Jeff..

Just do it...and at your pace buddy..

X - just finished refueling at the russian space station, now looking to head higher. :)

X

For what it's worth, I too apologize for my absense as well the past several weeks. My reasons are vacation and work related.

Today, I am in and out of interviews all day. I have to replace a staff accountant. I know it sounds real exciting. I find interviewing prospective emplyees quite entertaining. Not nearly as entertaining as this blog though.

Hopefully my time to contribute more will not be far away... hopefully.

If I don't find time, have a great weekend!

Thanks for the post, Jeff. You we're here for you, too. Wish I could meet you guys in Chicago.

Thoughts on PFCB, anyone? It looks like I might have to exit by end of day. I hate to go but it is pushing past the high I used for my entrance and I've got to manage my risk. Would love to hear from anyone else.

The Presidential Suite sounds SWEET, however, CMG has been very, very, good to me and since I don't know where one is in Oregon, I feel I need to give a little back... I'm torn.

Please forgive me if a recent poll has been taken on who is going to Chicago. But, who is going to Chicago? When are you coming and going and is everyone staying at the Hyatt Regency McCormick Place Hotel?

I have to go grill someone now.

Have a great ending to a great week.

Randall and Michelle...

GOOG..my new line in the sand is a close below yesterdays close, about $498..If it hits $510, I'm gonna take some contracts off the table and bank the profits...

If your looking for a bearish trade, take a peek at USNA. It has really broken down with a lot of volume since March and continues today.

MikeH

Tim,

I entered on 5/9 around $40. It is currently outside my trendline by all of today’s volume which no longer makes it borderline for me. However, the trend is still in tact and today’s volume is less than impressive. I will think about this one but based on my entry analysis, I am looking to jump ship this afternoon with an extremely small loss.

Now I'm really off to the interview, honest.

Jeff

I love you man.....!!!

(thank god I have not hit my stock of Yuengling yet..whew!!!)

Mike H...

Take a look at USNA on the 5 yr chart...

Jeff-

MICC-an ascending triangle with a 17 point target in the next 4 months or so? Am I reading that correctly? If so, very nice. Today was a very nice move as well!

Tim-
I was wondering about PFCB as well. It's awfully close for me. It has gone a few times out of it's channel in the past only to go back in there and continue going down. If I draw with a nice thick children's crayon, I'd stay in and wait for another day of weakness. But... well, I don't know what else to say.

liz
pasadena, ca

Thanks John and Liz. I entered PFCB just recently at the recent high. I too have a trendline drawn and it has popped outside it today. Not good. The thing I don't like about it is I can't find any good solid horizontal resistance around where it is right now. It's all based on the diagonal channel, which has been pretty consistent.

If it will show some weakness and even get down around the recent high (39.33) I will consider staying in. Maybe my crayon can be that thick! I hear you, Liz. It's getting weaker right now (39.44). We'll see.

I hate this close calls, but I guess it's better than the alternative of gapping up 10% or something!

I'm in Chicago (western suburb actually. Looking forward to meeting everyone. If anyone has any Chicago related questions, sbahav@comcast.net).

Love the Blog and the Video(s). Let's not forget those.

Overall another great week.

Out of June options with profit on: MLM, X, MUR

Sold 2/3 for profit with small Jun positions in: SBS, ZRAN

Long: BNI, CLB, COL, EXM, IIG (ouch), ISIL, TK

Short: AIV (ouch), CKFR, HNI, PAY

I try to keep in mind for myself as the DOW hits all-time highs, I don't need to be killing it at this point, I just need to consistantly be taking profits. The big hits will come, if I continue to trade the patterns with in the trends.

Have a great weekend.

Thank you Jeff and other addicts!

PENN apparantly caught in X's wake...

Nice breakout on ARRS yesterday.

Why is everyone soooo skittish about GOOG?

Did ANYONE pick a target? Did ANYONE pick an exit?

I see a target over $40 points away. I see POTENTIAL resistance at $510. I see a POTENTIAL flag setting up for another move higher.

What do you guys see? Either stop being so darned afraid or trade something less expensive or volatile.

This is intended to be tough love.

Tim-

I have a horizontal support/resistance line drawn right around where it is. I changed the prophet charts setting to line and then drew a resistance line from about a year back. It's above the line right now but not inconsistent to the channels it likes to make. Hope that helps you as well.

liz
pasadena, ca

Look at GROW. It is a very nice support bounce.

I went long GOOG in april with June options....back then looking for a $40 move...keeping a tight stop now..

I am not in GOOG but to the people exiting GOOG. Write in your journal what you saw, why you exited, what where your thoughts at the time, anything that comes to mind on the exit. Then keep following GOOG don't throw it away and look for another name. Follow what happened, if it goes higher and you feel like crap analyze why you bailed in the first place.
Stay with it because it can go higher.

Sometimes the best ideas are the ones you already own.

