HANS Across America

You must admit, the HANS trade was so money. If you didn't heed my pounding of the table on owning Hansen, you missed out on a free 54.5% increase in the stock since the official reco in August.
So the question now becomes, "what do I want to talk about today?" Other than being donkey punched by China, nothing. Today was the reason I wanted to scale back my position sizes in China last week. I guess I can redact yesterday's statement and today state that I am glad I did.
In the effort of keeping my emotions sidelined, I am trying to focus on happy thoughts, such as TBSI, OYOG, ISRG, RIMM, JEC, ALXN, PCLN, CNQ, BEAV, CTRP, TIF, HANS (of course) and finally, good ol' MON.

BTW- ANDE finally broke out for anyone that gives a $hit.

I won't forget to highlight a few shorts I am proud of...mainly JCP, GLYT, GCI, JCG, MTG, ZION and NCS.

Aside from that, I got nothing. I am scouting out a few more trading ideas for tomorrow, so keep your eyes peeled. Many of the watchlist ideas are panning out pretty well, so hope you were paying close attention.
In closing, I want to reference the "competition" one last time. Although I am flattered, please don't go overboard. Thanks to everyone who has voted, I appreciate all of your support.

Recommendation: Get yourself some HANS!

Long: HANS

Short: Effort & Homemade Images

Disclaimer: I paid a freelance artist for the HANS Across America painting. I got robbed.

I got my HANS at $40 back in May, 68%, not bad at all.

Thanks JK!

I was really struggling with google today...

I decided to let it go because I simply just dont want to lose money.....

it beats the street, and the trade is flat..

can not believe it...


This comment has been removed by the author.

Well- in the time it took me to write this, we got a new thread so I'm reposting what I just wrote.

Jeff- would you please repost that pic of the little boy peeing on AZO? Just when I think it's going my way it gets other ideas.

I must confess, I got back into GRMN a few days ago. I know we're not emotional but I'm determined to get back a few bucks when it dumped me in early October.

Although no one here probably trades Iron Condors, the RUT has been behaving nicely. I got damn lucky buying at the bottom and selling at the tops this month.

I like coffee and I've heard GMCR bandied about here, it looked ok so I scooped up 1000 shares in September. It didn't go anywhere so I sold $35 Oct. covered calls against it for a buck or so. I love covered calls. Today GMCR up $1.19 to $39.92. I hate covered calls.

HANS is the gift that keeps on giving. I know Jeff is nearly a pure technical trader but he sure got it right when he labeled it a "Game Changer".

Question- I was late to the party and got in on BCSI after it was discussed here. Looking at the chart at the time I couldn't see what all the fuss was about, why at the time it was favored to go up. On Jeff's reputation and a hunch I got in and I'm glad I did but can anyone remember what it was that brought this up as a good pick?

All I can say that as you led me by the hans back to the vending machine at Investools I just didn't underhans the relahansship to follow. This is hans down one of the best drinks and trades I have made. I sold my Oct's and loaded up on Dec's on the last pullback. My hans applaud you! It is a literal GAME CHANGER! I am sur if he was around today, Hans Christen .........enough already.

Long: HANS

Short: SAFM, VAR, THQI, CMA, and especially down with my polyester sport coat, JCP


I have to chirp in with my thanks for the HANS reco as well, it has been phenomenal. The HANS across america is EPIC! Good work my man! Are most people in this trade holding options or the underlying? I have the underlying since everytime I have looked at the options the spreads are bigger than I like.

One last thing...Monster Java has not made its way north of the border yet, regular Monster energy has but not the Java. I had friends in the states recently in Washington state, MInnesota, New York city and Montana NO ONE could get their hands on Monster Java. Since I am close to making enough on this trade for a lifetime supply of the Java is someone wants to send me one that would be great! I will pay you back in Canadian $$ :)

TAFKAA stop already. Jeff's a HANSome guy and doesn't need any flattery (someone check the spelling.)

I missed out on JCP... don't know why because I know that it was mentioned on a watchlist somewhere. As was ANF. I know Jeff likes the company, especially looking forward to Xmas... but have a look today. It was toying with support the last two days but today elected to dig a ditch. Wonder what's up there?

You wanna know what's up with ANF, Chris? Do ya? DO ya? Do YA???? I own calls, that's what's up with ANF. Stoopid pornographic store with its pornographic posters and rude twelve year old sales people. I think I hate ANF, too.

What's that? Am I still in?

Why, yes, Chris, I am.

But, HANS, my saving grace trade. How do I love it, let me count the ways.

What an awesome picture you have on your comment! And your interests are so sweet; your wife and kids. Awwww!

Jeff,I was thinking about the awesome artwork and you commented on it, that you had to pay someone to do it. Please, in the future, ask me. I am somewhat of a Photoshop artist (www.OnePerfectRose.com) and will happily help you. NO CHARGE. it's the least I can do for all you do us daily. Email me and we can discuss it further.

Ryan, good one. All you POTheads who bought the stuff on the Canadian market will be ahead by a small fortune as the $CDN is now worth almost $1.03 US. When I first suggested it... it was $0.88. By the way... don't waste your time trying to get anyone to send stuff up here. I've been begging for Monster Java and an iphone and so far none have shown up on my doorstep.

Jeff, I'm embarrassed to admit that I got into HANS late. I've always been a bit of a wall flower but I'm glad that I managed to get in on the latest pullback. Thanks for that one. I fessed up to Catherine that you had talked about it a long time ago and although she threatened bodily harm I convinced her that my track record over the past month merits a hug... not domestic violence. That and I slipped her a little novocain.

I think.

By the way, Jeff, I don't think you got fleeced on your HANS accross America (although a little Canadian content would have been appreciated. But don't worry about it... everyone else is picking on me, so why not you too?) I laughed until my arms fell off.


