Today I got long
ADP may 50 call @ 1.45 stops are set @ .75 for now
VZ apr 37 call @ .78 and .79 1/4 position, I will look to add another 1/4 if it pulls back to $36.00 or .55 on the call option
watch video link for details
http://www.screencast.com/t/MmM8E2m1
Monday, February 28, 2011
Sunday, February 27, 2011
Saturday, February 26, 2011
Review of the Major Indexes
Here is a link the a video on the major indexes
http://www.screencast.com/t/Hs5dLJow1gz
Mentioned in this video
SPX
QQQQ
IWM
DIA
http://www.screencast.com/t/Hs5dLJow1gz
Mentioned in this video
SPX
QQQQ
IWM
DIA
Review and Update of Option Positions
Here is a link to a video that gives an update to both positions that I am still in and positions I have been stopped out of.
http://www.screencast.com/t/u7BN4xmXn
I forgot to mention MU in the video, I rolled out my apr 9 calls to apr 12 calls. The entry on the MU apr 9 calls were on 1/3/11 @ .57 took some profits at 1.92 and 2.09 at that time I rolled the position to a higher strike getting into the MU apr 12 calls on 2/11/11 for .54. I maintain a bullish bias on MU.
http://www.screencast.com/t/u7BN4xmXn
I forgot to mention MU in the video, I rolled out my apr 9 calls to apr 12 calls. The entry on the MU apr 9 calls were on 1/3/11 @ .57 took some profits at 1.92 and 2.09 at that time I rolled the position to a higher strike getting into the MU apr 12 calls on 2/11/11 for .54. I maintain a bullish bias on MU.
HK, HUN, WMB
Here is a link to the video of the positions I entered on Friday feb 25, 2011
http://www.screencast.com/t/zCj3GCZ8KZY
HK - long jan 2012 30/35 bull call spread @ .44, spec trade
HUN - long apr 18 call @ .75
WMB - long apr 31 call @ .84
http://www.screencast.com/t/zCj3GCZ8KZY
HK - long jan 2012 30/35 bull call spread @ .44, spec trade
HUN - long apr 18 call @ .75
WMB - long apr 31 call @ .84
Thursday, February 24, 2011
Speculative Trade in HK
Here is a link to the video on what I saw in HK today.
http://www.screencast.com/t/MIfcTxjO
Large lot bought of the HK jan 2012 30/35 call spread
http://www.screencast.com/t/MIfcTxjO
Large lot bought of the HK jan 2012 30/35 call spread
Friday, February 18, 2011
The Results Are In
Hey guys the results are in,
These were the submissions,
Stock Ticker and closing price on 2/4/11
PLCE - $44.14
ROVI - $63.68 * was changed to CREE - $52.69
TSN - $18.56
Stock Ticker and closing Price on 2/18/11
PLCE - $47.06 a $2.92 increase or 6.61%
ROVI - $57.85 a $5.83 loss or - 9.15% *had been changed to CREE
CREE - on 2/4/11 was 52.69 it closed today at 54.68 an increase of $1.99 or 3.776%
TSN - $18.63 an increase of $0.07 or .377%
The winner is,
PLCE with a 6.61% increase.
Congratulations Bluto!
Please e-mail me your Skype information to petevoptions@gmail.com so we can schedule your 1 on 1
Thank you to everyone who participated and once again congratulations Bluto.
These were the submissions,
Stock Ticker and closing price on 2/4/11
PLCE - $44.14
ROVI - $63.68 * was changed to CREE - $52.69
TSN - $18.56
Stock Ticker and closing Price on 2/18/11
PLCE - $47.06 a $2.92 increase or 6.61%
ROVI - $57.85 a $5.83 loss or - 9.15% *had been changed to CREE
CREE - on 2/4/11 was 52.69 it closed today at 54.68 an increase of $1.99 or 3.776%
TSN - $18.63 an increase of $0.07 or .377%
The winner is,
PLCE with a 6.61% increase.
Congratulations Bluto!
Please e-mail me your Skype information to petevoptions@gmail.com so we can schedule your 1 on 1
Thank you to everyone who participated and once again congratulations Bluto.
