Friday, October 31, 2008

TV On The Radio, "Wolf Like Me"

"Trader C" suggested I post Michael Jackson's "Thriller" tonight. But I couldn't find an embeddable copy. After a somewhat disturbing conversation I had with "Trader L," I nearly posted "I Am The Walrus." In the end, I've decided on a very creepy video to a great song. Have a safe Halloween and a "bangin'" weekend.

The RO Report, "Monsters Are Gay" Edition

I have to go fill a fire extinguisher with urine and spray old ladies. The RO post will be up later. The office did well.

UPDATE: Okay, back from hordes of screaming children and I'm still alive. My daughter has already worked out which piece of candy she'll be eating each day from here until Christams. Not a bad take...

Anyway, it was kind of a crappy trading day early on. We muddled around on little volume and melted higher. But the last 20 minutes were insane. We traded nearly a third of the entire day's volume in the last 20 and were treated to a nearly 200 point tank, followed by a 150 point rip.

Many traders were down before that last 20 and managed to finish the day significantly higher. "Trader P," while not on the boss list, made back a 6k loss. "Trader Z," made back a 5k loss and worked his way high onto the boss list.

It proves a lesson of trading... you gotta stick with it. You should never go on tilt and overtrade, but lately, the market normally gives you a chance to get it right. This isn't a market to give up on.

Anyway, out of 25 traders, 19 were gross positive or, 76%. The top 10 traders all made over $1,000 gross, while the bottom 3 all lost over $1,000 gross. That's a pretty solid way to finish the week. I was #10 of 25, or very happy considering my lame morning.

Here are today's Bosses:

"Lucky Pierre" - Trader B, $19,985 on 408k shares traded.

2. Trader C, $14,282 on 119k shares traded.
3. Trader Z, $14,276 on 117k shares traded.
4. Trader F, $11,120 on 123k shares traded.
5. Trader E, $8,922 on 176k shares traded.


And the Manservants:

"Chambermaid" - Trader T, -$1,313 on 4,100 shares traded.

2. Trader D, -$1,107 on 164k shares traded.
3. Trader X, -$1,097 on 26,000 shares traded.
4. Trader 3, -$616 on 6,800 shares traded.
5. Trader R, -$68 on 0 shares traded.

Bill Kristol Eviscerated On The Daily Show

If only other talking heads on Fox would smack him down so effortlessly. Great interview.

Deus Ex Machina


That means your computer is fucked by a ghost or some shit... I learned it in the second grade.

Anyway, today, my computer was indeed, fucked by a ghost. Fitting, since it's Halloween.

As one would expect, I hate Halloween, mostly because I hate crazy screaming children and their annoying "sugar highs." I also hate "emo teenagers" throwing eggs and playing with shaving cream.

But the real reason I hate Halloween today, is that my computer got fucked by a ghost and I wasn't able to trade the open. When I can't trade the open, I lose my entire feel for the day. Now, I'm sitting here watching the market "rip higher, yo" (according to Trader B) with no positions and I'm more bitter than usual.

So I guess I'll have to wait until the close.

My Halloween Costume

That's me walking by the smoldering remains of our economy dressed as a homeless Jim Cramer. Pretty scary, eh?

Thursday, October 30, 2008

Blitzen Trapper, "Furr"

From their new album. This is a live version, but the quality is pretty good. Enjoy.

The RO Report, "Relatively Quiet" Edition

Well, two trends continued today... The last hour of trading continues to be for crack-addicts, professional gamblers, and idiot savants. Also, while some traders are making money in the RO, an equal number are losing.

There is loads of volatility, but something has changed which has made it more difficult to be on the right side of the trade. I mean, take a look at a chart of the Industrials today... we had a solid 200 point range, up and down, but in the middle, we also had 100 point shakeouts. So we're trending, and making big moves, but the counter-trend rallies are deadly.

In other words, if you're not getting good entries, you're getting shaken-out or taking lots of pain.

Also, volume was a little lame today, under 1.4 billion.

I've got loads of shit to do, so I'm cutting to the chase. Out of 25 traders today, 14 were gross positive, or 56%. 11 traders finished up over $1,000 gross, but 7 finished below $1,000 gross. I was #5 of 25, or bossy.

Again, these numbers aren't great. Perhaps the "go-go" days of late September and early October are officially behind us and we're moving solidly into the holiday season.

I will be taking it easy until after the election now unless we get some interesting market news.

Here are today's Bosses:

"Lucky Pierre" - Trader B, $10,474 on 487k shares traded.

2. Trader C, $5,942 on 76,800 shares traded.
3. Trader T, $3,739 on 3,700 shares traded.
4. Trader E, $3,645 on 89,800 shares traded.
5. Trader S, $2,397 on 27,000 shares traded.


And the Manservants:

"Chambermaid" - Trader D, -$15,065 on 326k shares traded.

2. Trader A, -$3,527 on 471k shares traded.
3. Trader I, -$3,124 on 20,600 shares traded.
4. Trader Z, -$3,123 on 92,000 shares traded.
5. Trader H*, -$2,217 on 8,800 shares traded.

A Couple Of Trades, Some Squiggly Lines

Like I said in an earlier post today, I miss speaking directly to you, cherished reader, about the actual trades I've been making. Largely, I've been pressed for time, as I haven't had any time intraday, to work on posts since the market has been on crack.

However, after my nasty loss yesterday, I find myself up a little this morning, and not looking to press my luck, I'll discuss a trade or two that I made, and also talk about some squiggly lines that I find helpful of late.

I didn't have any strong feel about direction today, after yesterday's extremely fucked up close, so I decided to simply watch my most up and most down filters, and just take the opposite sides of extreme moves with small share size. I used small size because I assumed I'd go out of the money a bit before the stocks turned in my direction.

My best short of the day, came in WLL.



My best long, was in WFR. However, I really screwed this one up a bit...



