long term position trading -primarily etf's-

Discussion in 'Journals' started by sowterdad, Nov 8, 2014.

  1. sowterdad

    sowterdad

    interesting Index segment - Ex tech
    Comparable ETF QQXT- breaking out -low volume- QQQ's still below prior highs. Will look it over -Thanks for posting .
     
    #381     Apr 23, 2015
  2. sowterdad

    sowterdad

    Understanding- currency, yield curve, - still haven't got a handle on how to understand this- or how the markets may react- Just points out how much I have to learn-despite following stocks for a long while- Thanks .
     
    #382     Apr 23, 2015
  3. eurusdzn

    eurusdzn

    Yeah, youre a better , more active trader than I, its just an explanation and you cant make money off of that. Do what you do.
    Good luck.
     
    #383     Apr 23, 2015
  4. sowterdad

    sowterdad

    Sometimes- less active is really the Better approach- Ask the majority of professional & active fund managers. It remains to be determined if my increased activity will be productive for me in the months ahead. I appreciate you taking the time for the explanation- Feel free to share - That's how we all learn. Thanks for your input.
     
    #384     Apr 23, 2015
  5. sowterdad

    sowterdad

    I was filled on TAN as it gapped higher at the open-
    Bought 30 @ $49.47- partial position entry

    QQXT moving nicely higher this lunch hour.
    Autodidact was correct- bullish- thanks for the suggestion
    I will take a position in this momentum move in the next few minutes-
    It will be in a separate account than the ib account- that I can access from here.
    Just filled 50 $42.87 12:22
    $40.75 looks to be just below the prior swing lows .
    Initial disaster stop is $2.12 below my entry- or 4.9%.
    As I allow my entry stops to be a bit wider- to be outside of intraday volatility- and just getting touched on a down spike- only seeing the trade rebound higher going into the close-
    I will still expect to tighten stops on some or all of the trade on a sign of weakness-
    The goal is to not get taken out at every minor market quiver- but to not let a decline take away decent profits or become an unnecessarily larger loss-

    Raising a partial position stop higher on weakness- Like I did on PJP last week- Part of the position sold, the rest held- but the trade was already in net profitable territory for both stops- It's more difficult on the initial entry to have that turn immediately against you to have the discipline to take that quick -early -in-the- trade loss, but that's why I have to always be willing to determine - at the time of entry- where the level my stop will start at.
    Using this entry as that example- My 5% or so Stop is just setting the disaster stop- I will raise the stop if I see a weakness that I am concerned about-
     
    #385     Apr 23, 2015
  6. sowterdad

    sowterdad

    Thurs 4.23.15
    With the overall markets up, Time to go with the tide-Not sit on the beach....OK, If a rip tide shows- don't wade in too deep.
    I don't know what will cause a knee jerk market sell-off - but I think it's worth following the trends on the charts- until they turn- Finally- 15 years in the making the NAS played catch-up to it's past highs.
    XBI moved higher today- I lowered my Buy-stop and increased my order size-Buy-stop-lmt 15- $237-$238.53 $10 trail stop- puts me below the prior swing low on the entry.
    PJP- I'll try to get a fill back on the 15 shares I sold- Yes- that is overweight-
    Buy-stop $80.25 - $81.05
    The EEM chart looks good - but past resistance highs are not far away- $44.50- $45 from Sept 2014. I'm not comfortable with 3x leverage, but the EDC seems to mirror the recent movements- with 15% or so upside to the equivilent resistance-
    This leveraged play also has good daily volume.
    I reduced the position size - Buy-stop 30 shares $30.50 - $31.50 with the disaster stop $27.50.
    edc  4.23.15.JPG
     
    #386     Apr 23, 2015
  7. #387     Apr 24, 2015
  8. sowterdad

    sowterdad

    Hi Just-
    thanks for posting the links- and the walk back in time.
    The Article Indeed brings back some -UGH- Tech memories - of trading in that bubble era and my final initiation into how quickly things can decline-and how much money one can give back in a market decline - blink or two-or three-
    Allow me to look back when....
    The article reminds me- How I didn't understand I was in an overvalued bubble -I had only been trading for myself for a relatively short period of time- 1-2 years- Didn't have any experience of a declining market to fall back on...Trading was easy- You bought what was mentioned/highlighted on CNBC- That was the trading plan- Made a lot of steady profits-for a short while- Those were some really exciting times back then- I had no clue what the guy on the other end of the phone line was talking about after several vacation days home & buying and selling stocks (in my mother's account at that!) said i had to cover my margin purchases- I had made profits on all the trades but he wanted me to put more money in or they would not allow me to keep all the profits i had made....