Thursday, February 17, 2011
MU, PAY, WFR, FST, OXY, SLB, JBL, KO updates
I have been shaving down some of my long positions. I mentioned last week that the market was not showing any signs of weakness other than everyone thinking we are in need of a pull back. Fortunately I don't care much what people think and for that matter what I think the markets should do. The markets are going to do what they want and don't care how we feel about it. With that being said I have continued to put on long positions in an attempt to stay with the trend.
These positions were entered on 2/10/11
PAY mar 44 call long @ 2.35
FST mar 39 call long @ 1.35
OXY mar 100 call long @ 2.10
SLB may 100 call @ 1.70
JBL mar 22.50 call @ .55
PAY - I have taken a piece off of PAY @ 4.70, today it closed at 6.35, the stock should see 50 where I will take another piece off and continue bringing my stops up. PAY reports 3/1/11 and I will more than likely exit the full position prior to earnings. Current stops are at 4.70
FST - I closed out the rest of FST today as they report on Tuesday morning and the markets are closed Monday. Also, it was showing some weakness today and I wanted to lock in some gains. Closed rest of position at 1.70
OXY - I have been shaving along the way taking pieces off at 3.30, 4.20, and now looking to take more off into further strength. I do believe this one has a possibility of seeing Par. I have brought my stops up to 4.20. Today it closed at 6.35.
SLB - SLB is one of my favorites in this space and we have some time on this one. My price target in the next 3 months is 109.10. However our 100 may call option is now trading at 2.95 from our 1.70 entry. I will look to take a piece off at 3.40 and trail stops from there.
JBL - took a piece off today at 1.20, this chart continues to look very attractive.
WFR - entered 0n 2/11/11 at .50, I got stopped out at .75 on 2/15/11. I had a target of 14.58 which was attained today, but I brought my stops up to lock in a 50% gain when it had pushed up to .90, unfortunately the stock experienced a little give back in the later part of the day and stopped me out @ .75
MU - I entered the apr 9 call on 1/3/11 @ .57, I have since taken profits several times and have also added the apr 12 call strike and the jan 2012 15 call strike which I have taken a piece off as well with a little better than a double. I think MU has a while to run even though it is extended.
KO - was entered on 2/14/11 and I got a fill of .85, some of the Tidetraders got a better fill than I but this one is also looking very, very nice. Currently it is trading at 1.31. My targets are 65.03, 65.88, 66.97, 68.35, and lastly 70.65, not sure if it will make it there, but these are the areas where I will look to shave some of the options off. Stops for now are at .75. I will be adjusting very soon.
WCC and AGCO continue to rock, I see further upside in both, but as I mentioned the liquidity in WCC options is horrible and I will look to shave as the opportunity presents itself ie. when option buyers come in. WCC entry was on 1/5/11 @ 2.40, currently option is trading @ 5.80 by 6.60, you can see the horrible slippage.
As for AGCO, 57.91 is my next upside target. AGCO was entered on 2/15/11 via a mar 55 call @ 1.75, currently it is trading at 3.10. I will look to take a piece off at 3.50 and then trail it up to my target.
On a sour Note I have taken 2 losers in the form of the MCP mar 55/60 call spread that was entered on 2/8/11 at 1.55 and stopped out @ .45
I re-entered a MCP mar 50 call on 2/16/11 @ 3.20 and stopped out today @ 2.60. I just wanted to lighten up my port of longs and also still have exposure in the rare earth names via a REE jul 17.50 call which is currently also in the red.
Today I entered APOL long via a mar 45 call. I have been stalking this one along with other education sector stocks. This got above the 200ma briefly today and I entered the position long. I am looking for a possible attempt at a gap fill from the falling window put in on 10/14/11 off of the earnings report. My entry was triggered off of a 200 ma cross and a 50% retracement form 9/23/10 which came in at 43.70. My targets on this are 46.04, 49.37, and 53.61 which are the 61%, 78% and 100% retracements respectively. I am not any any means what so ever under the impression this stock will move that much in the time frame allotted, however as those targets are hit I will trail my stops up accordingly, and if it keeps trending up at that time I will re-evaluate and see if a roll to a later month is warranted. I have placed my stops on at .50 for now.
Currently there are still many opportunities out there and I will try to continue to capitalize on them. I continue to enter 1/4 to 1/2 size positions as I understand we are extremely lofty. I will look to lighten up the portfolio of longs aggressively as we come into the 1350 to 1365 area on the S&P 500. or get stopped out of positions, which ever happens first. At that time, I will re-evaluate and put together another battle plan.
