How I Day Trade

Vacation - Will post a chart this weekend

2009-07-10T11:05:00.000-07:00

Will post a chart this weekend - vacation, not much trading for the next week.

Gap Fill and Go - AET

2009-07-07T22:02:00.000-07:00

5 minute chart - This was sent to me by a reader, nice trade

(Double Click Picture for a Larger View)

Stock:AET 5 minute chart

Entry Bar: 2
Entry Green Line: 25.27
Stop Red Line: 24 conservative or under 20 SMA 24.49
Result: .33-.98
Setup Grade: B
Notes: Trade from a reader made yesterday, he scaled out as it went up, 40%(25.6), 30%(25.97), 30%(26.25).

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Screen shot of my stock watch list

2009-07-07T11:58:00.000-07:00

I get this question a lot, how do I track my watch list of stocks on the day. Here is a screen shot of how I track my candidate's for the first 30 minutes of the day when trading the 2 minute charts. I get this list from my pre market scans.

I use tradestation to track my candidates but use Street Smart Pro Schwab to make my equity trades.

2 Minute 8 SMA Short - OSG

2009-07-06T15:15:00.000-07:00

2 minute chart

(Double Click Picture for a Larger View)

Stock: OSG 2 minute chart

Entry Bar: 10
Entry Green Line: 31.03
Stop Red Line: 31.14
Result: out at plus .33
Setup Grade:
Notes: This is a setup I have been working with for some time. Its using a quick 2 minute time frame. For the setup I use a small risk stop and trail down following the 8SMA until my set price is met, usually around 1% of the stock price. I am looking for a quick gain and out with a small stop. Will elaborate when I update my trading plan in a month or so. 2 minute charts are not for new traders.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

King of Stupid - Funny

2009-07-06T11:23:00.000-07:00

Trade post coming later -

Very Cool Website

2009-07-02T08:24:00.000-07:00

If you are a sports fan like me you would enjoy this site. You can pit any team of any time frame and have them play it out. All box scores printed out. Excellent site. Take a peak.

What If? What if Albert Pujols faced Sandy Koufax? What if Jordan's '81-82 UNC Tar Heels played the undefeated '75-76 Indiana Hoosiers? The SimMatchup feature will settle such age-old sports debates.

Sports simulations are what they do. They analyze the performance of past and present players and teams utilizing every stat they can get their hands on to predict the outcome of a wide-variety of “what if?” scenarios.

Gap and Go - K

2009-07-01T13:59:00.000-07:00

5 Minute Chart

Daily chart

(Double Click Picture for a Larger View)

Stock:K

Entry Bar: 2
Entry Green Line: 47.11
Stop Red Line: 46.90
Result: .37 to .61
Setup Grade: A-
Notes: Nice daily, scale as you go, close at the end of the day

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

30 Minute outside range breakdown - PCS

2009-06-30T08:32:00.000-07:00

5 Minute chart

(Double Click Picture for a Larger View)

Stock: PCS

Entry Bar: 7
Entry Green Line: 13.95 SHORT
Stop Red Line: 14.15
Result: using 20 sma to follow down,
Setup Grade: B
Notes: Just ugly coming down with the market, liked the break of the 30 minute, the more conservative trail with the 20 sma - scale as you go.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Free Fall - ESI

2009-06-29T10:08:00.000-07:00

5 minute chart

(Double Click Picture for a Larger View)

Stock:ESI

Entry Bar:11
Entry Green Line: 95.38
Stop Red Line: 94.15
Result: out 20 SMA 96.25
Setup Grade: A-
Notes: Nice bounce off the 200 and 600 sma (600 is the same as a 200 moving average on a 15 minute chart) Wide stop less shares, scale and sell at the 20 moving average.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Learning Chart - Question from a reader

2009-06-25T20:05:00.000-07:00

A question from a reader:
Could you review a chart for me?
Symbol: ME
Time: 30min chart
Setup: Double Dynamite
Shorted on break of the 3rd bar. Covered before my stop was hit as it was clear on the 15min chart a reversal was coming.