    I would also prefer to recollect the 1 day excitement of trailing a stock stop-loss from $9 to $48- yes-a buying frenzy - all in one day- Another "success" story to recollect- BUT...

    The end of that era's peaking chapter was when pullbacks were no longer buying opportunities...Ultimately led to greater declines- - Smart money was exiting- and the Retail Investor was still wading in..........waving flags that all was clear - But - The Tide was going out-
    Let me add the Insult to the Injury- I may have told this before - But it is worth repeating to those that have not been trading prior to 2007.,and have not experienced a significant market decline/sell-off- WE are well overdue- but propped up by Fed interpretation of their rate policy.
    Back in the bubble:
    - after losing a considerable % of my starting account, I went-discouraged- to a seminar that had a professional advising us to put our money - for safe keeping- into a company that had Billions of dollars of profits on their balance sheet- and suggested to not look at it for years to come. This was a knowledgeable professional giving profound guidance to those of us that had lost our way- and a lot of dollars.
    I don't think I paid $250.00 per share for SUNW at that time-Bought it much lower at a "Value" but several years later I woke up and was happy to sell it and take the remainder at $4.00 or so. I think I had bought at $8 - Just a 50% loss needing a 100% gain to get back to break even.

    What had been a market leader in it's technology- got overbought- it's technology got replaced- and - while it managed to keep a presence- it was no longer a market leader- and would never regain that prominance. It was replaced by new technology, and never regained it's market dominance-
    http://www.forbes.com/2009/03/18/su...hnology-enterprise-tech-sun-microsystems.html

    Telecom was a big market segment- CSCO was the gorilla- some $75.00 a share- I remeber bragging I got out of it at $65 or so- Thinking I was a smart trader.....Actually- the early exit was indeed the best exit-

    The question becomes- when is it prudent to step in to a market momentum move, and when should one be selling into it? We have no way to make that determination- unless we do it with hindsight- The optomotrist I go to tell me that hindsight is 20-20 and is usually Spot-on. LOL-

    Which brings me full circle to tonight - My positions mostly declined from yesterday- but the markets closed a slight bit higher-
    Yes, I need to find time this weekend to "evaluate"
    Thanks for posting- and the opportunity for some recollection!
     
    #388     Apr 24, 2015
  9. sowterdad

    sowterdad

    A number of interruptions in this late Friday pm attempt to post & REVIEW TRADES.
    Will find time this weekend to play catch-up
    Trades I was filled on : EDC, XBI, PJP today all ended up lower today- but still are active-
    I will review my positions over this weekend, and my new entries- and stops-

    EDC 30 @ 30.79
    xbi 15- $37.07
    pjp 15 $80.27
     
    #389     Apr 24, 2015
  10. sowterdad

    sowterdad

    SOME EDC CHARTS-
    The Fill was using a higher buy-stop order with price right at the recent high-
    Demand pushed the price up higher-
    This is a leveraged ETF- follows the EEM.

    The wider the time frame one views, one can get a different perspective for a sell target, as well as a stop-loss target. The larger time frame chart shows a multi year sideways trend-
    What can be seen on a weekly chart going back 4 years, is that EDC has hit similar bottom lows- over the years on pullbacks- but the EEM has not had the depth of pullback lows-
    EDC may be fine as a short term momentum play- but -like most leveraged ETF's they do not perform the same as the underlying over time.
    EDC  2 HR.JPG EDC DAILY.JPG EDC WEEKLY 2015.JPG EDC MONTHLY 2015.JPG
     
    #390     Apr 26, 2015
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