Fantasy Trading

The market isn't doing much. My watchlist is published, and fund managers around the world are leaving messages, sending e-mails and re-balancing their funds accordingly. I'm not really hungry, I have no exits to take, or positions to I guess I will blog.

About what, you ask?

Halo 3 comes out today. Have you ever played Halo? I played the first one, once. I dominated my opponent to the point that I was never invited over again, or talked to for that matter.

From the beat on the street, and the price point, it looks as if this game will single handedly push the "Softie" up to it's prior highs. You know I am struggling when I start blogging about stocks like Microsoft.

I could talk about the season premier of the Bachelor last night?

My old lady tells me that the claim about this guy being "the hottest bachelor yet" is true. After making her sleep outside, I figured I should have an underlying interest in this show so I can monitor her intake. Since I am emotionally involved, I have confided in DeAnna, Mallory, Jenni and Solisa as my Final Four.

Since I am bored, I am also toying with the idea of setting up Option Addict "Fantasy Trading." We could do this one of two ways...

One: We all compete against each other, and I dominate.

Two: Just like fantasy football, you select your teams based on trader stats, and create your own "trader franchise."

If we decide to go this route, you will want to select the bigger stronger players for your team.

Leave players like Winston, for me. They are easier to teach.

Recommendation: We'll need statements & confirms to determine stats :)

Long: Patches O'Houlihan

Short: Winston

Disclaimer: C'mon, I wouldn't dominate.... I wouldn't play.
(Just Having fun, have a good one!)

Your "old lady"?? I think Amber might have to kick you in the ass for that one! That sounds like a comment my father would make!

I think fantasy trading sounds like a great idea! Although collecting and analyzing statements and such might be a lot of work! And of course my "live" trading is more recent, so I won't have much. However you decide to work it, I'm game.

I have no idea what Fantasy Football is so I don't know how Fantasy Trading would work for me. Plus, I don't want to get picked last, too many bad fourth grade gym memories.

I don't watch the Bachelor so no comment there. But, I can dodge a wrentch so I can dodge a ball. :-)

Great watchlist! Thank you, Jeff!




She'll kick me for sure. It was calculated.


Great watchlist, as always! I appreciate all the time and effort that you put into it. Thank you!

Fantasy Trading?? I think Brett and Raimo have an advantage but what the heck - I'd play.


To whoever wants to pick me for their fantasy trader team, I can promise a continual string of great wins like selling a put vertical on BIDU just before it shot up 100 points.

You know you need me.

Like Laney don't know the game,but I'll play if someone will have me.

BTW, love, the Yoda pic. I discuss I every trade w/my talking Yoda doll. Have a soft spot for anything Star Wars,guess that would put me on Eric's team. But you are the jedi master when it comes to trading.

Jeff, thanks for shrinking down the Yoda pic.

See that's the great thing... there are no advantages!!! I have as much of an advantage as anyone else, same goes for everyone else. Everyone is on the same playing field. No advantages, other than my height.

Jeff, I like your Yoda pic. Not that it suits you , but he is cute in his own way.



Laney called me Yoda. BTW, have you two been properly introduced?

Laney, Sarah...

Sarah, Laney...

Sarah is the one that provided the DVD's that Laney won.

Fantasy Trading??

As long as Brett has that pic, I want Brett on my team.

Well, that, plus Brett just ICE'd me..LOL..

Sorry, I didn't call you Yoda. I don't know Sarah but I am sure she is a lovely person. :-)

Was it Gloria??

Hey, I think you should play, too.

Calling Amber your "old lady" might get you into trouble. You'd better pick up some flowers.

Okay. Jeff, since you're bored, do you see a descending triangle on CME? I can't trade it anyway today because my account says I'm day trading since I closed out a small gain on the trade I took yesterday.



Laney, so sorry.... I meant Loretta.

I don't think the guru's can team up. Dibbs on Raimo :)

And I thought it was me who won the DVD's!**! Also called you Yoda in my email.

Hi Sarah,
Thank you SO MUCH. Anxiously looking forward to the DVD's arriving today!!!

I'd pick you. I'm the nincompoop who bought puts on CROX on 8/16 and held them until 8/20. I'm brilliant, I know.

Plus, I spelled wrench wrong.

"You fly jets long enough, something like this is bound to happen."

ICE just made me think of that movie, plus my husband just quoted it to whomever he was talking to on the phone.



You might be able to make out the shape in CME, but it lacks the appropriate trend, which is just as important of a consideration when looking for this pattern. Remember, descending triangles/downward trend.


Laney, I have giggled at many of your posts've been on a roll! :o)

Nice new pic Jeff, I think green is your color!

It's all good.

CME isn't that lower highs and lower lows? What am I missing?

Gotta learn this stuff when there isn't money on the table.


Thanks, Jodi. Actually I am procrastinating. My kids are waiting for me to finish reading Beowulf to them but this is so much more interesting. :-)

I'll be on your team if you get Raimo.

I see CME as being in more of a sideways trend. A few lower highs since mid August, but not lower lows.


I feel used


Glad to hear you had a stellar time back in the "Yeah Area" over the weekend. I was in a IT/Trading user group for about a year or so but ended up doing all the teaching, watchlists, and recos so i didn't get much to help me progress. I have been looking for the BAMM group contact info but can't seem to locate it. Lil' help?

BTW: Thanks again for all you do and liking the rounding in AZO today. Not to mention the trendline break in ICE, got added to the Spoos. Melt you flaming cube, baby, melt!

