (MSTR). What is your analysis on this? Would this be a trade you would take? If so leave some comments on how you would trade it. I'll follow up on this later today.

Posted by Option Addict at 1:57 PM | Permalink | Comments

Taking Losses and Mondays Always Get Me Down

The watchlist I submitted on Friday is still applicable last week, and much has changed in the watchlist in the last few trading hours to warrant another watchlist yet. My vote is we let the week go by and create another list at the start of next week. Ballots are closed :)

So far I was wrong about the market rallying today, and I am paying for it so far. The day is young and so are the losses I am taking today.

What a great start to the week!

Recommendation: Wait for confirmation. On anything.

Long: MSTR, if we rally into the close.

Short: CME....Weeeeeeeeeeeeeeee!

Posted by Option Addict at 11:24 AM | Permalink | Comments

2/23/2007

Happy Friday Everyone

Amidst a wild weekend I am glad to see things coming to a close. I would shrug this price action off as it is only a short term price for wild profits ahead.

I have enjoyed reading the comments over the last couple weeks. Each comment comes to me via e-mail as it is posted, so I am always able to read what is being said. I like how the participation is ramping up, and people are not afraid to say what they want to say. For those who choose not to participate, please do not make this decision out of fear. This is not an "Investools" blog. It belongs to me. I want you to say anything that is on your mind. I love to hear peoples comments and opinions. Even when someone throws an occasional jab at me, I love it. I welcome it. Again, anything you can contribute is absolutely welcome.

Now that the market is about closed I wanted to give the watchlist in written format. Here you go...

Patterns

Triangles- MR, BLUD, CME, IBM, XLV, IYH, XLK, MRX, MGA, RHI, FIC, LOGI, FFH, HOC

Flags- AAP, WCC, PSYS, CMI, CAT,

H&S- DHI, MCO

Bounces

Support- BARE, GOOG, COL, BEN, CX

Resistance- BZH, SLM

Others- HOG, BRCM, LM

I might not have organized these in the best manner, but it is here nonetheless. A lot of this can be recycled into next week to be honest. If you'd like to add anything to this list, feel free. I was walking through last weeks list to do a before and after...not bad. Hope the same outcome happens into next week.

Recommendation: Leave a comment

Long: Metals....especially Gold, and VMC (still), despite nervousness. A great idea from last week.

Short: Subprimes....but not for long

Posted by Option Addict at 1:22 PM | Permalink | Comments

2/22/2007

Weekly Watchlist

Posted by Option Addict at 1:07 PM | Permalink | Comments

Orlando Photos

Faces For Radio

Chart School 101

In action

Here are a few pictures I managed to dig up from the conference. If you happened to click your camera while you were attending, let me know. Especially during the Marketcast on Day 2. We are looking everywhere for a photo of it. I am almost done prepping for the video today. Coming right up!

Posted by Option Addict at 11:12 AM | Permalink | Comments

2/21/2007

Forbes Article

Hey addicts, I just found out that another article I wrote was posted to Forbes.com today. I wrote a little piece on the VIX and how it acts as a contrarian indicator. If you would be interested in reading it or showing a little support, please...

CLICK HERE

Each click and all of your support is very appreciated. I am trying to get a watchlist together and will offer a video tomorrow. I got a microphone in order to get the Marketcast done today, but for those who have listened, it's not the best quality. I'll wait until tomorrow to offer a better version.

In the meantime I am getting a lesson plan together for Master Talk tonight. Hopefully I will see some of you there.

Posted by Option Addict at 4:39 PM | Permalink | Comments

A Fun Filled Weekend

We'll I made it back in one piece. It was a great conference. I hope that the individuals that didn't get the chance to go this time, will take the opportunity to go to Chicago in August. There is too much that you are missing. If you were at the conference, leave your comments about what you liked and didn't like. Please be brutally honest. I have my opinions, but I would love to hear what you had to say.

There were thousands of people there, and probably about 5 people at my presentation. On the first morning we did a live Marketcast in the breakfast area, but we were shut down by the fire marshall because we were causing a traffic jam. Speaking of which, the recording of that session was a waste. The audio equipment was horrible and the recording was barely audible. This is why you have not been able to catch it on the website. My apologies.

Then we were upgraded to the main ballroom the next morning with great audio and visual equipment, which made a much better performance. If you have any pictures of this, please let me know.

Regrets: I left my camera behind. I wanted to post pics of various participants on the blog so we get a chance to see one another. IF YOU DID TAKE PICTURES OF THE EVENT AND WOULD BE WILLING TO DONATE (ESPECIALLY THE MARKETCAST) I'LL PAY TOP DOLLAR. Second, I don't think I got an opportunity to meet everyone that was attending. I think some saw that I was uglier in person and walked away.