They are #1 in my life before trading at #2. Are you a Jersey Girl? I saw your mom's name...

Doji Girl
You are very talented...beautiful work.

Hey Laney,
My daughter works at ANF

(awkward pause)

HA!! Fooled you! Actually she works at LaSenza Girl. I laughed out loud at your posting on it. Do you wear ear plugs when you go in there? Speaking of pornographic pictures... your XXX one is still showing up. What's up with THAT!! If I seem bitter you can blame the rest of the crowd. They're picking on my spelling and that's the only thing I have going for me. Well... that and my cuteness. Jeff's HANSome and I'm cute. Try looking up CUTE on the dow.


I'm invisible.

Yes, but we moved to NC a year and a half ago. The only things about Jersey that I miss are the pizza (why do southerners think that Dominos passes as legitimate pizza?) and my sister.

I feel the same way about my family, all that I do is for them. This blog and everyone here are helping us achieve our financial freedom goals.


BEAUTIFUL artwork! I always enjoy looking at art of nature... seascapes and stuff. Absolutely gorgeous!


I moved to the Mt Hood area of Oregon eleven years ago. Transplanted from Northern New Jersey, Butler specifically.

I too miss the pizza more than anything. Oh, my mother too of course. Not to offend my fellow Oregonians, but, Oregonians don't know pizza. When we go back we have it once per day.


I think trading should be your full time gig. I'm gonna miss your thought when you go back to flying :(

Lis, thanks. It's what I used to do with my spare time before I started trading. Now I don't have any spare time.

You got me, Chris! I am so opinionated about things sometimes, I'm sorry.

I can't go into that store. First of all, those clothes are not made for women who have actually given birth. Second, I don't pay $60 for a white cotton Hanes t-shirt.

The spelling thing is funny. I used to date a guy who was in the Marines and we wrote back and forth quite a bit. He knew that I was anal about spelling and he told me that he was afraid I was going to send his letters back corrected with red pen! LOL

We love you, Chris, typos and all!

Laney, I'm from SC. I live in Indiana now, but we're looking to move back home, closer to family. We're from Charleston.

What part of NC are you in? My husband has family in Wilmington, NC.

And yes, Domino's is NOT pizza. Not even close. I can't stand the stuff...

Chris, now, now. Don't be in a bad mood...

Krystal, thanks! Did you look at the digital work? I don't really paint anymore but occasionally do what I call Photo Digital Montage.

I know Butler! We lived in more central NJ, the East Bruswick area, near Rutgers University.

I agree, it's so much more fun when Chris is home!:-)

Bye guys, I have to go teach Body Pump.

awwww...i am happy to hear that i am not the only one who took profits today on BCSI....thanks to Raimo, i have been forcing myself to take profits when the target is hit and i am happy to say it is working out very very well.....one day soon when my acct size allows for me to purchase 10 contracts instead of 2 or 3, then i will sell 70%-80% and let the rest ride....but for now i will take all my profits when i am supposed to....
i say today ended on a pretty positive note in comparison to how the day started, good job raimo!!!

ps. drink more Java Monster

Last comment, I mean it. Crystal, I am in Wilmington!! E-mail me if you want.


I love your paintings and pictures. Jeff we must mine this diamond for all it's worth!! Man... not only do you smash drums (it's a technical term) but you are ultra-creative (not a term found in the dictionary. So I made it up. SO WHAT!!) I'm going to put my snail-mail address on there and get an autographed postcard. Do I get to chose the one I want? By the way... don't let Raimo see the "Homeland" one. He'll have a much different idea than a liptstick.

Jodi, I've been saying to Catherine that we've got to get this whole trading thing down. I can retire early from the airline in a year and a half... and that's what I'm aiming for. I love this stuff!!

Laney, Catherine will only let me short ANF. She hates it as passionately as you do. For pretty much the same reasons. Must be a Mom thing. What does your Mom think?

Chris, now stop! Be nice!

Boy, I know never to pick on YOU again!...



Your paintings are beautiful and so expressive. You really have a talent with using both color and form to convey your inner experiences. Your statement also speaks worlds of the type of person you are. It is so good to see someone of your talent, passion and sensibility.


I am assuming you all already discussed ISRG after hours? Wish I had take some of that down, haha. I am holding GOOG though so I hope it holds through to tomorrow.



BCSI was an ascending triangle breakout on 10/9 or 10/10 depending on how you draw the resistance trend line. It had about a nine point target which it reached today.


DG, the digitals are beautiful. I can't decide which is my favorite...

Heartland, maybe?...No, Bird House. No, Afternoon of Sun. No,... oh what's the use?

You rock! :)


I am very impressed with your talent both in the art world and on the drums. I don't know how you find time for trading.

I have about as much proclivity for art as Chris has for spelling.

Now, calm down Chris. The margaritas should have made you numb to this by now! ( did you know numb has a b after it, bet you didn't).


No, Woman Alone. That's my final answer!

now i am officially out of the loop !!! what art work, i wanna see what DG made......
i am going to pout until somebody fills me in.......


Look up www.oneperfectrose.com.

Looking at some trades and could use some feedback.

UA –descending triangle starting back in August, breaking support yesterday and confirming today.
ACH – bouncing up off support at $79 ish
GS – c&h

(first time posting - this site helped me with my confidence to make my first trade back in May. Just wanted to say thanks...)





Wow! Very, very cool. They must be stunning in person.

I like the sentinel. That's my favorite!


KOP broke out of the flag i told you about earlier today

I'm not the biggest fan of the ANF store myself as I am not a stick figure. My cousin, however, is a stick figure and she's a designer and is in charge of the ANF designs. She's very sweet and I love her, even though I can't fit into any of the clothes ideas she comes up with.