Ryan in SF
aka: The Haloed Wookie

Yeah, I am looking at it since August. My diaganol line starts 8/13 to 9/5 to 9/25 down to 540.

I think I see what you're saying.
There are lower highs, but not lower lows. But isn't that what makes the triangle, the break below 540, which you don't know until it either breaks below 540 or moves up above the diaganol line?

Somebody help me here.


ISRG, according to the lines I've drawn, that thing is coiled tight with nowhere to go but up or down.
Anybody in this trade?


As far as how the descending triangle forms, yes that is correct. However, I think Jeff's point was that descending triangles form in downtrends, which technically, CME is not in. Does that make sense?




I like the Yoda pic much better than that other guy. He looked like he was kinda strung out...

Thanks, Lisa.
I think I need to take Jeff's price patterns class over and over and over again. I still keep missing pieces of the puzzle.


I know you were planning to purchase Technical Analysis of the Financial Markets. I think you will find it very helpful for learning the patterns. I also have some pattern flashcards that I ordered from Investools (through the Income Trader, I think) that are nice to have.

Thanks, Lisa.
I was waiting until after the move to purchase it, but I think I had better make the plunge and get it now.

Thanks for your patience.


The wife put the 'smackdown' on the Fantasy Foosball this year, something about it being the devil or taking too much time, but Fantasy Trading sounds quite interesting, though I also do not have much of a background (thanks for being understanding Jeff).

In line with Patches does that mean if you can dodge a wrench, you can dodge a bad trade? or a fed move?

I'm not in ISRG right now, but I rode it from $200 to $228. I am watching it for a re-entry. I agree it looks poised to make a move. It's ranging between 210 & 230 right now. I'd want to see a strong push above 230 for a long.

Hey Jeff,
I too felt a little restless this morning and couldn't seem to make any trading decisions. So I asked the hubby to go play 9 holes of golf at noon. Amazing how that clears the head! Shot a 45 and am pleased.
Thanks for the watchlist. I now have something else to ponder. I am in AMG - retesting an uptrending support line.
JOYG - same thing after the double bottom
OMG - testing resistance at prior high $53.50
I'm in for the fantasy trading if there is a team who would like to have a "Mimi", that's short for Grandma Yvonne.

Great watch list Jeff.

What day I am having. calls are moving up and puts are moving down. Thanks to all the support and teaching from this group I am getting "it" now.

I would love to play the fantasy trader game if someone is daring enough to have me on their team.

this is starting to look like best month every for me. Thanks to great watch lists and concepts like REE (I am still not using RTR since my trades are still single contracts based)

Thanks for a great watch list last week. Do you or anyone have any thoughts about the market as it approaches its high. Do you think we should be very cautious, or do you think it will blow thru.

This REE "thing" has helped my trading more than you know! Up until this point, I have been continuously chasing entries and exits.
I have developed a new PATIENCE for my trades...allowing them to retest the line in the sand. It is amazing how some of these trades work out and feeling like I am starting to "GET IT"


Looks like your thoughts were right there with mine. Hope these guys know the kind of help they are actually contributing to us learning the game.


I'm in for the fantasy trading too.



may you should pick your top 4 - 5 traders (including your self) and then add us riff raffs to make 4 - 5 teams and lets have a contest.

What a learning exerpience that would be.


Mahmood and Barry,

I'm with you. Raimos' REE and RTR have really taken my trading to a new level. No stress and profits!

I know Jeff and other instructors have said the same thing but Raimo was the one that got it through to me. Thanks again, Bob!


Raimo, Raimo, he's the one
He's made trading so much fun!
REE, and RTR
Now we all can raise the bar


and Jeff and Brett too :o)

Lil more help?

I have been seeing REE on the AO blog for some time now but still cannot seem to determine what it is other than some sort of rule or guide.

Raimo or Brent or Doji Girl or anyone else willing to pop my REE cherry?

Who are Brett and Raimo? Are they like counselors to this site or something?


I am not sure what fantasy trading is but if it involves me with a laptop in the Bahamas with a bucket of beer on ice and my wife in a teddy, I am in. Give me time to convince the Mrs..


Remember that the art of trading price patterns goes way beyond looking for shapes. There is trend, location and volume that plays just as big of a role. If you are familiar with the descending triangle it is a bearish reversal pattern. Bearish, because it is supposed to be found in a downtrend, and when it breaks lower, the downtrend continues (continuation pattern). CME is in an upward to sideways trend.

I am not debating that the stock will move how you want it, I am just using this as a teaching moment. Shapes on charts are not enough.


Winston here! I just want to be on Chris' team as that will guarantee we laugh!

Jeff, are you kidding me! My kids have been talking about Halo 3 for months. I have played both to the end and enjoyed it with them. When you have other games becoming popular just because they are kind of like Halo, you have a real game changer. With all the bad PR on the XBOX 360 this may have some positive impact to their stock, I am sure I do not know.

Yoda looks cool.

Now that I've exited ICE with a nice profit in a day, I'm hoping it falls for Raimo.

In the spirit of keeping the disussion to Jeff's watch list stocks (anyone remember that blog a few days ago?)

Here is a bit of my own analysis on a few of Jeff's picks:

AZO - I took this short a few days ago. I liked the entry and the trend. My line in the sand is a close above 116. My target price is 107.

CROX - Got in this morning. My position is up 30% as of right now. I will protect the small profit with a trailing stop at about 15% based on option price. Upside it unlimited, and will adjust trailing stop to protect the virtual profit as it grows.