Jeff, thanks for joining the MICC summer party.

Jamie

Bob, I had actually already checked USNA on the 5 year. I'm reading the short term chart as USNA breaking out of a small channel. This plus the volume plus the current bad news has me believing this is going lower so I'm anticipating further breaks of the 5 year support lines. I'm okay with the risk at this point.

MikeH

Anyone have any perspective on GS? I've been holding since 9 May and I know JK has it on his Marketcast list this week. It just doesn't seem to be as strong as it has been, momentum seems to be lagging and earning are approaching on 14 June...would that be an impact two weeks away? Or would the AG Edwards buyout have anything to do with the slowdown the past two days?

And Brett..."Tough Love" is the best Love...ain't you sweet! I Don't have any GOOG, although appreciate your directness.

Thanks all.

Thanks, Liz. and PFCB continues to float lower. Let's hope it keeps this up and makes the decision an easy one.

My longer time options that I have I will let run...but my Junes I am keeping a tight rein on..

GROW, support bounce? I don't see the pattern. I see it trending downward, no?

Bob-

With you on that! Tight rein with a small whip to make those calls go higher and those puts go lower.

liz
pasadena, ca

Back out on GROW and put it in your "Symmetrical Triangle" watchlist. it's setting up to be a monster.

Brett is like a military sniper, an eagle scout perhaps,lurking, waiting....patiently...then..

WHAM !!! Out pops GROW....

Gotta love it...

Ladies and gentleman, keep your arms and legs, all appendages please, inside the X vehicle at all times..

Put GRMN on your radar....damn....missed this one..

Jeff, you certainly don't need to apologize for anything. You're blog and the community you have built are fantastic. I don't know what your future holds but I'm sure you will excel at whatever you do.

FYI, BNVI - seems to have some activity today. I've been sitting on an order since it was mentioned on the Marketcast a couple of months ago. I went ahead an bought some shares today.

PFCB has dropped back down below my resistance line. I love it when the decisions are easy.
I have been lurking in the background and learning lots from you all.
Life is good! Have a great weekend!

Bob (Raimo),

I can tell you don't like X very much...why don't you tell us how you really feel!!! >:-O

Thanks for the warnings, I've been strapped-in and hanging on for dear life...and yeah baby, what a ride!

Long: AMG, DECK, SUN, TK, TSO, VIP, X
Short: PAY (got hammered by all of my others!)

Just wanted to say a second time to everyone thanks for your appreciation of my little computer creation. I was out yesterday and missed all of your amazing comments. (I cant wait until I can focus completely on just trading again).Please dont think I dissed you because I didnt respond at that time. Anyone who wants info how I put it the setup together email me at susan@avatarcourseinfo.com. Hope you all have a great weekend, now back to your regularly scheduled market program....

Hi everyone,

Just wanted to mention that I think ALK has broke a bear flag today. Also, the Airline Index ($XAL) is falling from a resistance on confirmation of a dragonfly doji yesterday. Hope everyone has a great weekend.

Stephen

I hear you Chip, most my puts are hanging on by a hair. "Afterall, it is a bull market."

Amy, I hear you as well on the PTCB decision made easy. Although it was outside my trendline earlier, I was probably going to give it more time because the trend is still in tact and I am looking for a definitive close outside that line.

I think X has gone up to fast too much today, my cheeks are wrapped around to the back of my head..

:)

For the bears in the crowd...

DKS

LYO

Had a great week here with everyone. Have a safe and happy Wkd everyone.

cheers Brett.....

Long JKB

Short, yup, my hair..

To close out this absolutely phenomenal week, thank you all again for the kind words. Now let's forget about me and start focusing on the next blog member to go pro. Maybe we should have a reality show. Jeff, there's an idea you haven't thought of yet!!!

Have a great weekend everyone, can't wait until Monday.

Have a yuenglin? for me as I will toast with a Corona

ps you can drink bud now as that thing took off the wrong way

luckily I stayed with AMX I bought 60 calls for 25c and sold them for 2.55 and then I bought more July's to let the winner run

Jeff you are the man. I say that we have an option addict retreat somewhere one of these days, what say you Jeff?

PFCB wtchers. I am in the same boat as you all. I watched closey throughout the day. I am not seasoned enough to even presume what it will do tommorow, or going forward. However, it certainly looks like it ran out of gas today on weakening voloume.

Jeff,
This forum is awesome! It seems like you may have an iron in the fire or 2. Blogging, Marketcast, Teaching, Tech Support for Masters Talk, Helping everyone who asks, need we say more? I have avoided all blogs until now and you know how much I like to type! Keep the faith, onward and upward, Having fun all the way. KUDOS

Susan,
Phenom Gear set up, I am a bit envious! Trade on!

Cheers,
Arnold

PS The Presidential Suite or Chipolte? I think a party at Strat's is in order %)

A retreat...that sounds great...