Of those trades, the only one I would be interested in is SCHN. I love when a stock consolidates into diagonal support.

wow!!!!! thanks for the link guys...

that is awesome, you are a woman of many talents !!!

i love sal dali and the koi and beyond the purple are my favorite...

they are stunning!!!!!!

GOOG after hours!


If every financial mouth piece is spouting off at how much a stock will move, based solely on the fact of historical reactions, be the contrarian.

"Contrarian today, headlines tomorrow."

Hey, all this talk about stick figures and ANF... The only thing any of us need to fit into is OA gear!!

Wish I'd looked at ISRG earlier. It's been up substantially the last three earnings reports. Mind you... I'm a wallflower. I think I would have stayed on the sidelines anyway. Always nice to fantasize. But the last few seeks have been pretty much a fantasy anyway.

Hey Doji-

It was cool to check out your site. You've got a really cool style. You said you bailed on art to do trading, but I kind of get that. In trading there really are no rules, you can be totally creative, responsible and free. Just like art.



It's about TIME you plugged the vote on the Marketcast!!!

Hooooo Raaaaahhh!!!

ZUMZ....has made it back down to that old support area of 44 and change....does the spike on earnings make this a triple top if support is broken??? when you draw the top resistance line it looks like a mega phone.....hmmmm

yea well GOOG hit 650 afterhours, even though I am holding a call, Jeff will prob be right, I am hoping to get out even on it if possible, oil prices I think will really weigh on stocks tomorrow if those crude levels hold.


Hi Scotty_Doesn't_Know,

Welcome back. Here are my $.02 on your picks.

UA Descending triangles occur in downtrends so the pattern isn't relevant. I would look at this on the next retest for a bounce trade.

ACH Can't argue with the trend but hard to manage risk at the current price.

GS C&H still in progress

ISRG Same as ACH

NILE Bounce day was on Tues. so it's hard to manage risk here.

SCHN I bought this on Tues as it bounced off my short term trend line. I think your risk/reward numbers might still get you safely into this trade.

Hope this helps. We all strive here to get in at the same point where we'd exit the trade if it goes against us. Small risk for a much larger reward.


anyone looking at VLO, have been in it for the last few days and wanting to add to my position but just cant seem to pull the trigger, has a good support level around 70 and i think it is ready to make a good upward move very soon. With a good day in the market it could be off to the races or not?

That HANS across america picture is so cute. What cute little hands HANS has.

Can you post it under the Spartan?

The Spartan wants some more HANS.


TD, Have you listened to the Marketcast? They talked about VLO briefly. It's been on my radar, but earnings is coming up on Nov 6, so I don't think I'll pull the trigger just yet.

Listen to the cast if you get a minute...

Are you thinking of holding VLO over earnings? I notice that Implied Volatility is on the rise...


Will GOOG lead us to the promised land???

Today i mentioned something about the market that doesn't feel right. I now do not think that last Thursday's selloff was for just profit taking. It was on humongous volume. Go check out the QQQQ's on that day to know what i mean.

Today, I recommended everyone to get out of margin completely. In fact, i got out most of my long positions. Today's runup of the nasdaq could be due to anticipation of GOOG announcing blowout earnings. What we got was a limp reaction.






And finally,



Hey guys, thanks for all the kind words about the art. Krystal, WOman Alone is one of my faves. Liz, The Sentinel is another. Tonya, Dali is the single biggest influence on my art. Send me your addresses and I'll send you a postcard. When we have an OA party in Florida you can get to see most of them - they cover every wall in my house.

Inspector Gadget OUT

Slope of Hope IN


Doji Girl, consider it done.....thanks!!

your'e right. you got robbed by the freelance artist.
fred in bothell from "marketcast"

Hi Jeff and everyone! I wish I had the time to read all the comments each day. There are sooo many.

I finally worked out on how to get into those 'difficult to enter' momentum trades... JUST GET IN!!!

Thanks for the vid this week.

Here is some thing interesting about WFMI. I work in the construction industry. My role is to monitor and report construction projects. Mid last year WFMI had scheduled 20+ new stores over the succeeding 2 years. However, in general, the majority were a number of months behind schedule...

Word got out that next years projected new store sales are not going to happen - Analysist downgrade earning whick resulted in the 30% gap down at the end of last September.

It takes about 8mo/14mo to build and open the average new supermarket. Taking that into consideration and looking at the chart duration, it looks to me that some of these store are finally going to open and new store income is going to kick in. To give you an idea of how big WFMI's expansion is click on the following link...


If anything this post is just an interesting example of how a company's operations affect its stock price. In my mind WFMI has alot of upside in the coming year and beyond - They just have to get their S#$% together and get some more of the new stores open.

I Love your work Jeff - An inspiration for all. You got my vote - Good LUCK(sorry, I had to vote for Tim as well)

For those of you have not voted for him... Get off your backside and get voting.

Cheers - Tradedave

WOW, I am gone one day and you all post like crazy! If we all vote for Jeff like you all have posted that is 300 votes in a day. I voted again today but forgot some of my login names and passwords, I knew I should have written them down but then I would not have found the note.

DG, love your art and web site. I painted (mostly oils) in another life time but just for fun, family and friends. People wanted to buy but I did not want to sell.

Really good day for us today.

Listen Up I have found the secret!

Be gone!

Remember Brett's quote about "sitting". Good picks, good entries, money management, diversity and leave it alone.

Chris, I for one will NEVER take a shot at your spelling. For those of you that have read any of my posts you know why. I was trained as an engineer (did I spell that right?), need I say more?

My son shared his cold with me and I feel terrible, anyone have a magic get well solution? I am off to the liquor cabinet to find the dustiness bottle way in the back and spend some time with it. If you do not hear from me tomorrow send someone to look for me.