Would appreciate any observation.
30 minute chart

(Double Click Picture for a Larger View)

Stock:ME

Entry Bar: 3
Entry Green Line: 11.76 short
Stop Red Line: 11.93
Result: Stopped out
Setup Grade: would not take this trade
Notes: A reader asked me to review this trade. I would not have taken this trade for several reasons: For a double dynamite trade I want two small narrow range bars that are similar in size. The 2nd bar is not one I would consider a narrow range bar. For shorting I prefer both red. That 2nd green bar scares me out. 2nd reason the market is strong, was looking to go long on the day. The one thing I liked is strong day over day volume, but again you where fighting the market. Good stop management, stick to your stops and live to trade another day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap & go - ACH

2009-06-24T10:17:00.000-07:00

5 minute chart

Daily Chart - gapping up after bouncing off the 50sma

(Double Click Picture for a Larger View)

Stock: ACH

Entry Bar:2
Entry Green Line: 24.25
Stop Red Line: 23.90
Result: .21 to .55
Setup Grade: B+
Notes: Gaping up after bouncing off the 50. I always screen my stocks pre-market looking at daily charts. As usual scale out and let some run all day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

QUIZ

2009-06-23T10:38:00.000-07:00

Something a little different

This is very good - you've got to answer the questions super quick for the best result

Below are four (4) questions and a Bonus question to test your perception, reasoning and the quickness of your logical processing. They are stated simply so you should try to answer them instantly. To assure the accuracy of the results, you should not take your time , but instead, answer each of them immediately.

Let's find out just how clever you really are....
(scroll down slowly to uncover Q's and A's )

First Question :

You are a participant in a race. You overtake the second person. What position are you in?

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Answer : If you answered that you are first, then you are absolutely WRONG! If you overtake the second person and you take his place, YOU are in second place!

Second Question : If you overtake the last person then you are?

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Answer : If you answered that you are second to last, then you are ;WRONG again. Tell me Sunshine, how can you overtake the LAST person??

You're not very good at this, are you?

Third Question : Very tricky arithmetic! Note: This must be done in your head only. Do NOT use paper and pencil or a calculator.

Try it.

Take 1000 and add 40 to it. Now add another 1000 Now add 30 . Add another 1000 . Now add 20 . Now add another 1000 .. Now add 10 . What is the total?

Scroll down for the correct answer.....

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Did you get 5000 ?

The correct answer is actually 4100 .

If you don't believe it, check it with a calculator!

Today is definitely not your day, is it ? Maybe you'll get the last question right.... Maybe...

Fourth Question:
Mary's father has five daughters: 1. Nana, 2. Nene, 3. Nini, 4.Nono, and ? ?? What is the name of the fifth daughter?

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Did you Answer Nunu? NO! Of course it isn't.

Her name is Mary you numpty! Read the question again!

Okay, now the Bonus round, i.e., a final chance to redeem yourself:

A mute person goes into a shop and wants to buy a toothbrush. By imitating the action of brushing his teeth he successfully expresses himself to the shopkeeper and the purchase is done. Next, a blind man comes into the shop who wants to buy a pair of sunglasses; how does HE indicate what he wants?

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
It's really very simple He opens his mouth and ask for it...

Does your employer actually pay you to think??

If so Do NOT let them see your answers for this test!

PASS THIS ON TO FRUSTRATE THE SMART PEOPLE IN YOUR LIFE!

Have a nice day, one and all.

15 minute Outside Range breakdown - RIG

2009-06-22T10:17:00.000-07:00

15 Minute chart

(Double Click Picture for a Larger View)

Stock:RIG

Entry Bar: 4
Entry Green Line: 73.51
Stop Red Line: 74.19
Result: .51 to end of day
Setup Grade: B+
Notes: Nice red bar breakdown, scale, stop to even let some run until the close

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap and Go 15 minute - HPQ

2009-06-19T10:21:00.000-07:00

15 minute chart

Daily Chart - 6 month breakout

(Double Click Picture for a Larger View)

Stock:HPQ

Entry Bar: 2
Entry Green Line: 38
Stop Red Line: 37.77
Result: up to .39
Setup Grade: B+
Notes: nice break on the daily, scale hold some until close

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Double Dynamite - GRMN short

2009-06-18T08:57:00.000-07:00

5 minute chart

(Double Click Picture for a Larger View)

Stock:GRMN

Entry Bar: 11
Entry Green Line: 21.86 SHORT
Stop Red Line: 21.99
Result: .28 to .43
Setup Grade: B+
Notes: scale and hold some all day with your stop at entry.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Free Fall - PCZ

2009-06-17T15:03:00.000-07:00

5 minute chart

(Double Click Picture for a Larger View)

Stock:PCZ

Entry Bar:
Entry Green Line: 38.13
Stop Red Line: 37.85
Result: .13 to .47
Setup Grade: B+
Notes: scale as you go, sell at the 20 sma or let some ride all day

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Rocket - CI stopped out

2009-06-16T08:03:00.000-07:00

Set up 5 minute chart

outcome - stick with the stop

(Double Click Picture for a Larger View)