Lamr - Got into this a week back. Liked the trend and the entry point. Currently up 100%. Will use a trailing stop set at 50% profit and let it run.

XHB - entered a few weeks back (before fed day). Sold 1/3 to cover all cost last week. Sold 1/3 today mid-day. Letting the rest run.

MA - Shorted on fed day. Sold for a small profit today and tool 1/2 of profit and put into a OTM call position. I see this as a re-test on a break-out. This maybe all wet, but it's a small amount of money with some great upside.

Also holding --

Short - FAST, XLF


Haloed Wookie,

My opinion, I move back out to the Bay, and we form our own group. In the meantime, I'll get you some info.


My trying to explain something about trading is kind of like a 20 handicapper giving someone a golf lesson. BUT
REE is a good place to enter a trade. Basically, your entry and your exit are very close to the same point. This point can be old support or resistance or a trend line. The great thing about REE is that your risk is very small. If the trade moves below your line in the sand "REE", you are out.
Hope this helps and you don't get the "shanks".

Thank you. That is exactly why I asked the questions to make it a learning moment. If I don't get this stuff, I will never become a great trader. I will keep listening and reading and learning until it becomes natural.

Thanks for the explanation.



I'm in fantasy anything even if I am picked last.

Uuu hmmmm.........

Calculated???? Calculate this:

Jeff + "Old Lady" = dog house (ie COUCH)

Ill show you "Old Lady"...........

signed Old Lady

You are too funny. If Raimo is doing the REE, he is probably already out of the trade and no big deal.

Glad you did well.


Old Lady,

Did I mention that I love it when you talk dirty to me?


Sorry but lucky Husband.

Diana's on my team!!!

I am not planning on taking the trade but wanted to make sure I'm reading the charts right. Does anybody see NOV as reentry at diaganol support?


Jeff and Old Lady, you are too funny.


I am pretty sure Amber just posted anonymously. Sorry Jeff, not only will you not be doing any fantasy trading tonight, but you won't be doing anything fantasy related at all. The guys on the blog have been there..done that. Good luck. Flowers and diamonds early entry on the Crox retest could soften the situation.

Sean, kudos to your wife on the training program ;)

Good point Sean...

Speaking of Diamonds, she is now an MVP at Tiffany, based on her newly acquired "gifts" this weekend.

That means I should be sitting next to you in the Bahamas with the same set up that you have.

I am well trained. The main reason my wife stays with me is that it is way too difficult to tranform another male into a human being.

Jeff's list
APD bull flag confirming
DVA " " "

Am I seeing a rising wedge or sym trian on SNHY. Would todays touch on the upper trend line be a good REE entry for an oct put with a possible 8 pt downward?

Brian K

Throw in a good sitter (which you set up) a bottle of wine and nice dinner, and the dog house could become the House of Love.



Jeff-Peyton Manning
Raimo-Randy Moss
Brett-Tom Brady

Me-this year's Marcus Colliston


P.S. I want Chris and Bob on my team... We'd laugh a lot. Ooooh, and Laney & Jodi. Then we'd be in stitches!!!

Just bring your laptop and your expertise and I can then enjoy the week and make enough money to pay for it.

Re: Previous Post---

We're talking fantasy points NOT personality!!!!



Thanks for the info. That is kinda what I thought. I think what is puzzling me in this age of acronyms is what does REE & RTR stand for?

Risk Entering Equity?
Really Eager Entry?
Return To Resistance?
Ryan Enjoys Eclairs?
Raimo Trades Railroads?
Robots Energize Eric (Utley)?
I can go on and on...

Just curious and thanks for the insight, Barry. Good lookin' out.


REE--Raimo's entry exit
RTR--Raimo's target reached

My 4 kids are 15 through 22 so I don't need a sitter. The wine, the nice dinner and the house of love are excellent suggestions. Why didn't I think of that?? Oh yea, I forgot that I am still in training. Thanks for the help!


I'm going with Raimo trades Railroads, although I'm sure Ryan Enjoys Eclairs too ;o)

Dang I missed UIC - beauty JEFF!!!


you just gotta slow it down a notch. You were there, it's just you went straight to Bahamas with your wife in a teddy, Michelle was giving you an action plan


the Bahamas comment will not help matters :-0

Consider this advice from a guy who walks with his foot in his mouth and often spends the nights with man's best friend

Well, I caved and sold GRMN at the close. Here's why -- please tell me how I can improve.

It got within $1 (less than 1%) of my target. Previously in the day it bounced down off my target ($120). Also, I am trading a small account and one contract on GRMN. The gains I have on this one trade are equal to nearly 20% of my account -- just the gains! Taking this profit is critical to my account so I took it.

This is very different for me because I have previously tried to let winners run, but with things getting choppy, we've been advised to take profits more quickly. if I had two contracts I would have definitely let one go, but I didn't, I couldn't, and I had to make the call.

Feel great about the profit, but still a little uncertain about my exit rules. I think this is so hard because we don't get to practice exiting winners as much as we get to practice making entries.



It was a lay-up! Did anyone grab some of it today?

Since I took the profit on GRMN, though, I might as well celebrate. 60% on an ITM trade in one week. And as I said, this was a major trade for my small account.


Good one. You are right. I have to constantly remind myself that men are like microwaves and women are crockpots!!

Good luck to the group tomorrow!

Oh, and one more thing on GRMN. I do still have stock on it in my IRA at the same entry point so in a sense, I am getting to let it run, just in a different account.