Doji Girl,
I sent you an e-mail regarding your art, but I wanted to encourage everyone to take a peek. They are absolutely beautiful. If I had to pick a favorite, (which would be very hard), I think it would be Passages. What a talent!

Oh, did I mention I can draw also? Yes, I can draw stick people and a tree in the winter (because I don't know how to draw all those leaves) LOL
Seriously, I have always marveled at someone who could put their thoughts on canvas! Nice job Doji Girl.


Mrs. Trader: Honey- did you buy those call contracts on ISRG like I asked you to? It's up over $35 a share today and after hours!

Mr. Trader: Uh- I was waiting for the 3rd green arrow.

click... Bang!

Hi everyone,

Where can I watch Marketcast?

This website has been very helpful to me. But I try to pick scanning stocks myself too. Could anyone comment on NE, FCX, TRA, RIO and AMZN please? I know I should diversify, but for now I only feel comfortable with calls.

Thanks in advance,

There's some pretty strong support over the last few years around 69/70. The 10 & 30 moving average are pretty close together on the horizontal support/resistance line. Earnings may be what pushes this thing higher past 75 but only you can decide whether you want to stay in over earnings.
Hope this helps a bit.


Buying stocks based on touted historics is a fool's Paradise to trade in. That's what I like about your recommendations. They transcend all this "traditional" stuff.

Mr. Payne, What Jeff has created here most certainly transcends “traditional” stuff. What he has done for all us aspiring traders transcends what most people call reality. The reality is that Jeff’s blog has been more instrumental in my wealth building than four years of college, a subsequent professional certification, and almost twenty years in business with more than half of that time spent in an upper management role. All in nine months with absolutely no limit on what is to come.

Catch the TIF breakout before it runs too far!

Addicts, As Friday rolls into the night, remember to drink plenty beer and / or wine and / or whatever suites your addiction even if it is nothing at all.

90 dollar oil, I am not liking how tomorrow may turn out. May have to buy some SPY puts on the open which unfortunately gaps down with the futures.


Jeff mentioned Schnitzer Steel the other day (SCHN) which takes me back to Germany where I always eat Schnitzel. Weiner Schnitzel (WNR SCHN?) MMmmmmmmm


I got into it two days ago and I think you should too. Jeff said on his watch list it's a stock you HAVE to own. Jan 75s are a KMart blue light special today. Get yours today at Chris's Options and Storm Door Company. OAs get a 1% discount and a free pen (with lanyard) with each order.

With all due respect I have to disagree with your take on SCHN. Yes, the chart looks great BUT with earnings a week away, the Jan 75s are uber-expensive. Most of that fluff you're paying for will melt away next week after earnings. So if you're not planning on holding through earnings, go with the Novs. Or go deep ITM so your fluff is limited.

I'm in SCHN, too


Short: CAH, NTRI, AZO(grrrrr)

Can someone tell me why I am up already in my account, (for today) on ASTI? Is it because it's a stock? I have never bought stock prior to this one.

I have the NOV calls and I plan on being out by earnings.

Doji Girl:
Funny you mentioned Dali. Hed was who I thought of when I saw Sunset Serenade.
Let me know if you plan to exhibit your artwork in the Sarasota or St. Pete area. I would love to see itin person. BTW have you been to the Dali Museum in St. Pete? It is a can't miss.


the only thing better than this stock is the actual drink. Thanks for getting me out in front of BOTH of them!


Sitting here this morning listening to the talking heads. I've now heard upgrades on Google from $700-800. Unbelievable. I remember these types upgrades in the late 90's on many of the stocks I owned.

None of those stocks exist today.

Disclaimer, I don't trade Google.

Looks like the panic selling early...finally we're putting in a bottom to this week-long selloff.

Well, I made it back. It is really ugly in our account right now though. Much of yesterday's gains are gone already and FTI leading the way. Only LEN and PNR doing what they are supposed to do at this point. And what is ARII doing? Liz now I know what you meant about trying to trade with a foggly head. Brett, I vote with you on that panic selling.

Yep Brett ... the PUTS and EFT PUTS are paying nicely today ....

SLB ... that is getting clobbered upon earnings report. There are some nice AM entries into some nice stocks ... ALXN / PCLN and TIF ....

XOM is getting kicked .. maybe because of SLB issues .. not sure yet!

Just FYI ...

OIH nice bounce posssible today

FTI is really ticking me off. It was my big gainer at over 100% and it just stopped out with nearly no gain. I did however stick to my rules but really do not like giving all those gains built over weeks back just 30 minutes today. Well I am out - next trade. Either that or back to bed.

Well I guess I didn't buy near enough "insurance" on that account that didn't have enough puts. Yuck.

DG -
Me too and I have what I thought was enough puts but it is just not working today. And to tick me off even more FTI is bouncing back! Chris do you have something clever to say about FTI to put a smile on my face?

Great time to buy if you missed yesterday's move.

Glad I sold 1/2 before earnings, but it annoys me to see the remaining unrealized gain evaporate this morning.
Days like today are a test of my emotions. This afternoon should be even more volatile with expiration.

Dropped to s/t support.

Could someone please let the bulls back out!
I thought I was being smart by selling most of my Hans yesterday in anticipation of buying it back this morning. Now, my contracts that I bought at what I thought would be the bottom are getting their butts kicked.


Could someone please let the bulls back out!
I thought I was being smart by selling most of my Hans yesterday in anticipation of buying it back this morning. Now, my contracts that I bought at what I thought would be the bottom are getting their butts kicked.


DOW down 170 points... Is anyone else feeling nauseous?... :(

Sitting on my hands!

Sitting on my hands!

Sitting on my hands!