I offer up Stone Mountain Whitetail Lodge (well, that is what it is called, its really a house) free of charge..not much to do other than fish, hunt, ride 4 wheelers, shoot guns (yes I have lot of them) hike, camp, or just sit back and relax..guess you gotta like the outdoors...LOL

I'll even supply the Yuengling...

This sounds like a blast. Unfortunately as of right now i won't be in Chicago :(

Addict-O-Meter is another 10 for the week & things to do in Chicago.

Being a transplanted Chicagoan who visits frequently and who will be attending the Investools Chicago extraveganza I offer the following suggestions for entertainment:

Long:
1. Take in a ball game at Wrigley Field. Cubs vs Cardinals (2nd best rivalry in baseball and in town all weekend)
2. Chicago Chop House - one of the top ten steak houses in the country - can't wait!
3. Wendella Boats - twilight boat ride on the Chicago canal through the city - awesome
4. Blues bars on the Northside for some after hours drinks and the best blues music
5. Take in the 94th floor observation deck in the John Hancock Tower. Much better view of the city/lake front than Sears Tower.

More suggestions later.

Everyone have a great weekend!

Steve K.

I went to the Orlando Conference and that was pretty cool. It sounds like it's going to be a lot of fun in Chicago. I wish I could be there.

Have a great weekend everybody. Talk to you all on Monday.

liz
pasadena, ca

WOW !!!!
In Atlanta to see Stacy teach the adv options class, just back to my room, check my acct, and I can eat steak for dinner tonight (and even get desert).....what a pleasant surprise, just about everything went in the correct direction...I did watch THE SECRET last night...I guess all that thinking last night and this morning really did "attract"....i know what i'll be doing tonight and tomorrow, and the day after.....

I did miss the move on MICC (dang it)....I DIDN'T HAVE MUCH $$ LEFT ANYWAYS

LONG:
BNI (2 POSITIONS)
DECK
FCX (june exp)
ISRG (june exp)
MUR (june exp)
NIHD (june exp)
X (2 POSITIONS)
APA
DRYS
SLB
PCU (june exp)
DE (june exp)
MLM (june exp)
VIP
VLO
BEAV
ORBC (small stock pos from the very first time Jeff and Eric talked about it, I figured with the industry group, it was bound to jump up sooner or later)

SHORT:
LOVE FOR AVB !!
AND FREE MONEY...I'LL PROBABLY CLOSE OUT MOST OF THESE JUNE TRADES EARLY NEXT WEEK

Hope everyone has a safe and wonderfull weekend...

Oh and Chicago.....myself and my study/trading partner (JIM) will be there...I have nver been to Chicago but it looks like fun.
I get interns from ICO every 16 weeks and they all talk highly of it....can't wait !!!

I sold my X July 110 options today when it hit 10. I suppose that I should not feel disappointed since I only purchased them on 5/23 at 5.40 and I know the most important rule is not to lose money...but...at what point do we take profits off of the table. Or is it best to use stop losses for everything. I thought that it was having wide price movements throughout the day and did not want to give back half of my profit in a bad day. Any thoughts? Thanks.

hi everyone- new to the blog, love it. thank you jeff. we were listening to the marketcast when eric referenced your blog, bowling, utube, then we found you. we've never visited a blog before. new to computers also. we have learned so much in these last few months, thank you for helping us.
wisconsin

Henry--

You can't be scared of losing profits. You have to give back some to get more. You certainly don't want to give all the profits back, but X doesn't want to go lower, so why not tighten up your imaginary stop to lock in some gains and partake in the upside movements. Why would you want to get ride of a winner? That is what you do with losers. Another option is to sell half of your contracts and let the others run. These are all decisions that need to be made before you get into the trade to eliminate emotion. Lastly stop losses are not the answer. They are great for an emergency, but generally do more harm than good. Hope this helps.

Nathan...

I agree....well said.

And how sad is this. It is Saturday morning, markets closed. and what I am doing?

This blog is addictive...

Hi All,

I need a little help. I just finished reviewing the blog on all the archives on exits. As I said before this is a key area I am trying to work on. After going over these I have a couple of questions. IF you have already answered these in the blog and I hve missed it please just point me to where I can find it. I don't mean to be redundant.

1) In a price pattern you hold until the trade hits its target or has pattern failure. Do you ever use the ATR method to lock in profits on the way to the target or is it all or none?

2) In support bounces you had written that you would stay in until the trend is broken. DO you use the 3% below trend line as a valid break? Or is there another way to determine if the break is real?


The reason I ask this is on a stock like X on 5/24 it had closed below the trend line I had drawn on increased volume. Yet I don't think that many on the blog exited then. Can you please help me to
understand this point.

3) In support bounces when you have a large profit is it mainly the ATR method you use to lock in the profits? Or the method of the close below the previous 1-2 day candle lows?

If any one can shed some insight I would be so very grateful.