I liked this strategy today, because I didn't have a feel for the market move. I kept my size small so I wouldn't get "tilty." I had no idea why the stocks were making the moves they were making... it wasn't really important. It's more like playing a mechanical move... things can't go up or down at that pace forever, so start small and just look for a counter move to take back your shares.

Now, about the squiggly lines... a few months ago you may recall that I was trading the HCPG way. This is breakout trading, mostly, as you're looking at a specific level and hoping the stock trades it and never looks back. This market hasn't really been rewarding classic breakout trading.

Anyway, a few months ago, "Trader B" told me to watch the Bollinger Bands "to get good prices, yo." This has helped me immensely because I have taken to a recent strategy of scaling into positions instead of buying a chunk at a certain level. I think, though maybe it's just because the market has been working this way recently, that this strategy makes far more sense in a Hybrid environment.

I will delve into that idea deeper in a later post. It deserves more attention from me since this blog originally began due to my consternation with the Hybrid system.

Barack Obama On The Daily Show

Jon asks Obama if his "white half" is going to have trouble voting for his "black half." Classic.



Meanwhile, you gotta love the major division in the Republican camp.

Blog Maintenance

Wow, time flies when you maintain a blog.

I spent two hours of my life last night cleaning up my bloated sidebar. That's a bit awful.

Anyway, I removed all the individual stock symbol labels. I don't think anyone was clicking on them, and it really lengthened that label list. Then, I merged the following categories:

-"interesting words" into "vocabulary"
-"weekend walk" into "weekend reading"
-"wallstrip" into "stock market blogs"
-"ape assholes" into "ape anatomy"
-"book quotes" into "books"
-"stock earnings" into "stock earnings season"
-"stock research" into "stock trading ideas"

I've also added a few blogs to my blogroll. First of all, while browsing Jamie's blog, I noticed that Trader X is back in the game. So I changed my link from his old charts to his now updated blog. Jamie also had a link to The Zen Trader. I've never read it before, but I will now, if only to see what happens when the dude blows up. I mean, I really want to know how the "Zen people" handle losing all their money. Or, as an experiment, I may just go there everyday and leave obnoxious comments, to see how "Zen people" handle assholes.

I also added the "classics," The Big Picture, The Daily Options Report, and Afraid To Trade.

(Brief aside: If any of you recently blogrolled bloggers are reading this post due to a massive surge in traffic, feel free to return the favor. Actually, feel obligated to return the favor. More to the point, should you fail to return the favor, you will be de-blogrolled in less than a week.)

Finally, looking back on some of my old posts, I realized I kind of miss writing the "daily trading statistics" posts, so I'll try and do more of that again.

I'm open to suggestions and always searching for interesting blogs to add to my blogroll.

Thanks, as always, for reading.

Pro-America Vs. Anti-America

We're getting down to the wire in the election. You could get your "news and views" from the main-stream media (MSM) if you wish, but face it, us bloggers do it better.

For example, would you find a handy chart dividing "Pro-American" behavior from "Anti-American" in the
MSM?

Answer: "No."

However, depending on which channel you watch you might be "Anti-American" already.

Make sure you check it out before you go to the polls next week. It is from my friend "Jon Swift" who really isn't my friend at all, despite the fact that he's linked down there on my
blogroll. It's just that I've heard McCain say "my friends" during the course of the past year so many times that I call everyone my friend.

UPDATE: I'll toss a bone to the MSM for this fine article contrasting the differences between the Democratic and Republican rallies.

Wednesday, October 29, 2008

Scott MacKensie, "San Francisco"

The "San Francisco Treat" for Trader D.

The RO Report, "OMG, WTF?" Edition

Call me old-fashioned, but these sick reversals at 3:50 are beginning to get old.

Me and my mates were happily long, making solid money, when we got mangled. I mean, we dropped over 400 points there in the last 10 minutes. OMG! WTF? Let's just review... we were ripping, MOCs came out largely to the buy side, things were good, and then WHAMMO! Welcome to your own personal Great Depression.

Needless to say, the RO took some massive pain. And it happened so quickly.

You think you can trade? Make sure you're okay with losing tens of thousands in minutes. I mean, everyone focuses on the money we make... never forget the other side of the equation. And no, you don't HAVE to lose tens of thousands in minutes... I'm not saying that. However, there's a certain amount of "market exposure" you need in order to MAKE tens of thousands as well... so it's a double edged sword.

Anyway, I have to go eat dinner so I can puke it up. Let's get to the numbers since we must. Out of 24 traders today, 10 were gross positive, or 42%. The bright side of that figure is that 9 traders finished up over $1,000 gross. The downside is that 9 finished down over $1,000 gross. I was #19 of 24, or smoked. There was such competition to be a Manservant today that I was spared that distinction.

Also, "Trader D" went from being "Chambermaid" at one point, to being the "Lucky Pierre." Henceforth, that feat will be known as the "San Francisco treat." Tonight's song will speak to this further...

Finally, expect a Dinosaur Trader Dictionary soon. The terms around here are beginning to pile up, and it seems like a good idea. If you have any terms that you want defined, or have some ideas, please note them in the comment section.

Here are today's Manservants:

"Chambermaid" - Trader A, -$80,383 on 605k shares traded.

2. Trader P, -$45,489 on 221k shares traded.
3. Trader Z, -$39,780 on 274k shares traded.
4. Trader E, -$14,019 on 150k shares traded.
5. Trader F, -$6,140 on 131k shares traded.


And the Bosses:

"Lucky Pierre with the San Francisco Treat" - Trader D, $39,597 on 428k shares traded.

2. Trader B, $25,796 on 574k shares traded.
3. Trader H*, $5,961 on 14,400 shares traded.
4. Trader C, $5,332 on 200k shares traded.
5. Trader T, $2,657 on 4,200 shares traded.


* denotes swing account

FED Cuts 50 Basis Points, Traders Get "Ass Raped"

Wallstrip

Truth be told, I haven't watched Wallstrip in a long time. I guess that once Lindsay left, I just felt this sense of loss and Julie wasn't able to "do it" for me...