See these trades live. I post them exactly when I take them in the live chat room at www.tidetraders.com
I also post them on twitter.com and my handle is ptposture1
My twitter posts on entries and exits will decrease substantially starting in March
These positions were entered on 2/10/11
PAY mar 44 call long @ 2.35
FST mar 39 call long @ 1.35
OXY mar 100 call long @ 2.10
SLB may 100 call @ 1.70
JBL mar 22.50 call @ .55
PAY - I have taken a piece off of PAY @ 4.70, today it closed at 6.35, the stock should see 50 where I will take another piece off and continue bringing my stops up. PAY reports 3/1/11 and I will more than likely exit the full position prior to earnings. Current stops are at 4.70
FST - I closed out the rest of FST today as they report on Tuesday morning and the markets are closed Monday. Also, it was showing some weakness today and I wanted to lock in some gains. Closed rest of position at 1.70
OXY - I have been shaving along the way taking pieces off at 3.30, 4.20, and now looking to take more off into further strength. I do believe this one has a possibility of seeing Par. I have brought my stops up to 4.20. Today it closed at 6.35.
SLB - SLB is one of my favorites in this space and we have some time on this one. My price target in the next 3 months is 109.10. However our 100 may call option is now trading at 2.95 from our 1.70 entry. I will look to take a piece off at 3.40 and trail stops from there.
JBL - took a piece off today at 1.20, this chart continues to look very attractive.
WFR - entered 0n 2/11/11 at .50, I got stopped out at .75 on 2/15/11. I had a target of 14.58 which was attained today, but I brought my stops up to lock in a 50% gain when it had pushed up to .90, unfortunately the stock experienced a little give back in the later part of the day and stopped me out @ .75
MU - I entered the apr 9 call on 1/3/11 @ .57, I have since taken profits several times and have also added the apr 12 call strike and the jan 2012 15 call strike which I have taken a piece off as well with a little better than a double. I think MU has a while to run even though it is extended.
KO - was entered on 2/14/11 and I got a fill of .85, some of the Tidetraders got a better fill than I but this one is also looking very, very nice. Currently it is trading at 1.31. My targets are 65.03, 65.88, 66.97, 68.35, and lastly 70.65, not sure if it will make it there, but these are the areas where I will look to shave some of the options off. Stops for now are at .75. I will be adjusting very soon.
WCC and AGCO continue to rock, I see further upside in both, but as I mentioned the liquidity in WCC options is horrible and I will look to shave as the opportunity presents itself ie. when option buyers come in. WCC entry was on 1/5/11 @ 2.40, currently option is trading @ 5.80 by 6.60, you can see the horrible slippage.
As for AGCO, 57.91 is my next upside target. AGCO was entered on 2/15/11 via a mar 55 call @ 1.75, currently it is trading at 3.10. I will look to take a piece off at 3.50 and then trail it up to my target.
On a sour Note I have taken 2 losers in the form of the MCP mar 55/60 call spread that was entered on 2/8/11 at 1.55 and stopped out @ .45
I re-entered a MCP mar 50 call on 2/16/11 @ 3.20 and stopped out today @ 2.60. I just wanted to lighten up my port of longs and also still have exposure in the rare earth names via a REE jul 17.50 call which is currently also in the red.
Today I entered APOL long via a mar 45 call. I have been stalking this one along with other education sector stocks. This got above the 200ma briefly today and I entered the position long. I am looking for a possible attempt at a gap fill from the falling window put in on 10/14/11 off of the earnings report. My entry was triggered off of a 200 ma cross and a 50% retracement form 9/23/10 which came in at 43.70. My targets on this are 46.04, 49.37, and 53.61 which are the 61%, 78% and 100% retracements respectively. I am not any any means what so ever under the impression this stock will move that much in the time frame allotted, however as those targets are hit I will trail my stops up accordingly, and if it keeps trending up at that time I will re-evaluate and see if a roll to a later month is warranted. I have placed my stops on at .50 for now.
Currently there are still many opportunities out there and I will try to continue to capitalize on them. I continue to enter 1/4 to 1/2 size positions as I understand we are extremely lofty. I will look to lighten up the portfolio of longs aggressively as we come into the 1350 to 1365 area on the S&P 500. or get stopped out of positions, which ever happens first. At that time, I will re-evaluate and put together another battle plan.
