Monday, January 12, 2009

The RO Report, "Who Needs Volume?" Edition

The low volume environment, unfortunately, is continuing. But as a friend pointed out, that no longer seems to matter as far as volatility is concerned. We had about a 175 point range today in the Dow.

Another friend, Jawbreaker, just pointed out in the comment section of another post that he feels we're about to enter a very difficult phase for daytraders. This may be so. In fact, I see what he sees.

However, I've traded 10 years, I believe he's traded 12-15... difficult markets come and go. The thing is, there's always someone making more than you... which means, in essence, that you can always do better. The easiest thing you can do, is defeat yourself. Or, to paraphrase my hero (cough! cough!) Dennis Kneale, let's not talk ourselves into a recession over here!

Anyway, today marked a bit of a change for me, as I officially change my stance back to bearish. I've been bullish since that November low, but I hated the way the bulls just let SPY 89 go. Also, the price of crude is alarming.

Now, I think we can expect something like this to play out... not particularly pretty, but perhaps more realistic than thinking the worst was behind us forever.

In blog news, I'm working hard to have another history post up on Wednesday. I also have a funny story about The Wizard of Oz and looking up the skirt of a model, but I can't work on that until I get the history post up...

Also, tomorrow I'll announce the first book for The Dinosaur Trader book club, soon to rival Oprah's in importance.

Finally, you have just one more day to vote for Jon Swift. Please do.

Okay, now the numbers... out of 27 traders today, 20 were gross positive, or 74%. 10 traders finished up over $1,000 gross and only one lost over $1,000 gross. Those are the best numbers we've seen since the start of 2009... let's hope the worst is behind us. I was #9 of 27, happy to finally make a living wage again.

"Lucky Pierre" - Trader B, $9,850 on 163k shares traded.

2. Trader N, $8,794 on 135k shares traded.
3. Trader C, $6,768 on 161k shares traded.
4. Trader H*, $4,176 on 23,700 shares traded.
5. Trader V, $2,558 on 50,200 shares traded.

"Chambermaid" - Trader M*, -$2,110 on 0 shares traded.

2. Trader J, -$521 on 10,600 shares traded.
3. Trader 6, -$502 on 1,900 shares traded.
4. Trader O, -$323 on 37,400 shares traded.
5. Trader 9*, -$322 on 1,700 shares traded.

Here's your heatmap and technical analysis of the day.


Jawbreaker said...

Great Job DT. I bet being green today meant alot more to you then just dollars & cents. My post was really to remind guys to put something away for leaner times. My mentor stressed this to me constantly and it has served me well. If you day trade for a living dont allow yourself a huge monthly up keep. Live right. Iam sure things will eventually get going again but when its lean & mean everyday feels like a month, at least to me.

Dinosaur Trader said...

No, I get it. It's just that recently, since just before the holidays, I hit a mini-slump and I found myself coming up with excuses why... volume was a big one. But Trader B much set me straight on that... he's still having big days, which means big days are possible even in low volume. And P has been working very hard to find new things that work... not to mention the changes that have happened to the HCPG system.

I find traders inspiring because they understand that nothing is given and that you have to work for every cent. I believe trading is going to get more difficult, as you say, I'm just trying to keep my head positive, and unfortunately, sometimes it takes effort on my part to keep it there.

And thanks, as always, for your comments and insight. I have loads of respect for anyone who has done this as long as you have.


T said...

congrats to trader N for making frequent showings on the boss list lately.

DT, you happened to know how N trades? What's his style?