This video below may be really old, but it brought back some memories.

Laughing With Your President, Instead Of At Him...

Look, like him or not, you gotta love Barack's sense of humor. We've had 8 years of laughing at our President and being laughed at by the world. It will be a nice change of pace... (h/t Valerie)

RALEIGH, N.C. – Democrat Barack Obama is sharpening his tone against John McCain, accusing his Republican rival of sinking low by accusing him of being a socialist based on his tax plan.

Rallying a crowd Wednesday in North Carolina, the Democratic presidential contender said McCain will soon "be accusing me of being a secret communist because I shared my toys in kindergarten."

Blitzen Trapper New Album, "Furr"

This is a band I like. They just put out a new album that received a solid review over at Pitchfork.

Check out some of their stuff here at their Myspace page.

FOMC Day. But Does It Matter?

Ever since I started this Albatross of a blog, people have been admonishing to not trade "Opex days" and to stay away from earnings stocks. I've always thought this somewhat odd and also, a touch gay.

However, if there is one day I've stayed away from consistently in my trading career, it has been the FOMC day. You can almost always expect light volume until the 2:15 announcement, and then, when the announcement is made, you can expect to get "ass-raped" immediately.

In fact, I can almost guarantee an "ass-rape" candle formation at some point between 2:15 and 2:30.

Today feels different though. After a 900 point rip in the Dow yesterday, it's clear that the market is working off of mechanics right now and nothing else. Earnings don't matter, and I doubt the FOMC matters much either. You've either been forced to puke up your losing positions, or not, and the market is moving accordingly.

That said, I still expect light volume early, but I think the late afternoon will be lots of fun.

Tuesday, October 28, 2008

Thursday, "Autumn Leaves Revisted"

The "Trader A" spray pick, in dedication to his brother who would be 16 today.

The RO Report, "Bottom Edition"

Okay, so the title of this report is a little hopeful, but why not be hopeful? We have a week to go before we choose a new President, and McCain or Obama, we'll be in better hands than we are right now. Meanwhile, the stock market has lost a ridiculous amount the last 2 months, but we can still pull a 900 point rally out of our nation's ass... so why not be a little hopeful?

Of course, it always helps the "hope" cause when nearly the entire RO banked good coin.

Before 3:00, I barely traded. I literally slept for less than 3 hours last night. Nerves. I woke up exhausted and thinking I wouldn't trade at all. So I didn't. I spoke with "Trader P" and listened to the guys in the chat. It was almost relaxing to just reside on the sidelines for a day and watch.

At 2pm, the market began a rally. While the RO was largely up, the numbers were relatively small, and I was somewhat surprised that people weren't up more. However, we rallied over 600 points in those last 2 hours and that helped the numbers... a lot. You can imagine how pissed I was at 3pm thinking I missed it all... but fortunately, I hadn't.

Anyway, I'm going to sleep. Here's the numbers... perhaps I'll have more juice for the blog tomorrow. Out of 25 traders today, 23 were gross positive, or 92%. 16 traders finished up over $1,000 gross, while only 2 lost over $1,000 gross. I was #6 of 25, or happy.

Congrats to "Trader A" for the big spray. The musical selection this evening, will be his. Also, congrats to "Trader P" for making back all his losses from last week and for showing real courage.

Here are today's Bosses:

"Lucky Pierre" - Trader A, $114,606 on 677k shares traded.

2. Trader Z, $57,722 on 181k shares traded.
3. Trader P, $49,304 on 209k shares traded.
4. Trader B, $47,845 on 493k shares traded.
5. Trader E, $25,845 on 123k shares traded.


And the Manservants:

"Chambermaid" - Trader I, -$2,252 on 6,800 shares traded.

2. Trader T, -$1,028 on 4,200 shares traded.
3. Trader 3, $129 on 13,200 shares traded.
4. Trader 7, $188 on 4,000 shares traded.
5. Trader 8, $306 on 4,600 shares traded.

This Blog Is Asleep

I got no sleep last night.


-Dinosaur Trader blog asleep, circa 1300 or something.

No Comment...

Monday, October 27, 2008

Arcade Fire, "Black Mirror"

The RO Report, "200 Point Swings Are Boring" Edition

The talk early on in the office, was how we expected a chopfest, and how we were all going to be careful these next two days ahead of the FOMC meetings. It was a typical Monday morning, and no one was looking forward to jumping into the market.

Then "Trader D" decided it was going to be a "market up" day and made a quick $10,000 in the first 45 minutes. That got everyone's juices flowing, but still, there wasn't a lot going on as far as widespread trading profits go. Volume was lame, the indexes were choppy.

But taking a closer look at the Dow, we had a 250 point rip between noon and 2pm, and then a 250 point tank between 2pm and 3pm. A round trip, if you will. That's amazing... we hardly noticed it.

However, we did take note of the 200 point drop in the last 10 minutes of the day... that was ugly.

It also washed out "Trader D" who, inspired by the round-trip made by the market, made the grueling trip from being "Lucky Pierre" to "Chambermaid," all in a matter of minutes. Not fun.

Henceforth, whenever a trader goes from the top of the list to close at the bottom, he will be called a "Chambermaid & Chode."

So it was a mediocre day in the RO. Again, some guys made money, but a good number also lost. It's a minefield out there. The Bosses barely took the day.

I have pumpkins to carve, so let's get to the numbers. Out of 25 traders today, 14 were gross positive, or 56%. The top 8 traders all made over $1,000 gross and the bottom 7 all lost over $1,000 gross. I was #4 of 25; Bossy. Look, these numbers are hardly confidence inspiring, be careful out there until the trade becomes more manageable again, perhaps after Wednesday.

Here are today's Bosses:

"Lucky Pierre" - Trader A, $8,584 on 277k shares traded.

2. Trader B, $6,206 on 150k shares traded.
3. Trader P, $3,547 on 87,600 shares traded.
4. Trader S, $2,741 on 20,600 shares traded.
5. Trader Z, $1,780 on 25,400 shares traded.