Anu

It is a beautiful day today. I just wanted to check if anybody added anything today.

Checking the blog on Saturday....guilty as charged.
Hope everyone is having fun on the weekend

Jamie

Hi Anu,

Its a lovely, hot day is Arizona. I will give you my thoughts on exit.

Your questions seem a bit mechanical to me. That is, you never know what a stock is going to do, every day is different in some way, thus be basic and flexible in your approach.

I look for a change in the underlying trend, not one day, but a series of lower highs and lower lows when in an uptrend. I can not begin to tell you about the money I have lost by exiting when a stock headed back to support and I thought it was over, yet two days later it rocketed back up.

Remember that trend lines are always subjective and breaks will happen many times as support/ resistance is tested. I had forgotten (or my emotions blocked that info) many times. However this blog has helped me change my behavior.

Patience is the operative word and I am still learning to sit and earn.

I used to use the ATR to measure a hard stop, but I try not to use them unless I will be away from my computer for a significant time.

However, in the end it is up to you, are you happy with your profit, do you have a better use for your funds or are you staring at the daily price fluctuations too much.

I hope this helps a bit.

Happy Saturday,
(yes I am an Option Addict)

Glenn

Henry,

As many of us here will attest, using Stops (mechanical/electronic stops) are not the answer unless you have no other choice, i.e., you can’t check during the day or will be away as Glenn states above.

Yes, it is hard to watch ‘unrealized’ profits evaporate; although I’ve watched the ‘unrealized’ profits evaporate only to come roaring back within the same or next day. Intraday volatility can be difficult to watch and if you are uncomfortable watching, then maybe check only periodically throughout the day and not watch all day. It can be enough to drive you insane. The way to protect yourself is to establish whatever rules YOU are comfortable with and no one else’s rules because those are the ones you have to live with if you are going to trade.

Those rules can be everything from how you allow an underlying stock to rise and fall, to how much you watch during the day, to how much you put into play and of course how you enter and exit, including when you enter and exit, e.g., at the end of the trading day (last hour or so, which is what many of us have learned to do).

I’m definitely still in the learning mode, although have learned a lot from my own experience of losing and gaining. I’m getting better, although am not a Jeff Kohler and am not ready to trade full-time like Brett…I wish I was, I wish I was, I wish I was !!!

You will hopefully learn from your trade with X. It is likely, although not for certain that it will continue to go up. No one knows now, but we all will when it finally does break down. In the meantime, continue to watch it, to see what it does, make notes and learn from what happened when you got out, to when it finally breaks down. Keeping a journal of all of your trades and what they did and what you did will be of enormous value to you as you grow.

If I use my own experience in X, I’m still in July contracts, I’ve made almost 100% profit, which is great, although if it keeps going up, I’ll make more. If it goes down, will I make 50 or 80%, maybe, but that’s better than where I started. I’ll be waiting for a breakdown of the trend. I have a trend-line drawn and use that to determine whether it’s time to exit or stay in the game; I still have plenty of time. A couple of days ago, by the end of the day it was only up $0.08, was I even a little concerned? A 'little' AND I was aware and was watching to see what it would do the next day and after. I will continue to watch it, although am letting this and others run in this BULL “Market of Stocks” (to quote Jeff Kohler and others) to make as much as I can, while I can. Depending on what the stock is, I may have both trend and support/resistance lines drawn. Use what appears to work or are needed for that underlying stock

The two things I’ve really learned in my trading so far, I’ll give this Blog, its community and JK partial credit, are PATIENCE and DISCIPLINE. You have to be 'patient' to allow things to develop and 'disciplined' to act when you should act and not to allow emotion to set in and cloud your analysis of the stock. Yes, sometimes easier said than done, although take your time, don’t rush things and definitely learn as you go. Some say, Eric Utley is one, that if you are that concerned about losing, then your position size is too big, so it may be beneficial to take smaller position sizes.

Hope that helps, for me it ‘has’ gotten easier over time, give yourself the same opportunity and don’t push things and don’t beat yourself up over a past trade, it’s one of many more to come; go out, find another and do better the next time!

Chip...and others, thank you for the great information in your comments. As I read the things shared on Jeff's site I am learning so much. Jeff's blog is great and so are all of the informative comments everyone takes time to publish. Thanks.

Jeff Kohler and others have said for a long time, it’s not so much a “Stock Market”, as it is a “Market of Stocks”.

I’d like to publicly acknowledge Chris (and Catherine) for his post on a fairly good down day, May 24, 2007, where the above statement that I’ve heard many times sunk in and I finally ‘got it’. His quotes below may help others on those days when things don’t seem to be going your way, so you might want to use the following all of the time, not just on those big down days in the market:

“Remember, our stocks are not the stock market. It really doesn't matter what the market's doing... it's what your stocks are doing. If your stock breaks its trend and falls through support... ditch it.”

