A 70k bet that I can't make a 50% gain in 2009

6/1/09:

2:30 1300 DXD BUY 45.56
STOP 45.41
TGT 45.86

 

6/1/09:

3:05 600 SKF BUY 40.69
STOP 40.39
TGT 41.29

 

3:16 600 SKF EXIT 41.30
P/L +351.18

 

2:26 1300 DXD EXIT 45.57
P/L -2.24

* Got within .03 of tgt

 

Hi Geez,

I attached a chart of your BCS trade.

Can you please describe you thought process, (trade pattern), for entering this trade?

Thank you,
gotta_trade

 

Hi Geez,

I attached a chart of RIMM.

Can you please describe your though process for entering this trade?

I truly appreciate your help!

Thanks,
gotta_trade

 

I love how geez humors me with these little surprises. I am just reading along and boom, easter egg. haha!

 

6/1/09:

Total P/L -32.98
9 trades
2 wins
5 losses
2 b/e

 

Sure,
BCS is extended on the daily chart and has a big gap up. After the first rally from the open, it retraces almost 100% from 9:50-10:00 (first sign of weakening). Then it puts in a small rally, and as soon as it breaks a prior bars low (10:05 bar breaks under the 10:00 bar) I short it.
The key to this was how extended it was, looking for any weakness to begin the profit taking.
Pretty simple...and thats what I like. (Stopped for a loss)
Let me know if that hepls-G

 

Sure,
I had RIMM on a long watch from the open because it gapped above the prior day (a red day) and was in an uptrend all day, along with the indexes.
1pm RIMM sells off, but by 1:20 it fully retraces that sell off (sign of strength)
1:40 setups up a higher low from the previous low from 1:05.
I BUY over the 1:40 bar and place a stop below it, looking for a 2 to1 reward.
Once again, it was the strength in the gap, the indexes and the overall uptrend on the 5 min chart that made me take this setup.
(Nice charts by the way!)-Hope that helps...G