And the Manservants:

"Chambermaid & Chode" - Trader D, -$13,026 on 204k shares traded.

2. Trader C, -$5,420 on 171k shares traded.
3. Trader M*, -$1,631 on 0 shares traded.
4. Trader 6*, -$1,526 on 0 shares traded.
5. Trader H*, -$1,419 on 9,400 shares traded.

*swing accounts.

Fuck All Celebrities And The Media

I don't give a fuck about Kate Hudson's nephew.

Bad things happen to good people everyday.

However, the media should be focusing on more important things like, (and this is just off the top of my head), why we're in a financial crisis, and the presidential election.

This Dog Needs Perspective

Each morning, I wake up, open my blog, and check out what's going on over there to the right with my "Cavemen." Wall Street Fighter is consistently rewarding.

Check out this video which he linked today. Hilarious.



Anyway, on a more serious note, the Yen is freaking people out. The Nikkei traded at a 26 year low today. You know where a 26 year low would put the Dow? Around 775.

The End Is Near

I can't wait for the end of this election. The outcome will influence two major life decisions for me.



First, whether or not I can have another child immediately. And second, if I will remain living in the U.S.

Saturday, October 25, 2008

DT Versus The RO On Friday

Friday, October 24, 2008

The Postal Service, "Such Great Heights"

I like the Iron and Wine version better, but this will do.

The RO Report, "Survivor Guilt (Not Really)" Edition

It was a complete bloodbath in the RO today, and coming out of the carnage squeaky clean, downright healthy even, makes me feel really, really, bad. good.

I mean, imagine being on a plane with all your friends and their smoking hot girlfriends. The plane crashes on a desert island. All your friends are maimed, but their hot girlfriends are perfectly fine and so are you. You quickly discover that the cargo area of the plane is loaded with comfortable mattresses, lubrication, and food. Meanwhile, there is an herb covering the island which causes nymphomania if it is breathed in, at all...

Can you imagine how AWESOME that would be? That's what it's like to be me right now... better yet, I have an entire weekend to revel in my victory.

That's right, fuck the RO. My only problem with today is that those scums didn't lose more...

It's hard to understand what the hell the guys were thinking today, trading like complete crackheads and shit. But the fact of the matter is, most of the guys in the office are total idiots. I'm smarter and better looking than them all. In time, they'll be calling me in the middle of the night, asking me how I've survived at trading for 10 years, and marveling at my ability to emerge from a two year slump as a "Lucky Pierre."

They'll be like, "Hey, DT, take a look at this graph... isn't that a strong uptrend?" And I'll be like, "No idiot, that's a downtrend, and the stock is going to zero. Anyway, are you good at 'sheetrocking?' My 8th house needs a new media center."

It was the worst day in awhile for the RO. Out of 24 traders, only 8 were gross positive, or 33%. In fact, that may be the lowest number I've ever reported in that category. Worse yet, only 1 remarkable trader (ahem) finished up over $1,000 gross, while the bottom 14 traders lost over $1,000 each.

I was #1 of 24. Repeat, I was #1 of 24.

Indeed, this weekend will be the most glory-filled weekend of my life. I may even let Judy order something that's not on the dollar menu.

Normally, I would put the Manservants "on top" since they handily defeated the Bosses today. However, since today is really about me and my victory, I'm putting the Bosses on top.

Here are today's Bosses:

"Lucky Pierre" Trader S, $2,842 on 109k shares traded.

2. Trader O, $794 on 12,400 shares traded.
3. Trader V, $664 on 32,400 shares traded.
4. Trader T, $600 on 3,200 shares traded.
5. Trader X, $439 on 33,800 shares traded.


And the Manservants:

"Chambermaid" - Trader B, -$35,809 on 605k shares traded.

2. Trader F, -$28,342 on 136k shares traded.
3. Trader E, -$19,055 on 201k shares traded.
4. Trader C, -$9,595 on 150k shares traded.
5. Trader N, -$4,361 on 121k shares traded.


NOTE TO STOCK BLOGGERS: Please link this post so that my victory will ring out throughout the Internets all weekend.

NOTE TO AMERICAN CITIZENS: Please lobby your local lawmakers to make October 24th National Dinosaur Trader day. Thank you.

Bullshit, The Commodity


-"bullshit" circa 1962

If Bullshit was a commodity, it'd be limit up right now.

The volume today is HIGHLY suspect, as in, there's none of it. For a day when the futures opened limit down, this low volume bounce is ridiculous.

The close will be very important and most likely, scary.

Remember to focus on volume. Without it, nothing matters.

An Eerie Morning...

For you neophytes, that flat line preceding the open means that the futures were "limit down." I haven't seen that in my decade of trading.



The open, has been anti-climactic. Volume is relatively light. It feels like walking under very shaky scaffolding on a windy day.

NYSE Circuit Breakers

BUMP: With futures "limit down" I figured we may need this. Good luck, watch your ass.

These were updated on September 30th.



In order for the exchange to halt trading, the Dow would have to be down 1100 points by 2pm. We came within 300 of that yesterday, so it's not out of the question going forward.

Just FYI.

Thursday, October 23, 2008

Hustle And Flow, "It's Hard Out Here For A Pimp"

There was some debate today whether or not "Trader D" sprayed enough to get the song. Gross, he didn't double Trader A. However, net, he probably did. Anyway, he deserves this for walking away with a million long and putting his shit on "auto close" at 3:59:20. Pretty bossy.

The RO Report, "When In Rome..." Edition

I got smoked right off the bat today. Actually, not true. First I made $500, and then I lost $2500 getting short HES and SPY and buying DDR. Then I made it all back when I bought DDR again. I decided to go surfing. This was at 11am.

I came back to find the market had dropped over 500 points while I was out in the sun. The office sounded exhausted and no one had cleaned up during the drop. This seemed strange. I started trading again at around 2:45 and immediately lost a grand shorting SPY into the huge rip.