“Slowly but surely it is sinking into my psychy that I must just look at each stock as an individual (much like I do with my girls) and assess them on their own merits, regardless of the market.”

“We're now into the final hour of the day. Time to assess the ones that we're going to ditch.” “Other than that... despite a bit of a pounding, I'm sticking with them that brung me to the dance.”

Thanks Chris!

Brett,
Lighten up, Dude. I am one of the ones that played GOOG. I saw resistance around 500 and that was my exit. If it goes to the moon, great, but not all of us are experienced traders.

Bob,
There is some news on GOOG Friday, that could send GOOG higher or push it down some. I took my profits and, yes, feel good about it. If I see it holding 500, I'll get back in. I have no problem taking some money and paying $10 to get back in. It is a volatile stock, so sometimes (I think) you have to be careful and take what you can get.

Brett,
I know you are trying to help us, but sometimes your tough love is kind of harsh.

Michelle

Henry,
I have learned many lessons over the 5 months I've been on this blog and one of the easiest and most important is you've got to let the winners run. Until they break their pattern (or trend) you cannot give up on them. The minute they break the pattern, toss them to the wind. You are going to pick more losers than winners and the ONLY way to make money is to make sure your winners win by more than your losers lose by (does that make sense... let me see... "winning winners, losing losers..." Hmmmm. Yah I think that's right.)

I had June PCP options and got out of them while it's pulling back a bit. Another couple of days and I'll be back in it as it's still in an incredible trend.

PFCB I was going to hang in anyway, as I didn't see it breaking it's trendline (although it was awfully close.) The way it ended the day, though, cemented it for me. A great entry point if you're not already in.

I see AVB heade down again. I managed to bail right at the apex of that jump, thanks to being airborn all of Thursday. Sigh.

Bob R. We'll be there. Sounds like a great place. Right up our alley too, and if we could rustle us up some addicts and have a retreat... all the better. And with a name like Stone Mountain, should we have some POT on tap? I just noticed that after the split the options are quite affordable (sort of like munchies... cheap but necessary.)

Tonya, I envy you. Was it awesome taking Stacy's class? We attended her seminar in Orlando and it was the tip of an iceburg I'd like to tow back to our pool and play with. We have to take the advanced options class but being out in the middle of nowhere (Toronto) we never get anything coming to us, we have to pack our bags and head south.

Chip, I'm glad the comments helped... I wish I could remember where those comments all came from originally. I'm like a mother bird... I just read... digest... barf it back up. Not terribly original, but like you, sometimes something hits and even though you've heard it a hundred times before, this particular time is an "AHA!!" moment.

C & C,
I read your comments regarding PCP and you getting out of the June's. I thought that that sort of contradicted your first paragraph? Just a friendly observation. Keep on posting all (each comment allows me to internalize the epxeriences you all go through)
Ladd

Chris,

Yes, I agree, we've probably all heard the same stuff over and over, while each time it's said in such a way that it's a little different and then strikes a chord 'just right'!

What I wrote to Henry, et al, above is of the same sort, heard it all before and providing it back out there for others to take in...

Oh yeah, I guess I'll have to think of myself "like a mother bird... I just read... digest... barf it back up". Thanks for the graphic representation...that really drives the point home! You're hilarious! :-P

Ladd,
As I would tell my kids... "this is a case of 'do as I say, not as I do.'" Actually that's not true. If it weren't for the fact that I had June options I never would have sold PCP. The only reason I did, was that the famous "icecube" melts at it's fastest rate in the last month of the contract. One of the things I learned very quickly is that you've got to get pretty good returns on the stock in the last month, just to keep up with the time premium being lost. Originally I would hang on to my options until the week before expirey. Then I realized just how much it was costing me in lost profits. Now I (almost) ALWAYS sell once I'm within 3 weeks of expirey and usually I sell as soon as the previous month's contracts are expiring.

Now that I've sold PCP, I'm going to hold off re-entering it, just because I want to wait for a good entry point. Entry points are what I consider the key to making money. If you enter right at the bounce, it's easy to get out quickly if the "bounce" turns into an "anti-bounce."

Hope this explains the apparent contradiction.

It's a gorgeous day outside! What are you all doing in here on a Sunday? Addict that I am, I logged in here trolling for some bullish trades to enter to start off the week, not expecting anybody else to have posted today. Or yesterday.

Everything on my watch list(s) is either extended and too late or not quite there yet. I'm considering EXM, FDG, AIG,RESP (nice pattern but the low volume is a concern), & one of either RS, STLD or CHAP as well.

If anyone has an 'at the gate' bullish trade they want to share, I'd happily offer my .02 worth of analysis.

C & C.
I have PCP as well, I have held this position for some time, so now I am deep in the money with no real concern for time (ice cube).
Thanks for your reply.
Ladd

Come on Michelle!

