Tuesday, January 22, 2008

HPT Lessons Learned

By now, most have you have seen HPT's dramatic blow up video that I posted here the other day. Unfortunately, youtube removed it because he dropped the f-bomb about 3000 times in 10 minutes. Incidentally, I think it's silly that youtube allows kids to post videos of them beating each other up but will remove a video for using the word "Fuck."

That's seriously stupid.

Anyway, check the video below for what HPT learned from his blowup.

Also, kudos to him for using his now wideranging Internet exposure to tout a few charities. Not like I'll donate or anything... but still, it's nice.

And finally, check Tim Knight's parody video of HPT. FUDGE!

White Stripes, "Black Math"

Stock Market Volatility

You all know the story by now... the Dow gapped down 464 points at the open and then rallied madly back for the next hour and a half.

It nearly went positive for chrissakes!

Then it based for the rest of the day and churned unsuspecting traders into a head spinning oblivion. Unfortunately I was one of those traders. I gave back half of my profits from 11 to 4.

I'm still trading small size and still getting used to my system. I've been using more limit orders lately, but this morning I should have used market orders. I missed a lot of good trades because stocks just went straight up that first half hour and my limit orders were never hit.

I've been trading 9 years and I'm still learning... go figure.

Anyway, I'm shot. Immediately after the close we went out with a group of friends who all have 3 year olds... If the market doesn't finish me off, surely the 3 year olds will.

Here's the stats:

P&L, $1707
Best, BBD, $451
Worst, AG, -$208

51,200 shares traded.
32 stocks traded. 19 winners, 13 losers.

Virtual Office, $4176. Dow, -128.11, 11,971.19.

Me, $1707 on 51,200 shares traded.
Dehtrader, $1214 on 4540 shares traded.
Sanglucci, $1010 on 27,800 shares traded.
OBAT, $143 on 3200 shares traded.
Denarii, $102 on 700 shares traded.
Misstrade, no trades.
Wincity, no trades.
Retardo, no trades.
Akalawoo, no trades.

Well it was one for the ages.

I feel like a mook now... a rookie trader in an office full of animals. I was basically low man today (in my real office) while multiple traders made tens of thousands of dollars. 2 traders made over $50,000. Most everyone made the lions share of their money by 10:30.

It's frustrating. However, it also gives me hope that there is going to be lots of money to be made for a long time. The traders are in control of the market.

We traded huge volume on the NYSE today, over 2.5 billion shares. Also, the VIX skyrocketed over 37 today before settling down at around 30.80, still up over 3.5 on the day. Could that have signaled a bottom? Maybe... however, I'd be surprised if we don't test the lows. While it felt like the market rallied today, we still closed down substantially.

It only felt like a rally because we opened down 500 or so...

You can't overstate the importance of the FED meeting on the 30th. Will "Ben the Beard" do it again?

It's at least interesting and fun to be a trader again, that's for sure.

Quick Note

"Life with diabetes is about 'going for it!'"

FED Cuts By 75 Basis Points

Futures still down 40.

Dollar tanking.

When Will The Rate Cut Come? & Black Monday Revisited

Meanwhile, here are some posts from back in October, back when everyone was celebrating the 20 year anniversary of Black Monday.

WSJ Online Remembers 1987.
Black Monday, Terrible Tuesday, Wussy Wednesday.

Finally, Alphatrends pulled the graphs from the FED cuts after 9/11 to show how they effected the market. When the FED threw the first surprise cut on the market, it didn't help. People still sold. The second cut put in the bottom.

Check it out.

Good Morning

Time: 6:47
Mood: Nervous