See these trades live. I post them exactly when I take them in the live chat room at www.tidetraders.com
I also post them on twitter.com and my handle is ptposture1
My twitter posts on entries and exits will decrease substantially starting in March
Sunday, February 13, 2011
KO, TE and CSL
I will be stalking CSL, TE, and KO along with others into the upcoming week. I will post them as usual in the Tidetraders chat room. I am looking to get long some KO may 62.50 Calls @ 2.20 or may 65 calls @ 1.00. On TE I am looking out to may calls as well, I am interested in getting long the 17.50 calls @ .75 to .80
CSL had a nice pop and now has been consolidating via a bull flag type pattern.
I understand the markets are lofty and continue to push up. History has proven February to be a pullback retracement type month and going into Valentine's day and week history shows it to be a bearish week. I have been looking at the major markets and sectors and there is nothing baring any bad news, which has pretty much been shrugged off, that indicates these markets showing weakness. I want to continue to be on the right side of the trend which fortunately I have. I will continue to look and trade bullish setups. I do think we will eventually get a 3 to 8 percent pull back but until the market shows me different I will stay long.
You may also have noticed that I am taking on longer term call options and entering positions quarter to half size.
TIE
SWC
GLW
LVS
the above listed tickers are some others I will be keeping a close eye on for bullish opportunities.
CSL had a nice pop and now has been consolidating via a bull flag type pattern.
I understand the markets are lofty and continue to push up. History has proven February to be a pullback retracement type month and going into Valentine's day and week history shows it to be a bearish week. I have been looking at the major markets and sectors and there is nothing baring any bad news, which has pretty much been shrugged off, that indicates these markets showing weakness. I want to continue to be on the right side of the trend which fortunately I have. I will continue to look and trade bullish setups. I do think we will eventually get a 3 to 8 percent pull back but until the market shows me different I will stay long.
You may also have noticed that I am taking on longer term call options and entering positions quarter to half size.
TIE
SWC
GLW
LVS
the above listed tickers are some others I will be keeping a close eye on for bullish opportunities.
Saturday, February 12, 2011
WFR, MU, HOLX
Friday I added the following Option plays,
WFR mar 14 call @ .50
MU rolled out some apr 9 calls +1.88 from entry on 1/3/11 to apr 12 Calls @ .54, I still own apr 9s, 12s, and jan 2012 15 leaps
HOLX long mar 21 call @ .40 , a spec trade on the FDA approval of the first 3-D mammography device, this Device potentially helps doctors spot more cancerous tumors.
DF added some mar 8 Puts @ .20 to hedge my mar 12 calls, essentially turning the position into a Strangle. I would rather have the 8 puts and 10 calls or better yet the 9 Straddle. I am just trying to hedge the position a bit and will hold through earnings, I paid .30 for the mar 12 calls so my break evens are 7.50 and 12.50 at expiration.
Here is a link to a video covering these entries
http://www.screencast.com/t/aoce4SNP5oI
WFR mar 14 call @ .50
MU rolled out some apr 9 calls +1.88 from entry on 1/3/11 to apr 12 Calls @ .54, I still own apr 9s, 12s, and jan 2012 15 leaps
HOLX long mar 21 call @ .40 , a spec trade on the FDA approval of the first 3-D mammography device, this Device potentially helps doctors spot more cancerous tumors.
DF added some mar 8 Puts @ .20 to hedge my mar 12 calls, essentially turning the position into a Strangle. I would rather have the 8 puts and 10 calls or better yet the 9 Straddle. I am just trying to hedge the position a bit and will hold through earnings, I paid .30 for the mar 12 calls so my break evens are 7.50 and 12.50 at expiration.
Here is a link to a video covering these entries
http://www.screencast.com/t/aoce4SNP5oI
Thursday, February 10, 2011
PAY, FST, OXY, SLB, JBL
This market continues to be lofty and I understand that. With that in mind I am putting on 1/4 to 1/2 size positions. The trend continues to be up and I will try to be on the right side of the trend as best as I can. Today I entered the following positions.
PAY mar 44 call long @ 2.35
FST mar 39 call long @ 1.35
OXY mar 100 call long @ 2.10
SLB may 100 call @ 1.70
JBL mar 22.50 call @ .55
I will look to add on strength, if it presents itself, especially on the longer dated options may, jun and so forth.