I was told that it is much riskier to trade a small account and having a small account myself, I can attest to the truth in that. I think you have to approach trades a little differently with a smaller account. You stuck to your rules. You should feel good about that. You should also feel good that it hit your intended target and you locked in gains. Yes, let winners run but in this instance you only had one contract and the markets are still trying to find themselves. What was it Jeff said awhile ago... Err on the side of a swing trader. Anyway, my opinion only but you should feel good that you made a great profit in a short amount of time.


UIC -- I missed this one as well.


Thanks, Liz. I appreciate it.

Now I've just got to prepare to stay in the zone even if GRMN goes to 130 tomorrow (which I hope it does for the rest of you)!

I've also got to find another good bullish entry as I have a good amount of cash in hand now.

I certainly do not think you did anything wrong in taking profits. It is easy to get into a trade but so much harder to get out. I really struggle on the exit side. I am golfing tomorrow and considered selling GRMN near the close but the strength going into the close convinced me to hold the postion. I may be surprised when I get in from golfing tomorrow but there is a balance between trading and life. Golf and fishing trump staying at home watching my account. I am an option addict but I have to allow time for my other addictions.

I missed UIC as well. Crap!

I really can't take on any new trades anyway. I'm at my personal limit of what I can pay attention to.



I hear you on the difficulty of trading one contract (and a small account). It makes exiting much harder. Given this, it hit your exit target intraday, you had a big unrealized profit for your account and you booked it. You also realize that it still looks bullish and if you had two you would have left the other run - so I'd say you Get IT. You'd lock in some profits like Raimo's RTR; except you didn't have more to let it run. Congrats on your 20% account profits and don't look back. Keep that up and you'll be able to buy more contracts!!!!

A couple of things, first of all the first thing I saw was the Phoenix waking up in Brett's new photo. Everyone beware as the BPHX takes its next leg higher. Watch for blue flames!

Fantasy trading, I am in, I will play on one team as ARTY, and one a C4.

A couple of puts that hit targets today were FTEK and WCC so I took 3/4 profits, along with my best call since SNHY (long), I took 3/4 of my CNQR.

Who are Brett and Raimo, two guys on this blog that NEED counselors.


Don't rub it in. I was UIC - Under the Influence of Caffiene - Java Monster to be exact. First you got me addicted to options, now Java Monster, hmmmm maybe you're a bad influence ;-)

Jeez, I try to get a little work done and an hour later 60 posts!!.

Loretta, nice to meet you, hope you enjoy your dvd set! Lots of good info.

Jeff as always, you da best!
GRMN up 80% and locked down
DRYS up 85%
FSLR up 35%
ELON up 75%
ADSK up 10%

This year thus far up 120%. thank you and to all who cintribute to the blog.

Hi everyone!

Been unable to read the board for a few days and trying to catch up here ... I had a new baby boy :-)

Jeff, I am sure I missed bit and pieces but if you move to the bay area start a user group in the bay area, let me know! I am in Walnut Creek! (altough I am belgian and moved to the bay area about 3 yrs ago)

I am very happy about my GRMN trade and that I was able not to get emotional when it wasn't moving the way I wanted it to move becaus it never reached my exit point before it bounched up! :-) Thanks to everyone for discussing this one so closely! I would have closed the trade if it wasn't because of the things I learned here.

I cannot believe it but I currently have 9 open positions and they are all profitable!!! :-) Again, thanks to all the things I learn here and on the marketcast!

One trade I am not sure we have spoken about is AOB.. anyone in that trade? It's been pretty nice to me!


Commenting on small accounts which I feel qualified to post on because I have a small account.

But as a matter of encouragement if it was not for Jeff, This Blog, IT, Mastertalk, and some friends encouraging me and teaching along the way, I would still have a really, really, small account. Instead of just a small account.

But notice I am able to buy 4 contracts, 6 contracts, and even if the risk is right 8 contracts. I am now able to take 1/4, 1/2, 0r 3/4 off at my target. The big key for me has been "A consistent proper position size" and "always exiting on either my stop or my target now matter what".

Except in those cases where I didn't do that which almost always results in a bigger loss for me.

I am rambling -


Short WCC


Good to meet you too. CONGRATS on your account profits!!! Looking forward to the DVD's; I really appreciate it.


I am not sure but have you considered virtual trading while trading your own account? This could help you with learning how to trade bigger positions etc. I use my virtual account all the time and it teaches me alot, I do stick with the same trading rules as for my real account (it took a while to get there since it's not real money and I was always willing to take 1000% risk) but now I got behind that and trade it as real money! If you have investools you can use their virtual account or think or swim also has a virtual account (works with the think or swim desktop) so you can trade as if it was a real account / trading platform.


Congratulations on your new baby!

All this "small account" and "one Contract" talk makes me feel so encouraged. I have been sticking to my rules and trading smarter thanks to the blog and all of you great traders.

You probably don't want me as I have no idea who those people in your post are. I am a reasonable intelligent person but I have a mental block about understanding football. It seems like a lot of setting up and hiney touching. Weird. :-)


Short: LAMR, AZO


Pls. include me in the team.

Thanks, Meena

Thanks Laney!


Fantasy Trading....I'm in. Now all we need are some names. I guess Jeff's team will be the GIANTS.
Just pick me somebody, anybody...please.

Sold 1/2 positions GRMN,ICE,TSL,CPSL...





Congrats!! Now you really, really need to make money. Good luck!

Awwww, I love babies.