"U-G-L-Y, You ain't go no alibi. You ugly! I said, You Ugly!"

Not nauseous, but if support doesn't hold here on the DOW, the next stop is 300 points away. That would be a bummer. That would also equal a 500 point day, just like 20 years ago (although a much smaller %)- yipee!


U-G-L-Y... Unrealized Gains Leaving You.

Group Hug, people, Group Hug!




Okay, actually its not that bad, but it's not that good either...

it sucks that there are all these losses in my account, but everything is still within my trading rules, so if i follow my rules, I have to just sit here and watch everything pullback.

ARII what a hilarious stock, everything being pounded into the ground and of course this little guy is chugging upwards.


************** STOP THE MADNESS!!! ******************

FTI... F&@k This Insanity!! The only thing working for me today is my WNR!!! Well... that and PNR and OI. Everything else is giving back unrealized gains. HANS is on the borderline of going negative overall... down 2.25 on my calls.

MTN is the only one toying with support though. I will check it out this afternoon. Meanwhile it is my lovely bride's birthday tomorrow and I'm going out to shop for the victuals. I'll go out with an account that's down about 8% and see what it's like when I get back. I'm still down by way less than I was up on BIIB on Monday.

So trala, trala... it's off to the store I go.




Ooooo Krystal,
We're mental twins. I was typing while you posted. The whole chicken little thing... spooooooky.

I know it's a bull market, but the last week or so sure hasn't felt like it. Where are the bulls?


Krystal, I need the hug thanks.

All those nice gains over the past couple weeks are going goodbye...

I am afraid to trade anything as I do not see a bottom yet. Also with this foggy head I am not thinking straight.

I was eyeing HANS but ouch it just keeping finding a new low.


Great minds think alike!

Interesting side note to GOOG:

I sold out of GOOG at 2:55PM yesterday with a nice profit .. I figured THEO on it (thanks Sue) if the stock price ran up or down 25 .. My loss down could have been $3800 .. my gain up could have been at $1400 .. I didn't like the R&R ....

This AM ... I checked the actual option I sold .. which was OTM 630 when I bought it. It's flat .. no gain on the option even though the price of the stock at open was about $13 up... I learned a load on this ... Big priced - great stock (I'll get back in) doesn't mean an option price follows the ride ...

Thought this might help someone ...


Up? How can they be up? They're getting kicked to the curb.

Well, I'll post some GOOD NEWS. I've been silent lately the last few days because my wife just gave birth to our 5th child--a girl! As far as I'm concerned, the markets can do whatever the h#*% they want because there are things in life WAY more important. And she's way cuter too.

That said, I still want to kick some bear a$$.

I want to thank this OA community because it is the one thing that helps me keep my sanity. As someone else has posted, while my account is down big today, none of my stops have hit, my rules are in place, and I'm gonna try sitting hard on my hands with this one and let my system do the talking.


Man, if you guys aren't out buying the jan 70 calls on AMX right now, what are you doing?

Earnings this am, stock holding NEW support in a down 200 day??

Wow, what a gift.

Sue and/or Benton,
Please go into more detail on what the greek Theo is and how to figure it. Thanks



I've got a 7-month old girl. And yes, they are way cuter than the markets!

CONGRATS! What did you name her? I trust everyone is doing well.


Congrats Matt .. big time . How in the heck do you have time to trade with 5 kiddos .. or maybe . you HAVE to trade with the 5 kiddos ...

Good for you and your family ... Your priorities are in the right direction ... :)))

Congrats Matt!!!


Thanks for the heads up on the AMX. This is one of my all time favorites.
I guess today is not the day to be adding puts to the portfolio. I am not finding anything to be retesting.

Fellow Option Addicts- remember last October 11th when the market took a thrashing and Jeff said he wouldn't have even noticed if someone hadn't called him on the phone. The reason he doesn't care is:

Position sizing means you know going in what your max loss is- AND YOU'RE OK WITH IT!

Money Management means you are diversified. Diversified not only in industries but calls and puts and unrelated investments and hedging with futures and/or the Forex. You don't care what the market does because you're making money every day either way.

If you choose to be nothing but bullish on a few stocks or options you will surely cheer when they go up but you will also cry when they go down.

You might want to measure your reward versus risk, how much bang for your buck you're getting called the Sharpe Ratio.

I get the feeling that many of us are crowded around the craps table in Vegas cheering the winning numbers coming up and wailing when we lose. There's a line between intelligent trading and gambling. Gambling is ok, just don't do it with your long-term money.

If you feel upset about any one day's activities, please revisit rules number one and two above.
Happy trades to us all,

What do you see with the indices today? Just a breather? Looks like they are holding support.


anyone else read
An American Hedge Fund by Timothy Sykes
new book out about a kid who made a ton of money from his $12000 he got form his bar mitvah. It was an interesting story


What do I see? I see the Nasdaq and Dow both at meaningful support. Unfortunately, the S&P is below its.

Remember that huge reversal day I pointed out from a week ago? Apparently it was every bit as significant as it looked.

However, pullbacks are healthy, and though i am enjoying my index puts, I am still bullish.

Here's what I have been shaken out of today: It starts with N, ends with G and in the middle is OTHIN.

The option addiction is starting to course through my veins.

Pretty green to options. Saw a bearish play on VMC about a week ago. Bought one contract, it went in the red, made the rule that if I could get my money back, I would be out. Well, it made a little money. Decided that I would stick with my original goal that when it made $100, I'd get out. Can you tell I haven't concreted my rules yet. Well, I ended up getting $270 before I got out. And I am totally cool that there was still money in that put option when I gave it up.

Then today, took the money that was in the VMC play and took a put option in WM (thanks to Brains over at the Marketcast). Now it's up 25%. But I know I have a lot to learn and whom better to learn but from the MasterAddict?