The market then got itself into a range. But the SPY was acting downright freaky. There were huge spikes up and down. The office was in a rage trying to divine what the hell was going to happen next.

Well, guess what? The same shit that happened yesterday, happened again today. At 3:40, we had an explosive rally to the upside. I'm not sure if this is the new normal. However, since REIT stocks started acting like crack whores, I decided that hell, I'd act like a crack whore too and just start buying them, despite the fact that they looked very overextended off their lows. Who knows? The market acts crazy and I guess sometimes you just have to act crazier...

It was a fairly mixed day in the RO. This too, seems to be the new normal. A month ago, we were all enjoying gains and the trade seemed somewhat easy. The market isn't as easy to trade right now... most traders were on the dark side for at least a portion of the day. There seems to be some type of large shift happening, but I can't put my finger on exactly what it is...

Anyway, out of 25 traders, 13 finished gross positive, or 52%. Not good. The top 8 traders all made over $1,000 gross while the bottom 7 all lost over $1,000 gross. See? Very mixed. Not easy. I was #5 of 26 and happy to make back half my loss from yesterday.

The bosses, largely because of gains from "Trader D" and "Trader A," took the day.

Here are today's Bosses:

"Lucky Pierre" - Trader D, $27,168 on 217k shares traded.

2. Trader A, $13,969 on 287k shares traded.
3. Trader F, $8,648 on 120k shares traded.
4. Trader E, $3,155 on 98,200 shares traded.
5. Trader S, $2,735 on 69,800 shares traded.


And the Manservants:

"Chambermaid" - Trader Z, -$8,802 on 172k shares traded.

2. Trader K, -$4,165 on 55,200 shares traded.
3. Trader C, -$4,050 on 168k shares traded.
4. Trader P, -$1,516 on 130k shares traded.
5. Trader O, -$1,511 on 26,776 shares traded.

NOTE: I just want to give a special thanks to "Trader N." He helps get me these numbers each day. The office has really gotten behind the blog. Also, they support the work I do here.

True, I Lost 5 Grand Yesterday

But things could be worse...

Wednesday, October 22, 2008

Tag Team, "Whoomp! (There It Is)"

Easily one of the worst songs of all time, featured this evening on my blog because I was a Manservant and none of the Bosses had a relative spray.

The RO Report, "Dead Dinosaur Bounce" Edition

Well, I just got smoked, so it's hard for me to have much to share right now that will be objective... I'm way too focused on the spanking I just took.

It's pretty rare to see the market turn on a dime so late in the day. Especially when all the imbalances are to the sell side and when "down volume" is completely swamping "up volume." But I guess it happens. And when it does, you don't want to be caught short.

Still, despite the late day rip in the indexes, the Dow lost over 500 points and the VIX closed near 70. The only good news there, at least for me, is that I should have plenty of opportunity to make my money back. However, that said, today was pretty dead until the last hour... so you need to stay patient in this market, despite the volatility.

Anyway, many of the ROers played it well and hence, the Bosses won the day.

Let's just get to the numbers. I have a new drug habit to start or something... oh, and as always, if you think you want to do this Godforsaken job, email me.

Out of 26 traders today, 15 were gross positive, or 58%. I was number 23 of 26, or, a Manservant. The top 9 traders finished up over $1,000 gross while the bottom 6 all lost over $1,000 gross.

Here are today's "Bosses"

"Lucky Pierre" - Trader D, $38,262 on 291k shares traded.

2. Trader A, $30,717 on 355k shares traded.
3. Trader Z, $24,747 on 142k shares traded.
4. Trader C, $18,256 on 146k shares traded.
5. Trader E, $8,128 on 101k shares traded.


And the "Manservants"

"Chambermaid" - Trader P, -$23,905 on 126k shares traded.

2. Trader B, -$18,939 on 276k shares traded.
3. Trader S, -$4,594 on 57,400 shares traded.
4. Trader I, -$4,075 on 17,700 shares traded.
5. Trader 6*, -$4,034 on 0 shares traded.

*swing account

Always Have An Exit Plan

Here's another idiot who should never trade. I mean, you get yourself into a bad position in trading, with no exit plan, and Mom won't bail you out.


Moron Fails on Terrible Squat Thrust - Watch more free videos

Death Trading Range

So we gapped lower, had a nice little tank, then rally, and now, death.



I'm not sure how you guys are doing out there, but I always find low volume markets tough to trade. My guess is that I won't make another trade until after 3pm. Just look at the volume drying up...

Again, watch your ass. No reason to overtrade this market.

Palin Sacked

This made my heart sing.


Crazy Protester Interrupts Palin Interview - Watch more free videos

Tuesday, October 21, 2008

My Chemical Romance, "Three Cheers For Sweet Revenge"

Trader A with the spray.

The RO Report, "A Mixed Bag" Edition

So the thing is, from a trading perspective, you always want more volume. It just means smoother markets, more liquidity. It's always possible to make money in a low volume market, it's just harder, and the risk/reward ratio gets skewed. I think today's RO numbers perfectly illustrate that point.

We gave back more than half our gains from yesterday, but remarkably, on even LOWER volume. What this tells me, is that we're probably stuck for awhile, in a range that we're currently determining, until another bank fails or something.

But we've all been busy and it's probably not a bad thing to be able to breathe a bit. Regain your perspective.

In other breaking news, I have no new plans for this blog ever. Apparently, I'm going through a bit of a "dry spell" as far as my "creative" posts are concerned. I'm just not feeling it lately. Perhaps the market sapped me of all my creative energy... I don't know, fuck you. Some kid stole my daughter's pail at the sandbox and I wanted to kill it... maybe I need to write a post about that, to work out some anger.

Anyway, the RO was mixed. Out of 25 traders today, 15 were gross positive, or 60%. 7 traders finished up over $1,000 gross, and 6 traders lost over $1,000 gross. I was #9 of 25, which I'll take. If I can continue to stay green and make some money as the market slows, I'll be very happy. The bosses barely did it today, but they end up "on top."