Congratulations Steven, you are very lucky. Boys are soooo much fun.

The ONLY reason I know any of those names is because my husband keeps talking about them-incessantly. I usually just hear that song from Sesame Street (they used it in a commercial not that long ago)... (Do do da do da, do da do da do...)



NOV.... yes. Looks to me like a good time to buy a dip on an uptrending stock. I especially like that volume has been below avg these last two down days. A sign that there's not much conviction in the price declines.

Thanks for confirming what I saw.

Looked like a good entry to me, too (NOV).


If you're not sure what song I'm talking about...


NOV looks like it's in a short term channel starting from around 8/15 to now. That might help with setting a price target as well. It is getting ready for a split on Oct 1st so keep that in mind. What do they call that... post split blues? It's a good looking stock.


In the spirit of trend following...I am not a fan of the Bachelor, I hope to star on the show one day but I don't watch it. My understanding of the trend with the Bachelor is that once the winner is picked about 6 months or so later she is kicked to the curb, getting one last moment in the sun on TMZ.
Long...American Chopper, Deadliest catch, mythbusters
Short...Bachelor, america's next top model, so you think you can dance.

Thanks everyone for the thoughts on the difficult decision to sell GRMN today. I'm sure I will continue to struggle through and learn from that one. At least it is nice to struggle with a profitable trade! All of your comments are very helpful and appreciated.

Steven, I have done some paper trading before, but for me it was not very helpful at learning about dealing with the emotion of trading, which is the toughest part for me. If I had had a paper trade on GRMN today, I would have let it run because I would have said "aw, let's just give it another day and see what happens." Because there's nothing really invested in it.

Emotion is the single greatest obstacle for me. It's always present when trades go bad or good. I really do have to get prepared tonight because if GRMN skyrockets tomorrow I will get emotional about regretting selling today which will distract me from just making good new trading decisions. Can't let that happen. Got to stay in the zone.

Yes, that helps. I see the same thing. Trying to ease out of options and get into some good stock plays before the move so I don't have to baby-sit the plays, just set stops and let them do what they will. Haven't entered the trade, just wanted to know if others saw what I saw.


Brett, Tom Brady?

Noone, I repeat, noone gets to be Tom Brady but me.

Them's fightin' words.


Liz, Jody, Sean: Thanks!

Sean: You are correct, I really do need to start making money now! I cannot imagine I have to go back to work next week instead of spending time with the family. My ultimate goal is to become a fulltime trader and stay home with my family while doing some consulting on the side to keep myself entertained. Right now I work 9 hours a day, commute two hours(glad I use bart and can listen to the marketcast on the way home) , follow the markets a little in the morning by getting up at 5:30 and I end up spending way too little time with my family as it is, yesterday I took my 6 yr old daughter to her dance class for the first time because usually I am at work… it should not be that way. I believe in quality of life since you only live once…. Good thing I feel like I become a better trader day after day, (and once again a big thanks to this blog and it’s members…) if it only went faster so I didn’t have to go back to work next week :-)

And if not for my goal…. Diapers are really expensive and that little boy sure does seem to know how to get them messy :-) Throw me some trades so I can build a diaper fund!!! :-)

Long: Family, babies and trading

Short: My day job


My advice,even though you did not ask for it, is be happy with the significant profit and don't look at it tomorrow. Think this way...would you be upset if it retraced tomorrow and you were out a few hundred bucks. Don't worry, be happy!

Oh, and I'm in on the Fantasy Trading idea. Sounds great.

Brett, CROX. I'll show you my target if you show me yours.



Congrats on the new baby boy! Send Jeff a picture so we can all "ooh and ahhh" over him!


Do you want to be Tom Brady or be with him? hee... hee...

No fighting please... My husband and I were just picking players on fantasy points only... ;-)


Liz- YES. My husband is well aware of the 4th man in my life (behind him and my two boys).

Okay, the fight's over everybody. Nothing else to see here.



Don't let her fool you. It really is quite the obsession.



I usually reserve those kinds of disclosures for my wife, but if you promise not to tell...



i think Jeff meant to say a descending triangle is a BEARISH CONTINUATON pattern, not a bearish reversal pattern (head&shoulder = bearish reversal)

Fantasy football?? Fantasy trading?? well i make my fantasy football picks according to which teams have the best colors!!!!

Jeff have fun sleeping on the porch tonight !! ha ha, maybe if you ask real nice Amber will let you pitch a tent in the back yard!!

I don't want to sound like a broken record, but here i go again....thank you, thank you, thank you for preach patience til you were blue in the has paid of on more than one trade this week.....thank you ;-)

I like NOV too at REE and almost pulled the trigger today.

Tim, I think you did good if nothing else you kept to your rules. I also have one contract and my rules were to let it ride, but the profit is not 20% of my account. What did you trade an OTM?

Oh who here was supposed to flag us on UIC and didn't do their job. It wasn't me I know as I am not reliable enough.

Ok, Liz I like that team and will try to hold up my end as long as it is not too heavy. Imagine when Chris reads this and finds he has already been assigned!

Brett, cool pic.

Geez...I have to 'work' for a few hours and come back to what looks like everyone on Java Monster! Is all this exuberance due to everyone having a fabulous day? I hope so. Personally I had one of my best days with all my positions (except ELON) doing exactly what they were supposed to do.

Thanks to Jeff, Brett and Raimo for some of my best positions now!

Congrats to Steven and new baby. And to Tim for taking a profit and to Sarah for her account growth!
(Hope I didn't miss anyone or screw up names)

ps i am a dork....i meant to write "preaching" patience and paid "off" on my previous post, but i hit publish instead of preview.....