The beginning of the end for oils is here.....

SLB slammed. PTR slammed, Buffet sold.


Sue & Benton,
I'm sorry, I was thinking of the greek Theta. I think you are talking about Theo Price. Anyway, please teach me about Theo and how you use it. Thanks.






And finally,



Barbara, I don't know if Sue and Benton are here right now, but I think they may be talking about the Theoretical Price tool in TOS. Do you have TOS?...

Yes, I use the Tos platform. On the trade tab, I can enter the Theo Price. What does it tell me and how do I use it as a measure for getting in or out?



Congrats on your VMC trade. How long have you been trading? I've only been trading since June. :)

Well, had to go out for a while. Had stops in place. Came back to see many stopped out. Several more still in there but UGH!!

Strange thing, my puts aren't up nearly as much as my calls are down. That makes no sense!


Once you select "Theo Price" from the Information Layouts list, a row of changeable data boxes will appear just above your listed options.

So let's say you're in COP (which I am) and you're playing the potential breakout with a price target of $104. And you think it'll reach this target by November expiration.

So you change all the information in those changeable data boxes to conform to your forecast. As you do that, you'll notice that the THEO PRICE column under your listed options is being adjusted accordingly. This allows you see the theoretical value of your option when it hits your target by the forecasted date.

It's kinda like the Black Scholes Calculator... it just tells you what your option SHOULD be worth. I use it to calculate reward:risk.

Did that help, or did I just confuse you?


You know, I don't get it. Bears (puts) are very strange to me. They don't seem to conform the way bulls do. On up days, most bulls are up, and vice versa. Bears, on the other hand, seem to do what they want on the days they want. It's so weird...and it doesn't put you in a good mood on a day like today...

Speaking of position size and losses. I'm okay with losing my max loss on any one of my positions but when they ALL go that way (several positions were put on in the past 2-3 days)it sucks.

Do you think that part of the huge downdraft is a self fulfilling prophecy from the talking heads at CNBC who kept harping all morning how this is the 20th anniversary, etc. So the minor 75 point downdraft has everybody racing for the exits. Or did WWIII break out while I was out showing a house?

DG, you're a realtor, TOO!!!

Okay, what do you NOT do? :)

Thanks. No it didn't confuse me. Too much that is. LOL. Do you adjust the volume also? If so, by what %?


I got in TIF yesterday just as it broke resistance. My question is ... on a day like today, TIF holds on strong, but below my line in the sand. Has TIF broke my rules, or has it done well despite the market. Sell or Hold?
I would like to know some of your thoughts.


It's time for me to re-evaluate how I'm position sized and diversified. My puts are doing fine but they are definitely not making up for my calls going down as well. And I thought I was positioned sized and diversified enough. Obviously not. So, I think I'm going to go back to the drawing board. I already had to get out of 3 positions this morning and I'm so glad I got out of them when I did... OIH... Everything else seems to be hanging but sucky except good 'ole POT!



OH! I forgot to mention that. That's actually volatility, as in implied volatility. And since there's really no way of knowing what that'll do, I just leave it alone!


On Jeff's watch list. Breaking out today on great volume.

Krystal, you got it. Laney, Krystal, I apologize....

I have had enough of these f@#$)ng, fuc@#$ing....fuck23ng...fuc$ing......FREAKIN BEARS!!!!

Letting my bulls out now....

Liz, I think we could all use a little POT right about now!

I got into TIF this morning. My line in the sand is 3% below the breakout, roughly $54.60. I did my risk/reward #'s based on this stop. The 3% is wider than normal but 1% just seemed too tight. I don't think the trade is broken overall.


I'm with you. I was diversified but my puts in my IRA are not going down other than IWM. Irritating.

Diversification means nothing if the trades don't go your way.

TIF looks like just a pull back at this time. It's running in a nice channel since the first part of September. I see the bottom of the channel at around the $53.80 area and the top of the channel at about $58. I say hold. Anyone see somethiing different?


I lost 50% on my OIH option and the one day chart and news and profit taking on the CBOE has me out now instead of 3:00.

Watch the darn thing go back up to the 30MA for the day. That happen on TIF a few days ago and I sold intraday only to see it rebound end of day, then gap up the next day. Missed the whole move. $hit.

I need to look closer at some index puts like Bret to hedge these days. just don't seem to get this swing trading thing yet....


My plan on TIF is to wait until days end. Raimo is letting the bulls out and the market has already come off its lows. Sorry my reply took so long but I am sitting on my hands and typing with my nose.

Thanks, Brett.

I needed a reality check. That's why this blog is important: staying focused, diversified and plugged in.


For the last 5 days BIDU has been in an AT. It is testing the 320 right now... (5d, 5m chart).

Whats a great value play today - a great stock that has dipped to REE? Any thoughts?



Just noticed Trader Tim (Bear Knight) of Slope of Hope has been snoopng around on the Blog - his pic is on the blogroll list at the moment.... wonder if he gets jealous over how many comments we have over his 5-10 per day....

Go get him Raimo!!!


Krystal, to answer your question is there anything I don't do...yes. I don't vacuum.

If you are not in HANS and want to be, now would be a good time to jump in. It is starting to head back up a little, but I wish I were getting back in here instead of where I did earlier when I thought it was at the bottom.

WRT Trader Tim ... he founded Prophet.net not sure how any of use could dislike him ... I love that tool set.

On the topic of ELON I see it as those that don't want to hold over earnings (plus expiry) as the root of the drop. whn I added the 50-day 50, it lined up with Raimo's diagonal support. As for the short diagonal ... I'm not as confident with that one.


Well, I got a lesson in short term price patterns today.

After making out with a whopping 100 dollars holding over earnings I decided to do some short term trading on the front month 650 calls.

