Spydertrader's Jack Hershey Equities Trading Journal III

Discussion in 'Journals' started by Spydertrader, Dec 30, 2006.

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  1. FYI, this is an outside the box post, but seeking a Hershey method opinion from anyone who would like to comment. Skip if not interested.

    Just an FYI on an observation I made beginning on 09 July 2007. The stock has nothing to do with the Hershey symbol universe, HOWEVER, if you look at the chart, you can definitely see a very tradeable pattern which I believe would follow the Hershey method.

    The symbol caught my eye as a long-term hold when I first started considering the sub-prime mess back in Feb/March of this year.

    I share the symbol as I would love to hear other's comments on whether this is indeed an outside the box symbol that could be traded well following the Hershey method. If I'm mistaken please take a second to say why.

    SRS is the symbol. It is an ETF. It is 200% short US Real Estate. I'm up 30% in 3 weeks, but I've also given up 2 - 3 clear cut cycles by holding the position. Please let me know if you see the same thing as well as your take on how best to trade it.
     
    #1641     Aug 4, 2007
  2. For me, I'd like to see greater than six months worth of data on a symbol before I place my money on the line. Jack has always stated he requires two years worth of data to include a stock for trading consideration.

    - Spydertrader
     
    #1642     Aug 5, 2007
  3. Monday's Dry Up Stocks

    FRG GROW JADE MTOX

    - Spydertrader
     
    #1643     Aug 5, 2007
  4. Thanks for the input, Spyder. The lack of data is a show stopper for the strict method.
     
    #1644     Aug 5, 2007
  5. Does anybody else find it strange that our universe of high quality stocks is down over 5% as an equally weighted index while the Dow and S&P are both up over 1%?
     
    #1645     Aug 6, 2007
  6. Not at all. We don't ever trade the entire basket of stocks at any one time, so a comparison which includes doing so as a parameter plays no role in our trading. Also, These stocks move - both up and down more rapidly than a Dow or S & P stock. As traders, we want stocks which move. Those which sit still do not serve our purposes. The lesson here should be, shorting these stocks makes as much as (or more than) entering into long positions.

    - Spydertrader
     
    #1646     Aug 6, 2007
  7. And with that I begin the “short side” learning process. Don’t worry, I wont ask why we don’t short from a universe of low quality stocks. :)
     
    #1647     Aug 6, 2007
  8. What were some of the shorts that could have been taken today and the reasons behind taking them?? I see a lot of money could have been made on the short side and Im looking to add more trading scenarios to my repetoire. Any info would help.
     
    #1648     Aug 6, 2007
  9. I recommend learning the long side first.

    - Spydertrader
     
    #1649     Aug 6, 2007
  10. <img src=http://www.elitetrader.com/vb/attachment.php?s=&postid=1558548>
     
    #1650     Aug 7, 2007
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