Nice pic! Blue heat!

Doji Girl-
I think I did O.D. on the Mocha Loca today. But my account did really well for the broader market not seemingly doing much.

Hey, did anyone get into SHLD yesterday? It was down almost 4.56 today.


Kim aka VA GIRL, ok my son came home a couple of weeks ago for our anuall fishing trip and just flew back to Virginia Beach. He called me today with a surprise that they promoted him to store director of Farm Fresh Foods on Churchland in Cheasapeake. Are you familar with this chain as I'm sure you are they seam to be everywhere out there. If you want please go support his store and say hi to Matt and you will be greated with the biggest smile you have ever seen. Let me know if you meet him, from just another option addict.


We too had one of the best days in our account in months. Not huge but really good. Could this all be because we are all in GRMN?

Only down trade was K and what is going on with that?

This is what I got into IT for, to make money no matter what the market does. I have friends asking me right now if they should get into IT and based on my past results I can't be as strong as I want to be. Thankfully things are picking up though so strong recommendation to come.


I bought a put on SHLD on 9/20 as close to REE as I could do. My comments on that trade was that I should have gotten in on 9/19 because that was really the REE

Thank you Raimo :-)

awwww Steven....congrats!!!!
make sure you enjoy every minute, i promise you this time next year you will be sitting thinking/wondering where the year went (it really does fly)!!! ours son just turned 1 and we are working on #2!!


ps. buy the diapers at Sam's (they are way cheaper there)
oh and it wont take you long to realize you don't need to buy huggies, the sam's brand work the same (that tip will save you big bucks!!)


Want to save is how I did it...

First, buy the huggies, yeah, cost a bit more, but using my method,


you'll save tons in the end..(pun intended)

We got in on 9/19. It did make a nice run.


We all have our obsessions!


what the hell does RDRAW mean?

Funny pun though Mr Raimo. I laughed

I'm trying to figure out the acronym and I've come up with a couple but I'm not sure if any of them are correct.




Draws (the line)



hahaha Liz

Congrats on the baby. I agree with the cheaper diapers thing. We buy the Target brand instead of the Pampers we were buying. Had three in diapers at one time, and it was a nice cost savings going to Target brand.

Thanks for the clarification on the bearish continuation pattern.

Bob and Tonya,
Also thanks for the input on NOV. Guess I am reading the charts right.

Thank you, thank you, for all the great pics.

Thanks for teaching the patience.

Thanks for teaching the entry/exit and taking profits.

Now to get that book and listen to more of Jeff's trading class.....

GRRRRRRRMN, yea. Won't name all the others, because you guys know them already.



Two words - Diaper Gene!
A must have if they still make it which I have been told that they do. We have been out of the diaper stage for years, thank GOD.


I agree with Bob. Diaper Genie!!!
We're in between diapers and pull ups. Pain in the butt!!!


Thank you all for the kind words!!!

Bob, you mean the diaper genie right? I just got myself the diaper genie II, must be the improved model ;-)

Raimo: I am not sure what you mean with rdraw and did feel stupid and was blaming the fact that english isn't my native language but then others start to ask the question too.

On the cheap diapers... I will have to give them a try... I agree a diaper is a diaper and for as long as they last, who cares what brand they are. Not sure my wife will think the same though. :-S


Market Headlines for Today:

-Stocks end mixed amid economic concerns

-market inches up on rate cut optimism

-treasuries end higher after housing news

-wall street down on house price and retailer news

-bye-bye subprime loans, hello junk bonds


One final comment before I hit the dance floor - I love days like today when the market is either up or down about 20 points. That allows our stock picks to do what they are supposed to do without undue influence from a bigger move in the overall market. I.e., the good bullish stocks will go up and the good bearish plays will go down regardless of what the overall indices do.

Yup, a nice calm boring market is perfect.

Phoenix - I first calculated mine at$85 based on a bounce play off of $57 and calculating the avg. stock movement of the last three run-ups beginning on 7/5, 7/20 and 8/16. This avg'd out to $28 in 16 days. But then I saw the asc. triangle whose width was $14 with a time period of 5 weeks when it broke out yesterday. Can I assume you traded the triangle breakout?

I am in Churchland several times over the next couple of months with my son's travel soccer team. Can you ask him what road his Farm Fresh is on? I'll definitely stop by. His name is easy to remember 'cause that's my oldest son's name. Isn't it great to see your children make accomplishments in their lives?

Have you taken the 3 day live class? If not I recommend it highly and I think others on the blog would tell you the same as well. Consequently, they are discontinuing the live class in Utah in December so if you want to do it I'd make a decision soon.


November option interest on AKS, AKAM, CNQ and others is low and has me hestitant to push the buy button. The spreads $.20-$.30. I hate to be the only person buying. Any thoughts?

That Sesame Street thing cracked me up. We don't do Sesame Street here, we are Backyardigans fans. And by "we" I mean the kids.

You feel used? Dude. You're a mom, that comes with the territory.:-)

I know that emotion of which you speak. Look at it this way, you got out a winner and now you have more money for trades tomorrow. I appreciate your candor and honesty concerning your GRMN trade.

Do you know why they're discontinuing it?




Sorry, the above post was supposed to be November's options have low open interest and I am hestitant to pull the trigger....

This blog's way too giddy and way too bullish tonight. I'm terrified for tomorrow.