Scalped another 2,300 off old GOOG! haha. Of course I watched with horror as it then ran up even more to where I thought it may and would have doubled my money, however, 2,300 gain for today vs. a loss originally is nothing to be upset about. :-)



The dow will finish GREEN today..

Also, anyone with more political awareness have input on the whole turkey issue?

I am thinking of hedging with some S&P puts going into the weekend in case there is an event that pushes oil up even more.

What say you OA's?


The panic bottom is in, just like August. And right at support.

As I said this morning, it ends today.

JJ, Down boy! Trader Tim is a guest and a colleague of our fearless leader! Let's welcome him with open arms....unless he's the one who unleashed all these dang bears!

Besides, on a day like today, I'm likely to take a peek at HIS blog!

Doji Girl, I don't vacuum either. And it takes an act of Congress to get me to sweep. I do cook, though, and I make a mean lasagna...

You should look at WFMI at these levels ... and the options are nice!

Patience? I've been buying calls at REE all morning.

Thanks Barry.

I grabbed some HANS dec 70 calls & some VIP Nov calls - expect to triple those calls within a week. Still bargain hunting...


S&P support at 1530 are you still rolling out your "block trading program" around 3:00 if you think we close around 1520 or 1530.

Or is there more selling tomorrow?

Thanks in advance.


It was one of my put plays to protect me from days like today, and what happens? It holds and is even up a little. When this happens, do I see it as a sign of strength and bail, even though my stop isn't hit? Is this a signal that the downside is limited and consider that my previous TA is irrelevant? What would you do?

Anyone in MDC? Someone tell me why that stock is UP???

Liz, back to what you were saying earlier... After being burned by all the whipsaws this summer, I am FIERCE about position sizing. Now, I don't evaluate position size based solely on what I'm willing to risk, but I also position size with the assumption that the stock could gap against me and I lose the ENTIRE premium. That narrows the number of trades that I can participate in, but the results are phenomenal. The most expensive contract I've got right now cost me $420. And since the premium was so small, if the trade moves against me, the loss is small also... one or two hundred, max. My target reward on that one is $840, and my risk is $110 (unless, of course, the stock gaps). (CNQ)

Because of this blog, I am also fierce about REE. I wasn't like that before. And that, along with improper position sizing cost me A LOT of money in a very, very short period of time.

I'm certainly not trying to sound like I know it all. I've said many times here that I've only been trading since June. But when you lose a butt load of money in just a few months, you learn some lessons and you don't forget them.

And POT, the gift that just keeps on giving. Wish I were in it... :)

On a related note, how do you handle news that goes against you? Take JCG for example. I was holding short on that as well, when both Cramer and some analyst upgraded the stock as an outperformer. Do you let news like this invalidate your TA on a trade, or do you hold to the charts? Like with earnings, I generally don't like to hold a security when news comes out against my position. Seems to me that increases the risk and it's better just to bail and find another trade.

I like the VIP calls myself. Pretty good entry at this point. Grabbed me a few of those...so thanks to you.


Oh yeah, and another analyst downgraded HANS. Doesn't that change your opinion on it, at least a little?

Brett .. quick question .

Since we are bottoming somewhat here .. are you moving out of some of the ETF puts for profits or are you staying in yours until we hit the prior highs?

This angle is new to me but I won't not do it again .. it has been a super portfolio cushion! Just learning the idea a little better ..

Matt .. these analysts want into HANS ... they missed entries ... This is a great place to get in - in my view for those that missed!

Heck .. Jeff and Brett alone will enhance their bottom line!

Judgement Day: 8 days

I now put the probability of a severe correction at 70% between those 8 trading days.

I put the probability of a CRASH by the 8th trading day at 50-50. It may not sound like a high number, but it is.


God, i hope there's no selling tomorrow, since it's saturday, but i'll bet there will be bears who will still try to.


I'm not getting out of my index puts anytime soon.

To me I see the HANS pricing as expensive for all options in NOV and DEC, both ITM and OTM. Go much OTM and the theo price is non existant.

What am I missing?

Thanks Brett!


Despite taking the Option Addicts credo, you can still buy shares of stock.

Raimo, I love you buddy, but the only that is Green today is that bud your smoking:) I just dont see that big of a reversal my friend.
Stephen in Buenos Aires

Someone's choking your bird, my friend.

Oh.My.God. I just got home and saw my account.

Ummm, Raimo? Now would be the time to do as I say and make the bulls come back out.

And what's up with CAH? It's only down .11 cents when the DOW is down 219 points?

I will not panic and sell. I will not panic and sell.
I will not panic and sell.
I will not panic and sell.
I will not panic and sell.

Thanks for the response.
Ooops meant next trading day.

Yes, the stock... that is blasphemy. This is OA. This is Sparta.

Point taken, good idea.


I feel the pain too pal.....

Laney..I would really have to let teh explicatives fly here to scare the bears away...

And KIM..goog Job, i bought today some calls at REE as well....glad your on my team..

Actually, this summer I did really well. Not sure why except that I like getting in and out of trades super fast so for me, it was some of the best trading I did. I have a harder time with the whole patience thing even though some of my most profitable trades have been because of patience. Also, my biggest losers have been because of lack of patience. I also have more in my account than I did before so my "small" losses have become slightly bigger and I'm not use to that yet. But I'm definitely going to do some re-evaluating this weekend and see what I need to do differently. It's always good to re-evaluate every once in awhile. So, thanks for writing back to me.


I love your picture, it makes me smile everytime I see it. :-)

I know that we're not supposed to be emotional but I'm a chick, I can't help it. I want to cry. Waaaa.

What do you think of the SPX? Back to 1490?