Here are today's Bosses:

Lucky Pierre - Trader A, $8,558 on 198k shares traded.

2. Trader Z, $3,422 on 65,200 shares traded.
3. Trader B, $2,899 on 96,200 shares traded.
4. Trader F, $2,881 on 64,200 shares traded.
5. Trader E, $2,475 on 64,800 shares traded.


And the Manservants:

"Chambermaid" - Trader J, -$6,523 on 73,200 shares traded.

2. Trader D, -$4,400 on 89,700 shares traded.
3. Trader C, -$4,159 on 120k shares traded.
4. Trader V, -$1,657 on 60,400 shares traded.
5. Trader 6*, -$1,600 on 0 shares traded.

See you tomorrow.

Watch Your Ass



That's an hourly chart of volume on the NYSE. I drew a horizontal line after the first 4 hours of trade today to illustrate how volume has completely, and rather suddenly, dried up.

In short, it has taken us 4 hours today to get to where we were volume-wise in 2 hours most of last week.

We've quickly moved from a market where you were rewarded for "pressing your bets," to one where you can easily get smoked in low volume chopfest.

Trade accordingly.

Trader D Wins In A Landslide

I tell you what, "Trader D" didn't really need another victory, but he comes away with a rather convincing rout over the rest of the RO.

Now it's just a matter of providing "incentives" so that we may receive a nice post from "Trader D." Developing...

Here are the final results. The percentages don't add up to 100 because you were allowed to vote for more than one trader. The question was, "Which ROer would you like to see write a post?"

Trader A, 17 votes or 11%.
Trader B, 49 votes or 38%.
Trader C, 10 votes or 6%.
Trader D, 89 votes or 60%.
Trader E, 4 votes or 2%.
Trader F, 8 votes or 5%.
Trader P, 8 votes or 5%.
Trader Z, 14 votes or 9%.

Monday, October 20, 2008

Chemical Brothers (ft. Wayne Coyne) - "The Golden Path"

About time I'm able to post a song on my own damned blog. Great video.

The RO Report, "Melting Upwards" Edition

Well, if this is what it means to be in a slow market, I can take it. But man, the volume was completely lacking for a 400 point move on the Dow. I'm still feeling very neutral on the market here, although I realize the bottom is starting to look rather "firm."

If we could see more volume on these rips, I'd start getting excited that my UWM purchase in my long term account will actually be a long term holding. Time will tell.

Anyway, the RO had a very nice day. Great breadth among the office mates. Everyone is feeling tired and worn out from the last few weeks. Our group volume took a marked dip today. It's very nice to see almost everyone in the green though, because the test of a good trader isn't only who is making the most money when the market is acting like a crack-whore, but also who can be consistent when it's slow. Being a good trader means constantly switching gears.

Out of 25 traders today, 22 were gross positive, or 88%. The top 11 traders were all up $1,000 gross, and only one trader lost more than $1,000; a very nice ratio. I was #12 of 25.

No one "sprayed" today. "Trader A" and "Trader D" who got into a little verbal war in the comment section of Friday's RO post, were duking it out for the 1 and 2 spot all day... in the end, "Trader A" was victorious. Also of note were the nice bounceback days coming from "Trader C" and "Trader P."

Finally, this is your last chance to vote in the RO post poll, over on the right.

Here are today's "Bosses:"

"Lucky Pierre" - Trader A. $10,265 on 258k shares traded.

2. Trader D, $9,655 on 76,200 shares traded.
3. Trader C, $8,777 on 177k shares traded.
4. Trader Z, $6,102 on 60,800 shares traded.
5. Trader P, $3,783 on 55,602 shares traded.

And the "Manservants:"

"Chambermaid" - Trader F, -$2,131 on 51,800 shares traded.

2. Trader T, -$748 on 1,900 shares traded.
3. Trader 3, -$372 on 7,600 shares traded.
4. Trader X, $50 on 8,000 shares traded.
5. Trader 8, $55 on 1,600 shares traded.

Where Did Our Wealth Go?

Here's a great illustration done by the clever guys at Clusterstock.

No Volume, Good Surf

I'm down $0.92 on the day.

I'm going to take the rest of the morning off and see if anything develops for the afternoon. After all the lunacy of the last month, things may finally be slowing down.

Andrew Lahde, My New Hero

I know this is a few days old, but I've been drunk and without my Paxil. Forgive me.

EXCLUSIVE: Below you'll find exclusive footage of Lahde as he embarks upon a new career.

Sunday, October 19, 2008

The Real Sarah Palin On SNL

Man, Tina Fey does her accent perfectly. This was good.

Saturday, October 18, 2008

Aaron Neville, "Everybody Plays The Fool"

The "Trader D" spray selection, also doubling as a dedication to the rest of the RO.

Friday, October 17, 2008

Queen, "We Are The Champions"

Also, we're really good traders... does that work?

The RO Report, "Trading Ain't Easy" Edition

I have to say, it sucks to write this post tonight, because the RO took a massive amount of pain today. However, it highlights an important truth about trading, a truth that has been easy to forget during this last month of volatility and ridiculous trading profits.

Losses are part of trading, sometimes big losses.

However, it also highlights something important about the RO. The guys didn't take any more risk today than they normally do... the difference today is just that they were wrong. What's amazing to me now, is how often they take that massive risk and are right.

The fact that today stands out like an intellectual at a Sarah Palin rally reminds me just how good these guys are.

The reaction from many will be simply, "Yeah, but they made such a massive amount recently, this is nothing." Fine, understood, but don't forget what a psychological game trading is. "Giving back" is the most painful trading experience... probably worse than losing outright. That's actually a constant debate... or, as Tennyson put it, "'Tis better to have loved and lost/Than never to have loved at all?"

And let me add one other troubling fact about this game... your gains are taxed, egregiously... so the losses, in a way, count double.