Stock:CI

Entry Bar:10
Entry Green Line:21.33 short
Stop Red Line: 21.61
Result: stopped goal right before 21
Setup Grade: B+
Notes:Nice setup, stick with your stops, either high of last bar or entry...it happens, come back another day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap & Go short -COP

2009-06-15T13:56:00.000-07:00

(Double Click Picture for a Larger View)

Stock:COP

Entry Bar: 2
Entry Green Line: 43.49
Stop Red Line: 43.81
Result: .43 to 1.05
Setup Grade: B+
Notes: scale out get your stop to even, let it run all day sell at the close.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap Fade - AGU

2009-06-13T09:34:00.000-07:00

5 minute chart

(Double Click Picture for a Larger View)

Stock:Agu 5 minute chart

Entry Bar: 3
Entry Green Line:49.44
Stop Red Line: 48.81
Result: .44 to .76
Setup Grade: B
Notes:Prefer the green bar entry but always enticed by a nice drop into a 200sma with a nice bounce. Scale out, unload at 20 sma. Wider stop, less shares

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Free Fall - 2 Trades Same Stock - TNDM

2009-06-11T10:02:00.000-07:00

set up 1

set up 2

(Double Click Picture for a Larger View)

Stock:TNDM

Entry 1 Bar #: 19
Entry Green Line: 26.40
Stop Red Line: 25.99
Notes: scale out sell at 20sma

Entry 2 Bar #: 33
Entry Green Line: 25.78
Stop Red Line: 25.35
Notes: scale out sell at 20sma

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap Fade Short - CHL

2009-06-10T15:19:00.000-07:00

Daily gap up extended

5 minute chart

(Double Click Picture for a Larger View)

Stock:CHL

Entry Bar:2
Entry Green Line: 53.15 SHORT
Stop Red Line: 53.60
Result: Any where from even to .98 depending on where you had your stop/ scale point
Setup Grade: B+
Notes: Daily extended, nice candle, scale as you go and get that stop to entry

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

An Old Farmer's Advice

2009-06-10T14:57:00.000-07:00

AN OLD FARMERS ADVICE

* Words that soak into your ears are whispered...not yelled.

* Meanness don't jes' happen overnight.

* Forgive your enemies. It messes up their heads.

* Do not corner something that you know is meaner
Than you.

* It don't take a very big person to carry a Grudge.

* You cannot unsay a cruel word.

* Every path has a few puddles.

* When you wallow with pigs, expect to get dirty.

* The best sermons are lived, not preached.

* Most of the stuff people worry about ain't Never gonna happen anyway.

* Don't judge folks by their relatives.

* Remember that silence is sometimes the best Answer.

* Live a good, honorable life. Then when you get
Older and think back, you'll enjoy it a second time.

* Don't interfere with somethin' that ain't Bothering you.

* If you find yourself in a hole, the first thing to do is stop diggin'.

* The biggest troublemaker you'll probably ever
Have to deal with, watches you from The mirror every mornin'.

* Always drink upstream from the herd.

* Good judgment comes from experience, and a
Lotta that comes from bad judgment.

* Lettin' the cat outta the bag is a whole lot
Easier than puttin' it back in.

* If you get to thinkin' you're a person of some
Influence, try orderin' somebody else's dog around.

Gap & Go short -BUCY

2009-06-08T16:12:00.000-07:00

Daily

5 Minute

(Double Click Picture for a Larger View)

Stock: Bucy

Entry Bar:
Entry Green Line: 31.51
Stop Red Line: 32.41
Result: .70 to 2.00
Setup Grade: B+
Notes: nice gap down on the daily, wide stop less shares, scale as you go, stop to even.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Winner and Loser same stock - ICE

2009-06-05T09:43:00.000-07:00

Daily - extended

5 Minute Gap Fill

(Double Click Picture for a Larger View)

5 Minute Gap Fill
Entry Bar:2
Entry Green Line:119.77 short
Stop Red Line: 121.94
Result: Up to a 3.40 as you scale out, stop to entry let it run all day

123 pullback - Just stopped out then sell off

123 Pullback
Entry Bar:8
Entry Green Line:118.05 short
Stop Red Line: 118.55
Result: Just stopped out by .05 with a nice pullback to 20sma and red bar. It happens, stick to your stops.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Rocket - PEP

2009-06-04T09:49:00.000-07:00

5 minute chart

(Double Click Picture for a Larger View)

Stock:PEP

Entry Bar: 24
Entry Green Line: 54.86
Stop Red Line: 54.58
Result: .28 cents and out
Setup Grade: A-
Notes: Scale as you go, I like to exit all at the 20SMA. Like the fact its reversing around the 200 SMA with a nice red reversal bar.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.