New Activity Idea

For this activity I am going to need a few volunteers. After talking with Tim, he suggested that we have an interactive activity to discuss exits. Here is what I want to do...

Had a bad exit in the past? (for this I only want historical examples, not 500 e-mails asking when is the best time to exit a trade that someone happens to be in) If you want to participate, e-mail me a chart showing a trade you took. While you are in Prophetcharts, mark where you entered and where you exited this trade. After you have provided the details, go to "chart setting" and click on "mail chart." Make sure it is addressed to me, and I will create a post with several of these charts. I would prefer the deadline to be about noon (my time) tomorrow. This will give me time to get a good post wrapped around it. I will provide my opinions, and you can feel free to add yours.

With all the comments about entry and exits recently, I think this might be a great way to fine tune your skills.

Recommendation: Get er done!


Short: AHM, STX

I love this idea and as much as you do not like or use stops I would like a bit of discussion on the mechanics as some use stops/exits on option price, others on the stock, contingent stops...
Would be nice to see what has worked for others. I use TOS to estimate option value at the stock exit and use ATR to ensure will not be bounced out.
Thanks for doing this Jeff.
I am looking at that CHK over earning idea thrown out there and so far it is looking good to me but again I am new.

Been in Jan '08 itm calls on CHK for a while. In due to fundamentals and significant buying by the CEO.
I've ridden out some rough times with it. $34 was a significant res. pt. It has broken through with vol. and could see $37 near term with $40 as a reach.
Earnings tomorrow and we'll see after that.

Bob, my man. I see you have passed the denial stage and admitted that Pam is there, too. Atta boy!!! Now your trading will improve dramatically.

Jeff I left my trading journal at home so I can't contribute to this amazing idea. Because I hit the denial stage so quickly when I'm in a bad trade, I very rarely remember any of the details. I just push the "eject" button and move on to the next PCAR/CMG. Of course I'm in denial about CMG. I sold it the day before earnings.

By the way, I did an interesting thing with TSO. I sold it yesterday for a 250% gain, but the movement was so strong on it that I bought 3 OTM May calls for cheap, cheap, cheap and am willing to sacrafice the whole enchilada (hoping that using phrases CMG would find favourable will help bring about CMG-like results.) We will see how this works out. I will sell after earnings regardless, as we're only two weeks out from expiry. I know I'll lose some money on volatility, but I did this as a "case history" for all of us to learn from. Keep your fingers crossed. I'll let you know how it goes.

Post a Comment

About me

  • I'm Option Addict
  • From Saratoga Springs, Utah, United States
  • I am a professional trader and an instructor for Investools. I've had relations with the markets for 9 years. Born in Concord, CA, but reside in Saratoga Springs, Utah. Father of THREE, Husband of one.
My profile

Prescriptions Here!

Other stuff

Blogarama - 
The Blog Directory
Directory of 
Finance/Business Blogs Finance 
blogs Top Blogs Finance Blogs - BlogCatalog Blog Directory