Anyhow, for those I was able to meet, it was a great pleasure. I had a great time talking with everyone. I hope everyone enjoyed themselves.

I am trying to get a microphone to record a blog video and the Marketcast today. My equipment is in New Mexico right now. Hopefully I find a solution soon and we can get back into the swing of things. Talk to you soon.

Posted by Option Addict at 12:34 PM | Permalink | Comments

2/16/2007

Hell Week

Happy Friday everyone. I am getting all my equiptment packed up to start heading towards Orlando. I am glad it is finally here. Too all those who will be attending, see you there. If you are not attending, don't worry....we'll be doing this again in August (Chicago).

Again, I appreciate your patience as I have not had much time this week to devote to the blog. When I get back on Wednesday I will try to get a video uploaded that will review a watchlist for next week. I will post periodically to update everyone on how the conference is going.

Have a safe weekend,

Jeff

Posted by Option Addict at 3:04 PM | Permalink | Comments

2/15/2007

Thursday

Another day of mixed results huh? Or is it just me? I am starting to scale back my trades so that I can be comfortable while away this weekend.

Speaking of which...

There have been a few requests to have a meet & greet with individuals who frequent this space in hell that we call a blog. I think the Sunday night reception would be a great place to do this, since there are no classes or agendas that need to be met. I have not seen the layout yet, but I can leave a post this Saturday night/Sunday afternoon that can give a specific location. Or you can look for a 6' foot 7" gentleman that fits the description in the upper left hand corner of this page and find him in the room we are all going to meet in.

Your call.

I will be back a little bit later, if anyone has a topic they'd like to ask about, fire away.

Recommendation: Chris & Catherine...I wouldn't bother changing your schedule to attend my class. It is a trading room format and I am discussing "Technicals for Stock Analysis." I am trying to structure this around creating a routine. They specifically wanted me to gear this towards a "newer" crowd. Beware.

Long: MICC thank goodness.

Short: Still shopping

Posted by Option Addict at 10:56 AM | Permalink | Comments

2/14/2007

MasterTalk

Hey traders. Sorry for the disappearing act. I have been preoccupied trying to get geared up for Orlando this weekend. Once I get this out of the way, it will take a lot of weight off my shoulders.

I hope everyone hit a home run in the market today. Speaking of Market....tonight I will be presenting Mastertalk (Session 2). Yes, it is Valentines day...which means I am in the dog house.

We are going to do the same exercise as last week, however this week we will talk about exits. It was a pretty dominant request.

Recommendation: Take your valentine out to dinner, don't attend the session.

Posted by Option Addict at 5:42 PM | Permalink | Comments

Happy Valentines Day!

Nice to roll into work this afternoon and see everything turning higher. Plenty of continuation and opportunity out there....so don't hesitate. Trends continue more often than reverse. If you are experiencing the fear of taking a trade, size the position smaller and pull the damn trigger!!!

On to a lighter note, happy valentines day to everyone, especially my wife. Without the love and support of this wonderful woman, I wouldn't be here doing what I love to do. Amber, thanks for everything, will you be mine?

Recommendation: Get something nice for your loved one. Calls would be my first choice. Or, cuddle up to tonights Marketcast. It will be an instant classic.

Long: Everything...in size.

Short: Time today

Posted by Option Addict at 11:04 AM | Permalink | Comments

2/13/2007

Another Day Another Dollar

I hope the majority of you captured some profits out of today's price movements. Keep an eye on the Bernanke speech tomorrow...you never know if he might want to throw a curve ball at the market.

So a long day has come to a close. I am glad that the videos are up and running. I am seriously preoccupied with getting things ready for the Orlando trip. Please bear with me. In fact, please contribute through the comments section each day. Readers post some amazing trades/set-ups there and some great interaction takes place.

I appreciate your help. Things should cool down soon.

In the meantime, I'll put something together tomorrow afternoon. Have a great day tomorrow.

Posted by Option Addict at 5:11 PM | Permalink | Comments

Watchlist Part II

Posted by Option Addict at 10:34 AM | Permalink | Comments

2/12/2007

Watchlist Part I

Posted by Option Addict at 5:28 PM | Permalink | Comments

Today's Video

The video has been created and edited as of HOURS ago. If the freaks at Revver would get their ass in gear, you would all be wathing a sub-par video on support bounces.

Click Here for the link over to YouTube in the meantime.

Posted by Option Addict at 5:18 PM | Permalink | Comments

Getting Warmed Up

All this talk about Apple really has me hungry to change the subject (in reference to all the comments being passed back and forth). Speaking of changing the subject...HAPPY MONDAY!!!!