You know I never mean to offend ANYONE here. I want everyone here to be successful. Occasionally I get emails from people on the blog telling me I was too harsh, but there's a much greater number of people telling me they appreciate the directness. It's just the way I roll and, quite frankly, you need it. I needed it.

Everyone here has different goals, but my comments are aimed solely at those who aspire to be great at trading. If that's not you, please enjoy my ridiculous posts (if you can) and filter out the other stuff. But there are no 'born traders'. You need a mentor and a coach (multiple is better), and you can't expect to be coddled. I fought tooth and nail to get where I am now and I know what it takes to get here. If you tiptoe through this jungle you're going to get blown to bits. You need to march through it with a machete on your back and guns blazing. You need to stare wild animals down and not blink. It's the eye of the tiger. It's the thrill of the fight. It's a really dumb song, isn't it?

Anyway, I apolgize for offending you, but it might happen again so please understand that I'm still on your team.

My credo:

I was an option addict born and an option addict bred and when i die i'll be an option addict dead.

or maybe that was some college football team. Anyway, I have to go now, but i'll be here in the morning to assault the threads once again.

Word.

Not to break up the weekend thread with a completly new topic (I am sitting by the pool reading this instead of a book, not too bad).

I just realized I am in a bit of a pickle and I thought I would see what the options addicts community might suggest.

I am going out of the country the first 2 weeks of July to some places that may not have relaible internet connections and besides I will be on vacation.

In my excitement to contiue to partcipate in the Bull market I enetered into some July and some October positions. I realized today I will not be able to monitor them.

I know I ultimately have to make my own decision but I was just looking for some ideas.....and this is a group that is not short on ideas.

I am using currently using contingent stops for my options based on stock price.

So I approach you option addicts humbly, be easy on me.

What say you?

Cheers

ababar,

There will probably be as many opinions as people on this blog, although for me, if I was going to be out and have little access for two weeks, I would close all of my positions and sit in cash. You still get a return and no risk. Upon your return, look for new opportunities and go to town!

Another option, which I probably would not do, would be to set catastrophic stops and hope for the best upon your return. In my opinion, that is really not a viable option, although you could possibly pull it off for some positions.

You have to consider the market and each stock could do all kinds of things during that time and without access for 2 weeks, it could kill you.

Something to think about...good luck and let us know what you choose to do...

thanks Chip for jumpong on....and for clarification what catostrophic in what vein? Tight or loose?

Cheers

ababar,

Catastrophic is whatever you deem will save some of your premium/capital if the entire market were to drop, e.g., 500 points. It would get you out with something. For me, that would be very loose. But again, I personally would not do that unless I were willing to risk it...and right now, being gone 2 weeks, I can't say I would.

I know I would enjoy my time away much more if I didn't have to worry about anything. I would close all of my positions attempting to either make a little, break even or lose a small amount, then come back and start fresh.

Hope that helps.

Brett,
No problem. I wasn't offended. Just saying that some of us newbies get out a little sooner because we don't have the confidence yet. I've been burned on GOOG before. It took some courage just to play it when I realized it was a good play. So though we may not have our emotions under control, yet, we are trying. Remember where you were two years ago.
Thanks for all the posts and ideas. I learn a lot from you. I think of you as a bigger brother (trader). I was just being honest with you, too. Keep the posts coming, and thanks for just being you.

Happy trading,
Michelle

Speaking of your opinion, Brett, what do you think CME is doing?
Still lower highs and lower lows is what I see.


Michelle

I see that CME formed a higher low....
Ladd

And is it on it's way to forming a higher high..(CME)
Ladd

Michelle,

I was burned by GOOG before too, but only because I was sized improperly. The truth is, it's a perfect stock to trade if it's not too big a part of your portfolio because it moves so much. I'm up about 100% on the trade in less than a week, and the resistance at $510 hasn't even been smashed yet.

As for CME, I don't like this situation at all. I took a profit on the trade and have been on the sidelines since the big announcement because I think the love-triangle situation is totally unresolved.

To all,

Since I am here my two cents on stops, exits, and position size.

I feel I can comment on this by virtue of the fact I have been such a horrible trader over the last decade. Typical buy and hold too long! Or get out too soon.

Good news, thanks to many I have recently experienced a turnaround and something I thought I would share.. It is only one example but it has been a great lesson.

I jumped into SNHY when it was only just starting out and was trading on a low avg daily volume. Because of my rules I decided to enter with a reduced position size (Eric Utley if you are listening you helped me with this and you didn't even know).

I also took a trade on X a few weeks later with a much bigger postion size...and in options to boot.

With SNHY I was able to run with a liberal trailing stop and took big profits when I finally did stop out. Physcologically it was easy to let SNHY run. (I am still watching for re-entry)

With X I had a liberal stop but it dipped a little in the first couple of days and sold all but 1 contract right out of the gates. Physcologically, I broke. I panicked.

Why??? - position size.

That was my lesson, that is how I felt, I acted on my emotion because my position size was more than I could handle.

