Don's Opening's Journal....

Discussion in 'Journals' started by Don Bright, Dec 21, 2001.

  1. The edge

    The edge

    Sure,

    let's take an example for instance PG today. FV indicated an opening down 0,1%. That means the FV for PG today was previous closing 79,51-0,1%=FV which was 79,43. I placed an opening buy at 78,93 and sell short at 79,93. The stock opened at 78,9 where I got filled. I covered my pos at 79,15, which equals a profit of 25 cents which is my target.

    Trades today 12/31:

    PG, enter long at 78,9, exit 79,15, WINNER

    Paper trades today:

    JPM, long at 36,45, exit 36,20, LOOSER
    C, long at 50,6, exit 50,85, WINNER
    CI, long at 90,2, exit at 90,45 WINNER
    CVC, short at 48,30, exit at 48,05, WINNER
    LLY, long at 79,21, exit at 78,96, LOOSER
    MU, short at 32,25, exit at 32, WINNEr
    OMC, long at 89,05, exit at 89,30, WINNER
    HIG, long at 62,15, exit at 52,40, WINNER
    XL, short at 90,80, exit at 90,55, LOOSER

    All in all a ratio of 7 winners and 3 loosers, which turns into a 70% prof.
     
    #31     Dec 31, 2001
  2. Put in 13, filled on 3, made money on 3. Used a .8 envelope, netted $900...done within 10 minutes (very good opening day).

    Happy New Year!!
     
    #32     Dec 31, 2001
  3. The edge

    The edge

    Don,

    is you envelope a total 0f .8, meaning .4 below and above? Or is it .8 above and below fv?

    Happy new year!!
     
    #33     Dec 31, 2001
  4. Don,

    Have you actually explained the concept of this strategy on a different thread? I don't see it anywhere on this one and the spreadsheet you posted seemed to be stats only. I followed Edge's explanation just fine but am interested in reading it explained in your words as well. Thanks.
     
    #34     Dec 31, 2001
  5. I have explained the basics, but for this particular strategy I really need a few hours in a classroom setting...since the exit strategy is much more complicated than the entry strategy. We have modified, updated, and streamilined somewhat the methods used (with better results).

    I purposely try not to "hold back" or "bait" anyone into thinking I am trying to sell our school or firm when it comes to offering strategies....but in this case I simply cannot (in good conscience) share all the details involved (especially since we change the basics monthly, it seems).

    I put in bids and offers on a given number of stocks as "opening only" trades, and trade out of them based on our advanced exit techniques (even though for the most part, we are "out" within 10 minutes or so).

    :)
     
    #35     Dec 31, 2001
  6. The edge,

    Thanks for explanation. That was what I thought you did, but Don's comments confused me a little. That's a good way to start your day.
     
    #36     Dec 31, 2001
  7. The edge

    The edge

    No problem,

    by the way, here is some play's from my watchlist thursday which I haven't included in my stats until today. Too many stocks to follow sometimes:)

    LLY, long, LOOSER
    SII, long, LOOSER
    GS, long, WINNER
    UN, short, WINNER

    Just for the records, LLY has been a looser twice in a row, but I'll keep track of it since my database still isn't valid statistically in number of openings.
     
    #37     Dec 31, 2001
  8. LLY is on my opening list as well. I did not get filled on it today...what I have found is that by keeping a bit wider envelope on the drug stocks that I have had better luck. I keep LLY on my "pairs" sheet as well, and when it is not acting well post opening, I sometimes spread it off (which has helped a lot with the overall p&l).
     
    #38     Dec 31, 2001
  9. nitro

    nitro

    Don,

    When you say:

    "I keep LLY on my "pairs" sheet as well, and when it is not acting well post opening, I sometimes spread it off (which has helped a lot with the overall p&l)."

    Would you please:

    1) Define post opening, i.e., at what point do you consider it "post-opening"

    2) Define and expand on "acting well."

    3) When you say "spread it off" do you mean crutch pair it or straight pair, in which case I asume it is a daytrade long play.

    4) When you spread LLY, how much, in your experience, are you looking to make on the pair if

    a) it is a scalp
    b) it is a daytrade
    c) it is a longer term play (I know the answer to this one :))


    Regards,

    nitro
     
    #39     Dec 31, 2001
  10. "We try to modify the over/under based on sector, volatility, and then adjust them for the current fair value calculations."

    Okay Don whatever you say. Don I think you need to a lot more ambiguous this way you can have even more people replying and trying to figure out what your talking about.

    25,000 cash entry
    600 per month desk fee
    $1000 course
     
    #40     Dec 31, 2001