This is going to be a great week, I can already tell. Orlando is coming up this weekend! I am really excited to mix it up with everyone. By the way....who was in charge of renting out the Presidential Suite for an Option Addict get together?

I am through about 75% of this weeks watchlist. Anyone have any success with those trades? The majority turned out really well, but one that really stood out was HNT. Not the best return from the bunch, but has reached it's target in the fastest amount of time and seems to be picking up momentum.

I'm breaking the watchlist into two videos to be distributed today and tomorrow. I'll follow with written posts as well. Keep an eye out.

Recommendation: Get tickets to Orlando

Long: Plane trip

Short: My presentation

Posted by Option Addict at 11:00 AM | Permalink | Comments

2/09/2007

Let's Compile a Trading Soundtrack

Music soothes the soul. At least for me anyway. If we created a trading soundtrack, here are a few songs that fit with today's mood....

Life Goes On- Beatles

Everybody must get stoned- Bob Dylan

Boulevard of Broken Dreams- Green Day (I actually hate this song)

Anything by Foo Fighters- Because I said

Hard Knock Life- Jay-Z

Sweet Emotion- Aerosmith

Loser- Beck

That's Just the Way It Is- Hornsby

I know you all want to add to this list. Leave a few favorites that readers can use on the way home from work, on the ride to dinner, or in the bathtub as they attempt to electrocute themselves. These days happen, and it is important that we respect their presence and make sure we are positioned and diversified properly.

PS- A comment was made about all analysts being on board for this bull market as a contrarian indicator. Point well taken! I talked briefly about this in the article I wrote for Forbes yesterday. Keep a close eye on those contrarian indicators.

Be back in a few...

Recommendation: Don't take it personal, the market doesn't have feelings.

Long: Performance enhancing drugs.

Short: SPX....nice work Sarah! Oops, almost forgot AAPL :)

Posted by Option Addict at 1:12 PM | Permalink | Comments

Finally

Posted by Option Addict at 1:09 PM | Permalink | Comments

2/08/2007

Closing Time

Dammit! My video software is acting up! My dog ate my computer! I caught a light sneeze....any excuse you can think of....insert here. It was a tremendously busy day, but I finally made it to the end. Sorry for being a flake.

The market rebounded off the daily lows pretty nicely, so I am optimistic on a slight rally tomorrow. I'll make sure to touch on the stocks requested first thing in the morning.

I watched the comments coming through the blog, even though I didn't have a chance to participate. Great stuff! Comments are the best part of this blog. I appreciate all the participation from those of you that do, and those that don't...come on in!

My day is cleared out tomorrow. I will have a video up first thing along with a few other items for you to browse through.

Thanks for all your participation and support.

Jeff

Posted by Option Addict at 5:53 PM | Permalink | Comments

Crunch Time

To make a long story very short, I am under a deadline today for another Forbes article. I have not been able to record todays video and dont have the time right now to work up a decent post. Hopefully I can get this done in a couple hours and then I will get todays video up with another written post about a relevant topic. If you have any stocks you'd like to request for todays video, leave them in the comments. Thanks everyone!

Note: Video and post will be likely added after 6pm ET

Posted by Option Addict at 12:30 PM | Permalink | Comments

2/07/2007

Mastertalk Tonight...

As promised, I will be talking about past trade set-ups. Discussing entry and exits, confirmation, and analyze end results to learn about when to take a trade and when not to. I will be in Session 2 for those attending. See you tonight.

Posted by Option Addict at 5:37 PM | Permalink | Comments

Pattern Analysis

Posted by Option Addict at 12:58 PM | Permalink | Comments

2/06/2007

Follow Up : X

I wanted to follow up on our US Steel position we took as it broke resistance at $79. It currently sits at $87 and the Mar 85's (which I might have purchased at $2.15) were last traded for $5.70. Has anyone bailed out of this trade? Perhaps I should ask instead, who is still in this trade?

Recommendation: Let Winners Run.

Long: Running Winners

Short: Winnng Runners

Posted by Option Addict at 11:28 AM | Permalink | Comments

Tuesday

Recommendation: http://youtube.com/group/optionaddict

Long: GOOG...only because they are now hosting my videos on YouTube

Short: Nothing

Posted by Option Addict at 9:35 AM | Permalink | Comments

2/05/2007

The Weekly Watchlist

I have a load of stocks for this week. Does anyone follow the performance of these each week, or keep them in a watchlist? Anyone trade them? Are these even useful? If you don't follow these stocks, try it! You might be surprised at the number of good picks here each week. No attempt to gloss myself, but this is a pretty good list each week if I do say so my damn self.