Anyway, I'm looking forward to watching these guys bounce back. For now, let's just drink the blood and put today to rest. Out of 28 traders today, 10 were gross positive, or 36%. 5 traders made over $1,000 gross, 10 lost over $1,000 gross. I was #6 of 28, or, very lucky to have spent half the day at "parent-teacher" conferences at my daughter's school.

Here are today's "Manservants"

"Chambermaid" - Trader C, -$93,753 on 581k shares traded.

2. Trader P, -$46,847 on 597k shares traded.
3. Trader B, -$37,548 on 374k shares traded.
4. Trader F, -$28,725 on 219k shares traded.
5. Trader A, -$28,250 on 843k shares traded.


And the "Bosses"

"Lucky Pierre" - Trader D, $12,421 on 864k shares traded.

2. Trader G, $2,478 on 74,000 shares traded.
3. Trader E, $1,467 on 69,600 shares traded.
4. Trader V, $1,414 on 71,000 shares traded.
5. Trader O, $1,339 on 19,600 shares traded.


Have a restful weekend.

NOTE I: There are only 2 days left to vote in the RO member post poll. Go vote.

NOTE II: "Trader D" sprayed enough to win the song pick, however, I was unable to open the link he left in the chat. So I'll post the song tonight. If Trader D gets in touch with me over the weekend, I will post his song as a "special dedication" to the RO.

Barack Did Pretty Good Too

McCain Gave A Great Performance

At the Alfred E. Smith dinner last night. He showed a lot of class.

The Daily Show Addresses "Joe The Plumber"

I knew they would have a great spin. Pointing out that he has done more interviews in the last 2 days than Sarah Palin has done since she was announced for VP was a great point to make.

Another Person Who Shouldn't Trade

I'm not sure what she thought she was doing... but she failed. And traders who fail, suck "fishass."

Thursday, October 16, 2008

Atmosphere. "Scapegoat"

"Trader B" spray selection. Nice day.

The RO Report, "Solid Rally On Volume" Report

The surf sucked... too windy.

However, the market rocked today. BTW, I hope the little graph with that trendline helped a few of you out... it was rather perfect I must immodestly admit. Once we broke that line at around 2:45, we based, tested, and then BOOM volume came in and the market never looked back.

Anyway, it was "Trader B" who brought the line to my attention, so it's only fitting that he sprayed the office. A huge spray, in fact. Good thing I can still post music from iMeem, because I don't know if I'll ever be able to post an end of day video at this rate.

I think today was a very healthy day for the market. Very healthy. The volume was excellent and we made what could end up being some sort of messy double top on the VIX. If the VIX were a stock, I'd be taking profits.

That makes me feel good about the bottom. Also, I think the stock market quite possibly put in its low.

Look, I still have that dinner party to get to, so I'm getting straight to the numbers. Out of 28 traders today, 24 finished gross positive, or 86%, an excellent number. 15 finished over $1,000 gross, which is also nice. I was #9 of 28, nicely positive, but slightly disappointed with my finish, given my conviction about the afternoon market move. The Bosses win again.

"Lucky Pierre" - Trader B, $82,713 on 881k shares traded.

2. Trader D, $36,232 on 694k shares traded.
3. Trader A, $27,208 on 331k shares traded.
4. Trader Z, $20,722 on 246k shares traded.
5. Trader F, $11,932 on 274k shares traded.

And the Manservants: Trader C really earned his "Chambermaid" today...

"Chambermaid" - Trader C, -$31,957 on 588k shares traded.

2. Trader V, -$2,429 on 87,670 shares traded.
3. Trader R, -$318 on 85,800 shares traded.
4. Trader 3, -$73 on 3,200 shares traded.
5. Trader 8, $4 on 200 shares traded.

These People Are Scary

Palin seems to have really brought the worst out of the Republican party. It's too bad, because McCain has had a great career. Sad to see it end on this note. I don't think a few years ago he would have hoped for "supporters" like this.

What Traders Talk About During Slow Periods

[2:05:07 PM] Trader S: do you guys think the word "fishass" is funny?
[2:05:15 PM] Trader D says: nope
[2:05:19 PM] Trader D says: manass is better
[2:05:26 PM] Trader S: how about "assfish"
[2:05:37 PM] Trader D says: better but still weak
[2:05:42 PM] Trader S says: thanks
[2:05:44 PM] Trader D says: no prob

A Trendline...

Check out this trendline drawn from the highs of Monday... we tested it before on decent volume. If we can base now for the mid-afternoon churn and break it with good volume later, we could set up for a nice close.

(h/t "Trader B)

Built To Spill, "Made Up Dreams, Velvet Waltz"

It's not easy for me to give up control, especially when it comes to music. Now, I know most of you come here for my sparkling wit and to follow along with the RO, however, at least 3 people come here for the good music.

Trust me when I say that the advent of the "boss music" tag on this site has caused me much pain.

That said, here are a couple of exceptional tunes from Built To Spill from their album "Perfect From Now On." A desert island disc if ever there was one...

I wanna be a motherfucking boss dammit!

Hey bro - it is your older (yet in a cruel twist of fate, much younger looking) sister just stopping by to say hello. I know that some of your past posts have addressed the trauma and the stress that you feel as a day trader, banging away at your keyboard, cursing incessantly at your 42 computer screens, while you try to be in your own words, "a motherfucking boss."

I hear you. In fact, after watching the interest rates on my credit cards soar after being one day late with a payment; after watching the gas and oil prices climb to near ridiculous prices; and while trying to figure out why a household with two adults making what I previously thought was a decent amount of money is often living paycheck to paycheck - I had an epiphany: I want to be a motherfucking boss too!

Imagine the possibilities.... "Eat your broccoli."
"Why?"
"Because I'm a motherfucking boss, that's why!"

"I'm not coming in today. Or tomorrow. Or next month."
"Why?"
"Because I'm a motherfucking boss, that's why!"

