Thursday, April 10, 2008

The Ruby Suns, "Tane Mahuta"

Virtual Office, -$2775. SPX, +2.00 1362.30.

Evolution, $393 on 62,000 shares traded.
Ainkurn, $199 on 350 shares traded.
Timmay, $180 on 3000 shares traded.
Me, $80 on 3400 shares traded.
OBAT, no trades, vacation.
Retardo, no trades.
Denarii, -$264 on 3000 shares traded.
Sanglucci, -$1046 on 14,600 shares traded.
Dehtrader, -$2317 on 3668 shares traded.

I came in bearish on the day (I blame "the Fly") and just couldn't believe it when we turned around and went positive with that "V" bottom at around 10:00am. We spiked up to the top part of the opening range, based for a minute and spiked even higher. At that point, I just couldn't step in and buy so I turned my computer off, and head to the beach for some nice surf.

Fuck this light volume market...

Still, even though the VO got smoked today, there was money to be made in the materials and coal stocks. My main office did okay, with 70% of the guys being positive, and a few making some nice cake.

I'm at a loss to understand what's driving this market higher. This low volume rally reminds me of the same crap we got this time last year... hopefully, we get a pickup in volume soon.

Again, I look to the start of earnings season to help us out.

Blogroll Update

Ragin Cajun, March 2008

In an amazing move, Ragin Cajun (notice, no link) went from being a "solid internet ally" to a dick, with one post.

You may think that I have something to lose here, but I don't, as the moment he was hired on to be a "first tier blogger" he immediately forgot his third tier roots and got incredibly stingy with his blogroll. And, of course, his blog is gayer than ever.

From now on, I will be supporting Danny's blog, over at IBC.

Danny is funny, into board sports, and introduced me to the term "FUPA," which has won me many laughs at dinner parties.

Thank You, Stock Market Gods... Thank You!

I woke up yesterday somewhat bleary eyed and only planning to watch a couple of stocks. We had a pediatrician appointment early, and I knew I was going to try to hit a couple of trades and then split.

One of the trades I was watching was for CF to break $133. It had reached that level and been resisted the prior two days. Pre-open, it blipped above that level, and the other fertilizer names were showing strength. The stock was volatile, so I bid at $132.40 with an idea that I'd give it to $132.

In what can only be described as a gift from the stock market gods, the stock took my bid, gave me only 4 cents of pain, and then ripped almost 4 straight points. Since I'm still not used to moves that occur so quickly, I limited out after 2 points and took my gains, thinking it "had" to pull back... no real complaints here though.

My second trade was handed to me on a platter by my friend Evolution. He's a very consistent trader who tends to specialize in a specific sector or two. Currently, he's been nailing the financials, so when he mentioned MER as a short while it was trading around $46.80, I took note. I pulled up the 3 minute graph, and placed a sell limit up on the 5-period line, at $46.93. Again, the nebulous stock market gods smiled on my poor ass, and I was filled just before the stock tanked a point.

Again, I didn't hold for the full move, my last cover was at $46.38, but no real complaints.

Lately, in an attempt to hold trending stocks that are going in my favor, I've been moving stops just above (or below) the most recent 5 minute candle. In this instance, had I covered using that method, I would have been stopped out at $46.69, netting myself about $70. Instead, I took partials on the way down and bid where there was initial resistance on the move and net $100. I think a combination of the two methods, where I take some off on "feel" and hold smaller size for potentially larger moves with trailing stops over (or above) the recent 5-minute bars is where I'm headed.

So it was 10:00am and we had to leave in 20 minutes for our 10.45 appointment. I figured I had one more trade to make, but I didn't want to risk too much since I had such luck so early. The early trade was light and the office was getting chopped.

I noticed CF trying to get back to the early morning highs while the other fertilizer names, had already turned tail and were closer to their morning lows. So I short 100 shares into the move up betting that he couldn't take out his high. I actually planned on entering a buy stop above the morning high and going to the appointment with a live order, but I didn't want it on my mind, so I covered down where Ainkurn said there was "some good ole support."

Anyway, after that, we head to the doctor's office where we learned that our daughter had a "ragin'" ear infection. She's been pretty miserable for a week, but the infection only popped up in the last two days.

This story has a happy ending however, and somewhat explains why this post is being written at 3am.

We haven't slept much here in the last week, since our daughter has been suffering through bouts of hives and fever. So last evening, while putting her to sleep, I too fell asleep, at 7:30. Just before she drifted off, she sat bolt upright in bed and announced to my wife and I that, "I feel much better now!"

Then, she dropped back down to the bed and was asleep in seconds. She hasn't had a fever or hives all night, and I got 6 hours of straight sleep. Apparently, that was enough, because I woke at 2:30, feeling brighter than the sun.

Here's the stats:
P&L, $378
Best, CF, $279
Worst, MER, $99

1000 shares traded.
2 stocks traded, 1 winner, 1 loser.