Idea: Shouldn't trade the stock but hedge by futures ? I want to be short in a stock , but futures manipulates its price sometimes. Law of averages or ..
Exited KBH 68.59 -.18 LEN 68.58 -.10 I'm trading nothing/noise, I'll have to think up of a new method to position myself for a swing trade while avoiding this. hmmmmmmmmm No more trades today, time for reflection. YM futures is still in a downtrend though
re; 20/20 Good probabilities on shorting AAPL,QQQQ; related , coolweb; @ eod yesterday both were below 50 dma,AAPL still is today. When i lose money on a trade like that , doesn't bother me that much; because even in 20/20 hind sight thats still where most of the probabilities were.Rising GOOG/QQQQ tide could lift even a leaky red apple tomorrow???????. Still interested in XLE sector; but indecisiveness can be a decision also
I have added shorts on LEN and KBH LEN 60.29 KBH 67.65 The difference is. Small size. I think the key to long term trading for me would be where not one position that goes crazy will have an effect on me I also read up on long term excelenece the capital story, And I found the same story, Large positions held in shorts are very dangerous because of the whips. I think I am well positioned now for the home builder drop. I reflect on yesterdays trades and I Feel, I shouldn't have traded that much I Should not have went in with size when I was fearing every cent Thats stupid, Swing trading isn't suppose to be like that. But also I was a trading a lot of noise. I did note that YM was topping around yesterday, it did so. Here is my plan. I do not plan on putting large size anymore on any position espically on shorts. 500 shares at a time. I think we will gradually build up our portfiolo. And we'll leave the large size to my daytrades, because you just can't swing with a larger then 1k share , because the market will ALWAYS whip you where I enter. but because of self, FEAR I FEAR of losing money. Lets kill the fear, We know the direction of the stock lets lower size so we don't get shocked by small noise. Lets build up our portfiolio stock by stock instead of @ 100k positions per time. Lets build up our DIVERISIFED portfiolio slowly, so we don't have this lingering fear.
Its no question that home builders are going to fall, interest rates are going up. They got new homes selling for 2 for 1 probably in california. why would nobody short it? Because nobody everybody is scared shitless to RISK VOLATILITY $$$ LOST NO IDEA WHEN TO SHORT How can you combat this Protection 1. Using tech anaylsis Protection 2. Holding for the long term Protection 3. Using smaller size. where fear is not a problem for whips. Protection 4: Short when the market is dropping Right now, personally I don't even know where exactly to short the homebuilders for minimal risk, its almost random sometimes when there is no "news" I just have a stop thats a few bucks away and small size. Thats how I'll be combating this. And I'll try to short when the market is dropping.
Selling AAPL is quite a good risk reward proposition except I'm shorted out and the market is above 11000 [ bullish] AAPL's company as in fundamentals look decent to me, its just overvalued but the TA is like a deathtrap waiting to happen Yesterdays high should never be touched in the near future 2-3 months, Should be downtrend from here but I am sort of shorted out, no new shorts :/ Anyway, I'm hedged, I got work to do, will start doing it, Need to make some real money, I'm not elite enough to make big money from trading like the players on this board.