It is my desire to remove the emotion from my trades moving forward so I can be a better trader but I am just not there yet.

I hope this makes sense and believe it or not both trades were still fun! (SNHY was funner)

Thanks, Brett.
You don't see resistance at 500 on GOOG? What about the news that they had Friday. They bought somebody or something?

I will watch it, of course. I took a good profit. Hopefully, next time I play it, I'll have a bit more .... I don't know the word. Yeah, I have been positioned sized okay. I think I could have actually had more contracts, but it made me nervous, so I just had two. Hey, I saved the big bucks for you guys (laughter.) Gonna call it a night. Had three sick babies this week and excited about sleeping through the night tonight. See you guys tomorrow. Brett, do you have kids?

Randall and Michelle

Yep, Ladd,
I do see higher lows, too. Missed that. But since I got burned last month, I will wait til this acquisition stuff is done before I play it again.


Randall and Michelle

Okay, Okay. I am going to bed here soon. Brett, switch to a line chart and see if it looks like 500 resistance to you.



Michelle

Michelle,

I switched to a line chart and I don't see the major resistance at $500. As I said, the prior highs around $510 are what I'm looking at. But that's okay, maybe you see it and I don't. However, if there's resistance at $500, you'd be in pretty good shape since the stock is at $500 right now, right? Also, I never assume that resistance has to hold. resistance creates a lot of fuel for a move higher.

Also, I'm going to try and be very careful how I word this, so let me preface this by saying that I'm not being rude or condescending or anything like that. Off the record, I actually commend you trading CME and GOOG because it takes a lot of guts and they move like crazy. But it's harder to get a feel for trading when you're not totally comfortable or trading something that scares you. Intraday moves can be fierce and wreak havoc on your discipline.

Just my opinion. Nothing more and nothing less.

Yes, I have kids: 2 boys (3 1/2 and 1).

The oldest pulled the old "Daddy, what does this button do?" to me when he turned off my computer 5 minutes to the close one day. He's no longer allowed to visit Daddy at work without Mommy's supervision.

Sunday eve (9pm)....I have finally unpacked from Atlanta....I think I was slacking simply b/c I didn't want to do laundry and as I was throwing my clothes out of the siutcase, my husband came behind me, picked them up, and turned on the washer.....God I love him !!!

C2....Atlanta (stacy) was beyond excellent !!! I love her energy !! My study/trading partner (Jim) says she does kung fu with her hands when she talks.....I never noticed til he pointed it out, I guess b/c I myself am a little animated at times.....Toronto is a ways to travel, but we do have a friend who came all the way from Portland OR, which if i remember correctly, is a little farther from Atlanta than Toronto ;) Just picking buddy....but really it was great....she was the insructor of the very first class i ever took (5 step investing) and i swear i may not of signed up for the whole program if it was taught by anybody else (except Jeff of coures)

Bob....I want to come visit !!! I used to ride motorcross, until "they" started developing all the land...now there is no place to ride...I had to trade my bike in for a jet ski, then when i found out i was pregnat i sold the jet ski....now i am bored !!! I will come ride 4 wheelers at your house...okay??

Steve K......any suggestions on where i should stay when in chicago ?? Just tried to reserve my room at the Mc cormick and all rooms are booked !!!! Holy Smokes, that place is huge....must be all the people going to see Jeff...most of the alternatives seem to be about 4 miles away...any ideas would be appreciated

Brett....my son who is 9 months today, did the exact same thing to me a few weeks ago during mastertalk.....but he didn't even ask (he can't talk yet) he just went for the pretty blue button and pushed it !!!

Brett,
I agree with you that they are scary. I love to watch the movement and study them. I try to be cautious and play small and, yes, get out earlier probably than I should. But it still gives me a chance to work on that emotion thing. Thanks for sharing your thoughts. I thought you did that rather diplomatically.

I have a 5, 3 and almost 2 year old. They are joys. Can't imagine life without them.

Said I was going to bed early. Does 9:30 still qualify as early? We are looking to sell our house and downsize so we'll have more money to invest in our futures (rental properties).

Michelle

Michelle....looks like someone heard your wish and put average volume back on the corp snapshot.

yes, i know i need to go to bed (it is already tomorrow) BUT i have to share one more thing...
i am already in BNI and added the other day, but now with these tired and blury eyes i see a huge ascending triangle with resistance at $95 (guess i should have waited before adding)...the good news is the target is around $15.
i swear i did not notice it before.
well Brett if you have any hocus pocus tricks for BNI, go for it and i'll eat a burito for you (even though i hate buritos, yucky and messy...plus...well you know what beans do), deal ??

Tonya,

I took BNI on the symmetrical triangle break, held through the perfect retest, and i really like this ascending triangle setup. if it pops through i'm probably going to add more. i love the target and it's a great stock. plus, i could be crazy, but i believe the century mark is right around the corner.

time to grab the WM and get to my desk.