Ok I'm gone - done enough damage today - bought 4 new positions that continued down. I have to walk away or I'll sweat it.

Have a great weekend everyone. Off to the hills again to do the Raimo act.


They just had the first chef Google hired on tv. He owns 400,000 shares and that alone is worth 26 million.

So much for advanced college degrees.

yes. I close my account, and dont even want to see it..

a bloody friday


Jim..Good luck. I am home this wekend, but next weekend it the RUT baby. Good Luck,,

I could have written your last post about position size/account size etc. Just this week I started resizing my position upward in number of contracts and trade risk. So today's losses are way more than I'm used to seeing. Then again, yesterday's gains were WAY more than I was used to seeing. I've given almost all of yesterday's gains back.


This is NOT the time to not look at your account. If your account has you nuts....this is the time to analyze why. Are you overleveraged in one direction? Overpositioned sized in one trade, or industry group?

This market acion is a perfect opportunity to learn, not to hang your head.

Oh, and by the way, I am transmitting this from my local bar, and the Yuengling is a flowing!


Jodi, where is your humor when we need it??

*********** LANEY I CAN SEE YOU!!! *************

It's a miracle!!! My eyes have been restored. What a cute pic.

Well I don't know what to say. Just got back and am whipping up a little afternoon cocktail for my bride. Got to get her juiced up a little as tomorrow is her last birthday before the big ____ oh!

I really have nothing to say... except ARII and MDC THANKS FOR NOTHING you worthless piece of sh@%&#. I thought I was reasonably protected with puts but more than half of them are working against me today. ARII is being a particularly problematic child and I'm thinking of banishing it to the dungeon. Along with MTN.

Other than that I've dropped most of my unrealized profits which is not a big deal as I had unloaded a good number of my winners a few days ago. Or was it a week?

Nothing's breaking support and I don't have enough cash to buy into this weakness. I will focus on getting ready for Catherine's birthday tomorrow and let things ride. If monday turns out to be another day like today... THEN I'll be pissed.

So is this afternoon a good time to go shopping for bullish plays at ree or today a lead in for a Black Monday, a la 1987?

I admit to being tempted by a few but perhaps it is better to wait until after the weekend?

I know Raimo is buying...what looks good besides TIF?

holy sheeeeet !!!!

i am glad i am at work today and i am glad i took some profits yesterday when the targets were reached.....

Raimo, how about you get your bum bum out of the computer chair and go get up in a tree or something....it is bear season !!!

ps. i did add to HANS....funny thing is i was just complaining last night that i missed the add point when it was down graded a week or so ago....$55 would have been better, but $62 is okay.....

time to get back to work, yippy !!

ELON -7.9%

I'm waiting to hear ELON hit the bottom of the well... but it's still falling.

Have tried to email you but no repsonse so when you get a chance, maybe over the weekend, I'd like to talk to you about what you use to log in from trees, bars, etc. I definitely need to be able to be mobile without sacrificing trading abilities.

Raimo, I'm trying to find out what bar you're in and I'll buy you a Yeungling. You deserve it.

But I can't.

Too bad.

Bye Bye ELON, you worthless piece of caca.


I'd love to go bear hunting, but I am on a new hunt....

Seems C2 is MOCKING me on ELON....

My .454 casul is now locked and loaded.....

Uh-oh, Chris. Raimo's on the hunt and it's you he's looking for! Also, I dumped ARII four days ago and made, jump back(!!) $5.00. I am just that good. *eye-roll*

Yes, I fixed my picture but the other one is cuter. :-)

I thought expiration Friday was usually an up day.

CF - It was on my shopping list thsi morning. Breaking out of asc. tri with volume and up over $2. Do I dare?

Thanks! It was one of the very few times I was actually in front of the camera. I'm usually the one taking all the pictures. I love your picture. So cute and the little one is adorable.


Doji Girl-
You're right. Yesterday was one of the biggest I've seen in my account as well so I guess it's something to get use to. Not a bad thing just growing pains. I hate giving it all back though.


Usually my husband is around so I can bounce ideas off of him but there's an echo in here today. Sucks! Oh, and I'd really like him to change my son's pants right now.



If CNBC would quit celebrating the "Crash of '87" it might have been an up day.

Can someone explain this to me please? I don't understand why when oil is up, OIH and NOV come crashing down. Oh, and XLE. I understand that higher oil creates fear in the marketplace but... this is where I don't understand.


How ironic! I just switched the T.V. off because of that. I'm having the "Crash of 07" right here in my kitchen. What a day to not have any whipped cream in the house.

Well this is a really interesting day. I feel lousy, it is the one year date of my Dad's passing and the market tanks. Weird with 87 crash thrown in.

At this point all my gains for this week are gone so am a back to close on Friday numbers. Will have to get to work once the fog in my head clears to make it up.

It's hard to work through the fog. I hope you rest this weekend. Remember great things about your dad, drink lots of tea and have chicken noodle soup.


Liz, the pressure on NOV (and oil well services in general) was increased by SLB's earnings release. There have also been warnings from refineries recently that their refining margins are declining.

I think it might be time to sell my NOV and look to other sectors.

After reading your post to Raimo concerning keeping up with your account, thought I would share my experience with the think micro download from TOS.
If you use TOS, they have a blackberry application which gives you a real time update on your account. You have access to option tables and all your positions. The only thing that I miss is the charts.

Good thing I am at home today. Typically I am traveling and monitoring my acct. I would probably have crashed myself if I saw these numbers while driving.

Hope this helps


I'm still learning but.....did LVS confirm a double top today? You look for a close below the 130 level.

Brian K,

I don't know for sure, but it seems like there's supposed to be a significant amount of time between the two tops to be considered a double.

You might want to re-post this question on the new thread... Some of the more experienced traders might have a little more insight...:)

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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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