I have a good vibe from this weeks victims, so let's get on with it...

The Patterns

Ascending Triangles- USNA, PHM, HNT, ATHR

Symmetrical Triangles- EGN, CHE (Pennant), SHLM,

Descending Triangles- WEN, ODP

Flags- RESP, STJ, AIT (Bear Flag), ZMH, WFR, MICC

Others- Head & Shoulders- UNH

Bounces
CHD, ADS, AYE, BNI, MON, GROW (L.T)

Breakouts or ready to breakout...
AKAM, DECK, CVH, BBD, ACL, PCLN, SHLD, CENX, BAM, AMX

Momentum
VMC, GLDN, ETR

Many of these patterns have confirmed, or many of these set ups are ready to fire! Look a few of these up and hopefully you will find one or more that mesh with your analysis or preferences.

If adding charts were easy, I would include one on each trade. Tomorrow I will try to create a video walking through a couple of these stocks. If you have a preference on which ones, speak soon. I want to try another video format and see if there are any improvements.

See you in the morning.

Posted by Option Addict at 4:54 PM | Permalink | Comments

Sweeps Week

This week is flooded with upcoming earnings announcements. Check your trades and find out when the announcements are and protect your positions. The market will probably be all over the place so consider strong stocks for your trade basket this week.

By the way- Thanks for letting me experiment this new video idea with you guys. I am going to mix and match formats and players until I find the right solution. I know some people see a cut off screen, to small, to distorted, etc. This week will be experimentation week for me and I will fine tune this to perfection within a few days. We'll see how it goes.

In the meantime I am working on the videos, this weeks watchlist, my price patterns class tomorrow, the Marketcast RSS feed, my Orlando presentation, and another Forbes article. Too much demand too little supply.

Stay tuned for this weeks watchlist later today. I'll be glued to my computer in the meantime...

Posted by Option Addict at 11:22 AM | Permalink | Comments

2/03/2007

Look Mom! I'm on Video!

That's right...I am going to mix in some video. This is a perfect solution to infrequent and unhelpful posts. 15 minutes of recorded speech along with stock analysis will be much more helpful than incessant ramblings that sometimes take hours to write. I won't go exclusively video, but at least a daily video post. Probably about 10 minutes or so per day.

Is this a generally accepted idea I have, or does this tie up more time than just reading the blog? I'd appreciate feedback. Whatever your initial reaction is, type it and leave it as a comment. Personally I think this gives us a great avenue to get more specific about trades and follow up without tying up hours of time. Plus I can answer most of the questions via audio and take requests.

Keep in mind these videos are not instant classics....yet. I am still getting used to the technology, and trying to talk while surfing through this sea of software. Bear with me and leave feedback in the meantime please. Have a great weekend!

Posted by Option Addict at 7:49 PM | Permalink | Comments

2/02/2007

Technical Difficulties

I am having technical difficulties getting my new technology to work with blogger. I have been dicking around with this for hours and I think I am close, but no final working result yet. Check back if you have nothing better to do. I think you might like it.

Tomorrow morning I will give it another try....if you don't visit me this weekend, the info will be still be great first thing Monday morning. Have a great weekend!

Posted by Option Addict at 5:43 PM | Permalink | Comments

Friday

Enough market related garbage for a minute. Let's focus on the big news, which is the Colts victory in this weekends Superbowl! Just kidding Bears fans. I'm actually neutral on the outcome. I can only hope it's a good game, that of course would be a great change of pace.

I want to try something new today. I am going to need your help, again. I need a couple stocks that you would like to see analyzed. I am going to try a new tool today.

Excited??? Me neither.

Posted by Option Addict at 10:29 AM | Permalink | Comments

2/01/2007

So Much For a Counter-Fed Rally!

It is a little early to write it off, but I got a lot of questions about this over e-mail. After a Fed announcement sparks a big trend intra-day like we saw yesterday, it is common to see profits bleed off through the next trading day. The market is posting slight gains thus far which means... so much for history repeating itself.

Speaking of history repeating itself, I have a busy day today and need your help to get things rolling today. I have a deadline for an article that needs to be met by this afternoon. I am going to be occupied until I get that finished. In the meantime, let's get some use out of the comments feature below this article. Click on it and leave a comment, joke, personal story, picture, donation, personal attack, death threat, etc. Hopefully we can get some open dialogue here until I have a moment to offer a post. Thanks for your help....

Posted by Option Addict at 11:50 AM | Permalink | Comments

Hi. My name is Jeff. I'm an option addict.