Brett,

On the tough love situation...I took no offense, but next time I want a kiss first, LOL !!!

I am still in GOOG, I see no reason to exit if you have time, but I have a noose around my junes.....

It's interesting how 3 different people see the same trade 3 different ways. I took the BNI trade a few days ago on the bounce off support (Brett's perfect retest) and may add it to another account if it breaks through the asc. tri. resistance. My target is 105 but I'm not sure if that is too optimistic. I'm never sure how to count gaps when figuring a target. Thoughts?

BNI

I took BNI on 5/16, excpecting a run to around $99 or so. I may upgrade my target to $103 if it breaks out of this ascending triangle forming, and may add to my position if Brett loans me some money.

Bob,

After buying what felt like everything the Apple store had on display this past week, i'm a little short on cash. I'm in agreement with you and DG on the target. The $105 area seems about right, especially if the break above $95 is a forceful one. Then again, I'd really love a nice run to $115/$120.

Brett..

Had I known you were investing in AAPL, I'd of taken some contracts out....LOL..

Now Brett owes me two kisses...

For those that are interested in an option addict retreat to my place in PA, it is something I would do. You must like Yuengling, Guns, ATV's, hiking, making believe you are RAMBO, as the only other thing to do there is hang out and relax.... there is no big town, but there are some local, low class bars/pubs I suppose we could class up for a while.

raimo.com has some photos at Stone Mountain.....

Hey guys and girls:

Great weekend here and ready to make some money.

keep an eye on OII low risk, xto got out from me, kmx low risk ,powr
bgc break out

Bob,

Sounds like a good time to me. Maybe you'll have to come out to Oregon and do an Elk hunt with us. No Yuengling but I brew my own goodness. Yuengling was my first ever exposure to a black and tan.

Jason

I have GRP and BG on my radar...

I have been away for awhile due to travel and once back could not login (computer problems). So now I am back with a very late congratulations to Brett. Wow, what a week and huge traffic on the blog!

Bob R,
Checked out your web site. Beautiful property, my wife and I are currently on the hunt for something very similar. Made an offer on 50 acres (perfect white tail deer, wild turkey, pheasant, two ponds). Could not move our current home so it fell through. We are still searching.
Anyway, great looking place, great to see the American dream being lived out
Ladd

Brett

i see your apple, and raise you a google.

REDF............

Bob,

I see a pretty impressive triangle on that baby. thanks for the heads up.

Patience now, patience. treat her with resepect....

BHI looks to be breaking out of ascending triangle.

Ok, this talk of hunting and fishing is getting to me on a Monday morning. Makes me wonder what I'm doing in the office. If you want to check me out holding a fresh Lake Michigan salmon go to www.yourboatormine.blogspot.com A couple of buddies track our fishing escapades theres. I'm on the May 28 entry.

MikeH

CHK has broken a triangle today on huge volume. I think an appropriate target would around $40.

-Stephen

Brett,

Have a question for you. I find stocks pretty well now using the different searches but what is it about a stock that makes you want to make an anticipitory move on it in a pattern. News, Financials? I wish I could get more involved during the day but time is not on my side for the next few months.

Anonyumous,


I listen to but do not act on news (thank you JK). I act on what the chart tells me.

Trend, trendlines, price and voulme. Pattern within a pattern.

Brett,
your read on BNI was excellent. Very impressive symterical triangle setup and then a followup possibly with a ascending triangle.

Do you take on a apprentices :-) (even a local boy like me)

Mahmood

cvx is looking good when it breaks 52 week high it shoudl run for another 3 to 4 points.

OII is making me proud

I forgot, YUM is coming out to play out of the recent consolidation, it is also going to make a split run and earnings in July. Maybe if Brett goes there for lunch it might take off
I can see $74 price target in the next couple of months

DavidS...nice trade on OII.

Brett...I rolled into VIP Oct 110's on Fri.. I am going to watch this carefully as it gets to support. The first sign of a bounce I will add to my position.

MICC had a nice re-test of the middle of the candle today if anybody missed the trade from Friday.

Added DVN and BHI to my longs on Fri. Old fav on the blog MRO, what a mover and no sign of letting up...Patience equals $$$$ there.

Jamie

RIG is hitting the century mark today.....i sold out of this one just a little too soon (darn it, i missed about $3)

VLO and NOV are playing nicely today

Bob....if girls are invited, i want to come.....i'm not into killing animals, but i can shoot a gun and bow (both compound and whatever the "regular" one is called)

Tonya,
Regular bow is called a recurve. I have one of each but the only thing I hunt is targets.

Watch out guys, these gals appear to be armed and may be dangerous!

Hail to the Warrior Princesses and their captures, I bought some VIP and PCP today. Michelle loves AAPL and CROX.

SusanFromManhattan

girls with weapons..Hmm, I may make have to make this a girls only weekend... of course I'll be the guide......