They are switching to an online class where everyone meets at the same time at home on their computers.

Dan and I are so glad we were able to do it in Utah (the live class that is). I can't imagine getting as much out of it sitting at home. (Oh my gosh....the double entendra here is ridiculous)

I'm stopping now.



Which website did you go to specifically to change your picture that is seen on the comments?

something else?

I'm still trying to fix mine.

AKAM doesn't look too bad but the others are really low. It doesn't make sense because the volume on all three stocks seems decent. Sorry, I'm no help at all.

I noticed the same thing on CNQ so I bought DEC paper to be on the safe side.



Diaper Genie, Costco, Sams....

Pal, you need none of that. My method, true and tried..

Real simple.

First, start with a high quality Diaper, Huggies etc. The plastic in the higher quality diaper is 3 mil, not 1.5 mil like your cheepos. Also, like Adult Depends, a higher absorbent weight to loftiness ratio, a must for the tender little bottom.


Raimo's Diaper Recycle And Wash..

Simple process really, I used this for years, saved a ton of money, and more importantly, no mess, no fuss and saves TIME.

After the little tyke does their business in the diaper, take them outside to the back yard, grab the little bugger by the feet, lossen diaper, and hose them all off with a garden hose. Ring out the diaper (this whre the higher quality comes in, they can last a lot longer) and slap it back on the buggers bottom and you are back in business.

I got this technique nailed down to 2 minutes flat, start to finish, and a week out of one diaper.

CHA CHING..time and money, SAVED buddy.

In the END, I got you covered buddy!!

Raimo-You DID NOT do that.

I think that's disappointing. I'm glad I went to the live class also. I can't imagine trying to sit by the computer and trying to listen to what's going on and wrangle the children as well. I just don't think it will be as beneficial.


You are hilarious!


Don't be frightened.


Damn, are GOOD.

testing photo

i think open interest was low on AKS because the NOV options just opened up on monday. The volume on them today looked good (353 on the nov 40 strike). It'll get up there.

great concept. I think i'll try your diaper trick w/ the next kid. You always come up w/ great ideas!

Too bad 3 day live class is going away. That's where I started to finally "get it".


Raimo-not good enough apparently to fix my *&^%*& picture yet.


No way. You didn't?

The first three months, I would go with the higher quality diapers. It cuts down on leaks at night.

Those Pampers Swaddlers are great.

Steven, bet you never thought you'd get so much advice on diapers.

I would guess that the November options are low on interest because they just came out. I had to buy January options on AMZN for the longest until the new ones just came out. That's my guess.


C'mon Kim...its as easy as changing a diaper.....

Hey, if the fantasy trading comes to fruition, i want to be on the team with all the lady's...that would include Arty..right??

More like trying to change a blowout. You know, the kind that happens during a long ride in the car spanning ankles to shoulders.

See, I did it! Big girl!

testing photo

Just finished reading Jeff's comments on open interest in the archive. I think I found my answer. Thanks everyone!

Just listened to your price patterns class from this morning.
Great explanations behind price movement and volume. Every time I listen to one of your classes I learn something more. Also the touch points (minimum) helped.


Kim & Dan-
Great pics!


I opted for the at-home version of the 3-day live class. I didn't get much out of it even though we had a small class. I was well ahead of the others in terms of having done the IT course work. The instructors pretty much seemed to stick to a script. Sounds like others here had a much better experience with the live version...get it while you can.

Michelle: you are 100% correct... especially not on a option trading blog... I even know how to recycle diapers. I have to say Raimo: your recommendation for some kind of reason cracks me up!

Just looking online it seems I can save 2 cents per diaper when using the sams or costco brand or 43 dollars a year if he used 6 diapers a day. If I go for Raimo's suggestion and reuse a diaper for a week I would instead of buying 2190 diapers buy 312 diapers and save 360 dollars a year. hmmm not sure this all makes sense.. just did some quick calculations and not looking to spend too much time on the potential cost saving here but I guess it comes down to: do I want to save 360 dollars by scraping out the diaper, go into the back yard, wash them with the garden hose and dry them on a daily basis?

I guess I have to ask: Raimo: why didn't you opt for the cloth diapers in your case?

My wife just asked what I am doing on my computer since I have such a big smile while typing this up...

I might want to look into the non brand diapers though.

educational day! So what do we think GRMN will do tomorrow? :-)
Let's focus! :-D


As far as the 7-week online class, it is probably better. In my opinion here's why -

1. Each two-hour class is recorded for later listening by those who couldn't attend live as well as for review at anytime. (We copied ours so still have them.)

2. You get a one-hour 'office' each week in addition to the regular class so you can clarify anything.

3. You get time to digest everything and practice what you just learned all week before being given a new concept.

We really liked it though we don't have the 3-day experience to compare it to.

Congrats, Steven on the baby!

And, Raimo, I'd think you'd atleast rotate between dry diapers before putting them back on the baby.


yes, you may save some money by using the Raimo method and hosing you child off in the backyard but you must factor in the doctor bills Raimo paid for severe perianal dermatitis his child suffered and for the legal bills for fending off the office of child services. Get the Huggies and save the arguements with the Mrs.


I had a wonderful day. I am close to doubling by account since I began trading with real money in April. A huge thanks to Jeff and this blog. I have learned, (many times the hard way), better entry and exit stratagies. Biggest problem is letting go. I am enjoying being home and trading for a living.

I think there are going to be more and more people learning to handle their own investments. Many companies are not offering pensions any more, Social Security is a joke, so people are taking more of an active role in their retirement future. Maybe I'm just more aware of it now that I'm trading.