The best reason of all to be the motherfucking boss? Control of the jukebox!

Wednesday, October 15, 2008

Richard Wagner, "Ride Of The Valkries"

"Trader P" choice, and an excellent one at that.

Back in the day, like 8 years ago, "Trader P" would blast this whenever the market was taking a dive. That was back when the tech bubble was bursting, so we heard this one a lot.

Joe The Plumber

I'm really, really looking forward to Jon Stewart's take on "Joe The Plumber."

The RO Report, "R.I.P Market" Edition

Hours after the dust has settled on my trading day, I'm having a hard time accessing the emotional swings that I went through. I think this is mostly because right after the close I had a nice surf session with "Trader Z" until after the sun set.

There's nothing like a sunset surf session to clear the mind.

"Trader Z" has some sick board skills. Also, he's a really good surfer.

Anyway, what can you say about this market other than it's coming apart at the seams. I can't spin today's action in any positive way. The best I can do is say that we did rally 950+ points on Monday and that something similar will happen again... eventually.

A bull market will come again, I promise.

I'll say this about trading in general... the most important thing you can have is an open mind. All day long, until 3:30, I was buying stock and getting completely killed. Once I switched my bias and stopped fighting the trend, I made back all my cheese and became a Boss.

And I cannot overstate the amount of help I received from "Trader P." Never, in my entire 10 year career, have I put so much trust in another trader.

The end of the day really deserves its own post, but I'm too exhausted. To summarize briefly, at 3:30, I had no positions and was down 5 grand. My entire day had been a brutal beatdown... also, I lost lots of money. A mere 20 minutes later, I had built a little over a million dollars of short exposure, and I was making money faster than you can say, "Jim Cramer sucks."

In short, if you want to "be right" all the time, you're going to lose money trading.

Today deserves more of a post, I apologize, but I'm shot. Eventually, I'll have to write a book about this all and you'll just have to buy it, okay?

Out of 27 traders today, 16 traders were gross positive, or 59%. 11 traders finished up over $1,000 gross while 7 traders finished down $1,000 gross.

I was number 5 of 27 or, a motherfucking Boss.

Here are today's Bosses:

"Lucky Pierre" - Trader P, $34,755 on 282k shares traded.

2. Trader B, $28,853 on 517k shares traded.
3. Trader Z, $16,307 on 198k shares traded.
4. Trader C, $13,297 on 338k shares traded.
5. Trader S, $11,640 on 133k shares traded.


And the Manservants:

"Chambermaid" - Trader D, -$20,014 on 472k shares traded.

2. Trader H*, -$11,968 on 5,400 shares traded.
3. Trader 6*, -$4,727 on 0 shares traded.
4. Trader I, -$3,081 on 26,400 shares traded.
5. Trader M*, -$2,230 on 0 shares traded.


NOTE: There are a few swing accounts in the office. From here on out, I will mark swing accounts with an asterisk.

How It Felt To Be Bullish This Morning...

Complete Smoke

I got too big in CHK, couldn't take the pain, and sold the lows. Classic.

Another Person Who Shouldn't Trade

Failure to fully understand cause and effect relationships is a strong negative for prospective traders.

Tuesday, October 14, 2008

Nice & Smooth, "Cake & Eat It Too"

WTF? Are you guys trying to ruin my blog with this shit?

The RO Report, "Awesome Giveback" Edition

Early on, the RO was banking coin, making jokes, and having lots of fun. Between 2:45 and 3:40 however, we took massive pain and gave back a good portion of the day's gains.

Fights broke out, friendships were ruined, and a new trader, we'll call him "Trader 8" was sacrificed in a ritualistic killing involving a sexual act known as the "Angry George."

Don't even bother looking it up in the Urban Dictionary...

Anyway, it was a bruising experience. Many of us had nice gains on the day and gave them all away.

"Trader D" avoided the carnage by staying independent, and going against what the conventional wisdom of the office dictated... that we were going to bleed into the close. He sprayed, and now I have to post his bullshit music.

After the last two days, I'm shot. So let's just get to the numbers...

Out of 27 traders today, 12 finished gross positive, or 44%. While the top 8 traders all made over $2,000 gross, the bottom 8 lost over $2,000 gross, so it was a mess. I gave back nearly all my gains on the day and finished #10 in the office.

Given my stupidity, I'll take it.

"Trader D" kept the office in the green, so the Bosses get top billing.

Here are today's Bosses:

"Lucky Pierre" - Trader D, $37,754 on 497k shares traded.

2. Trader F, $19,478 on 182k shares traded.
3. Trader I, $5,747 on 102k shares traded.
4. Trader B, $4,653 on 778k shares traded.
5. Trader G, $4,515 on 50,700 shares traded.


And the Manservants:

"Chambermaid," - Trader C, -$14,343 on 216k shares traded.

2. Trader E, -$11,375 on 124k shares traded.
3. Trader N, -$4,022 on 34,700 shares traded.
4. Trader H, -$3,902 on 1,400 shares traded.
5. Trader V, -$3,165 on 68,534 shares traded.

October 20th Cover Of The New Yorker


Click this link to buy their current, "stock market themed" cover. Oh wait, I forgot, you have no money.

Art Cashin On The Daily Show

I hate to admit it, but Jorge was right... this was the better Daily Show clip from last night. Not only because it features Art Cashin (my hero) but also because it pokes fun at CNBC stupidity.

Goldman Injecting $2 billion Into Visa

You know, I saw this article a little over a week ago and I thought, "Well, that's the next shoe to drop," but with all the lunacy surrounding the market recently, I forgot about it.

But I just heard over the news wire that Goldman is injecting 2 billion into Visa.

Perhaps there is a shoe here, somewhere...

Great Depression Historian On The Daily Show



Oh, and the US is investing $250 billion into the banks and guaranteeing loans for the next 3 years. And the futures are ripping again.

Finally, here is a comparison of The Great Depression and The New Depression. One thing they left out... in The New Depression, the stock market rallies 1000 points.