I'm rambling, it's late. And the Fantasy Trading sounds like fun, count me in. Good Night All


Steven . ..big congratulations on the new baby.

But folks, I have to warn you . . . several of you have entered into the RFT zone (Raimo's forbidden topics). I'm going to have to issue a IWN (initial warning notification) which will be closely followed by a YIIDNC (you're in it deep now citation) followed up by a SIT (seriousinfractionticket).
I'm kidding, of course. Could be I’m a little giddy due to the GRMN rocket. I may have double dipped. I purchased October paper only to realize that I might need a little more time. I bought some extra time on a dip, thinking I'd move the October when I saw a little better opportunity. Well, lo and behold, I still had all those little beauties this week as Garmin soared beyond the second star to the right and headed straight on till morning.

Thanks ALL of you for the detailed discussion on targets, market manipulators . .er, I mean, makers, etc etc. This has been a great learning experience.


disclosure: I’m a grandmother and pretty much avoid the whole diaper thing
long: cuddle time
short: stinky pants
observations: right now Evo Morales is the guest on The Daily Show . . . there is hope

Mike from Seattle or anyone else in the Northwest,

Is anyone going to the Advanced Technicals workshop in Seattle/Bellevue on 10/9 & 10 (Tues/Wed)?


As they say "You can't go broke making a profit."

We all have a list of "I wish that I had waited just.... more days" but remember we are not in this to pick the tops or the bottoms but to make a profit, which you did.

For the first time ever I sold 2 contracts for 110% profit and kept the other 2 so I have made money even if the remaining 2 go bust. Hopefully they will keep running - we'll see.

I have been with IT & the Market Cast for 11 months now and an OA for about 5 and am looking to dig myself out of a very big hole, down about 33% on my total portfolio. This past week has certainly helped though.

Two things that I have learned is follow your rules and don;t be emotional. I wish that I could do them both! Old habits are hard to break.

Good luck tomorrow everyone.


Emotion is definitely key... That is an obstacle that I am still working to overcome--hence the reason that I am just getting ready to do some reading (Trading in the Zone for the second time through). Also hoping that it may help to put me in a "sleep zone" considering it is 12:30 EST here and I'm wide awake.....

Regardless, I have definitely found that emotions cause rules to be broken.

im down for fantasy play for sure.

steven..congrats on the baby. im in the east bay and have been thinking about trying to put together a small investools group. if you have any interest...let me know. that goes for any other bay area folks here

It seems like most people are doing well post rate cut!

I have a lot of long positions on a short leash.

Long options: VSDI, TSL, JEC, GRMN, EXM, ELON, CNQ

Short: VAR, JOE, TOL, AZO, sleep

I messed up on Monday by selling puts on WNR rather than buying them. I bought them back when I realized it a few hours later and a big move in the underlying… missed it, messed up… Next time.

Don't feel bad. I did something stupid like that. I was trying to sell my FORM and ended up selling three times and was in a naked position. I only lost $6 and had my husband correct my mistake. Sometimes Interactive Broker is not as user friendly as I'd like.
Oh, well.

Okay. Raimo is gonna crack the whip. Think we had better focus on some trading stuff and leave the diaper suggestions for now (laughter).

Let's make some more money.


In effort to bring the diaper discussion full circle, has anyone checked out PG's breakout since 9/11?

They're in new territory!





What have you people been up to? A veritable plethora of written prose here, and I've got 20 minutes between arriving from Montreal and heading to Mexico City (Raimo, will you rent yourself out as a body guard? Make sure you pack plenty of heat.) There's no way I can get caught up here but I'm in on the Challenge. Unlike some of the early postings I have no elementry school issues as the shortest cute kid always got picked first (for some unknown reason our neighbourhood got lost in the time/space continuum and short and cute counted for something in sports. Being able to run fast in fear probably was a factor.) I don't feel I bring a lot to the plate here as there are so many people who are doing much better than me... but if I am a team leader I choose myself first. Glory is ALL MINE!!!

I don't even know how I did yesterday, and I don't think the hotel in Mexico has internet so I'm probably hooped until tomorrow night. I DO know that GRMN and LAMR both did sprints in the opposite directions for which I'm grateful.

Can't wait to hear how we're going to fantasize... and I do need to know if we're allowed Cartoon characters on our team. They may not bring a lot to the plate but they'll do whatever you want them to.

Jeff.... how are the tryouts going? Catherine dusted off her voodoo dolls and has been helping with your layups.

You're welcome.

Glad you're back.
If everybody is picking Chris for their team, I wanna be on Catherine's team. She has gotta be one spunky lady to keep up with you, Chris.

Let's get some trades going.....





Zolt is ready to bust

Raimo, what do you see here?
I'm not sure I get it.


OI looks beautiful.


OI is nice. SLB and ATW are better. The entire oil services sector is setting up for a huge move.


Need I say more

Yeah, good question about MTW, what do you see?

The oil services are on the move

SLB ready to bounce

WHQ I am not sure, I like to see how it responds here

I hope so, Brett, because I took an anticipatory position in SLB yesterday. Just looked good (REE) for me.



% wise, I like the potential of a 9pt move on a $40 stock better than a 9 pt move on an $80 stock, so I'll stick with OI over ATW..

What to do, ATW looks juicy too.

Need to do some quick math and decide which trades to watch and possibly enter.

Thanks Raimo and Brett for pointing out some great trades.


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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.
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