Here is a link to the video covering these positions,
http://www.screencast.com/t/dE1dGsbt
On a side note, the NI jul 20 call that was entered on 1/5/11 @ .25 is currently trading @ .45 -.50. I normally take 70% of a position that doubles, in this case I am looking to add to the position if it closes above 18.93
PAY mar 44 call long @ 2.35
FST mar 39 call long @ 1.35
OXY mar 100 call long @ 2.10
SLB may 100 call @ 1.70
JBL mar 22.50 call @ .55
I will look to add on strength, if it presents itself, especially on the longer dated options may, jun and so forth.
Here is a link to the video covering these positions,
http://www.screencast.com/t/dE1dGsbt
On a side note, the NI jul 20 call that was entered on 1/5/11 @ .25 is currently trading @ .45 -.50. I normally take 70% of a position that doubles, in this case I am looking to add to the position if it closes above 18.93
Sunday, February 6, 2011
Tidetraders Contest Submissions
Hi guys,
Just wanted to post a little update. The contestants that made the cutoff have submitted their stock picks. They are listed here so you all can follow along if you so desire.
Stock Ticker and closing price on 2/4/11
PLCE - $44.14
ROVI - $63.68
TSN - $18.56
The winner will be determined by the percentage change from 2/7/11 till the close on 2/18/11
Good luck to all the contestants.
Just wanted to post a little update. The contestants that made the cutoff have submitted their stock picks. They are listed here so you all can follow along if you so desire.
Stock Ticker and closing price on 2/4/11
PLCE - $44.14
ROVI - $63.68
TSN - $18.56
The winner will be determined by the percentage change from 2/7/11 till the close on 2/18/11
Good luck to all the contestants.
Saturday, February 5, 2011
TideTraders Subscription
Hey guys,
For those that know me, you are aware that trading is a huge part of my life and my main source of income right now. You are also aware that I hang out in the Tidetraders chat rooms. I try to post most of my trades, or at least most of the option trades I take that do not cause Obligation. I try to limit my posts to options that give you rights and not obligations. The main reason I do this, believe it or not, is because there are many people out there who do not do their own research and may not be aware of the risks they are taking. With that being said, my conscious does not want me to hurt anyone financially. I do not want those who choose to take my trades to ever lose money. I do post both my winners and losers. And believe me guys, I have losers as well, sometimes more than I would like.
The key is money management. I always preach that there is not a book in existence that can teach you about yourself. Your fears, your greed, and monetary value, and what money means to you. You have to identify the type of personality that you have. When I say you have to identify your personality, I mean, your personality as a trader. Are you someone who has to be in and out quickly by scalping because you like that style better or you just do not want to have any money at risk over night and prefer to have a clean slate every morning? Are you someone who likes to day trade positions and give them time to work throughout the day and close all positions out prior to close so you can avoid any overnight swings and again start fresh every morning? Are you the type of trader that likes a slower pace of trading, more relaxed sit back and watch type trader? If so maybe you prefer to employ a swing type trading strategy. Maybe trading is not your main source of income and you have another job. These traders, should consider swing trading positions and maybe looking at types of equities that will allow them to set there stops and let them develop and work for them at a slower pace.
After identifying your personality, you must also ask and understand the risks that personality entails. If you are still not comfortable with those risks, you have not identified your trading personality correctly. Do not care what others think of you. Do not lie to yourself. It is very important that you identify your trading personality correctly otherwise you can not advance to the next level.
When you have identified your trading personality, you can step forward and move to setting up proper money management techniques. A 6 month to 1 year period is recommended to study and hone your trading skills. You do this by paper trading an account as if it were real money. There are some issues with that because emotions are difficult to identify when you do not have real skin in the game. However, you will sharpen your skills, learn the required information including patterns, correlations between multiple trading vehicles, and many other issues that affect the markets. You will learn and understand money management and trading techniques using different types of financial vehicles. You will develop rules based on hours of practice and identifying the indicators and parameters that work and do not work.
When you have completed this personal identification, training, and have built a confidence based on indicators and consistency you should have a solid foundation. Now you are a Rookie, a Newbie or any other name that you can use that describes you as being a new trader or green.
Please do not be in a rush to lose money. Remember, any profession you take on, to be a real professional you have to dedicate yourself and put in many hours of studying verbally, written and practically. I like to use the example of my personal life. For those of you who do not know, I am an airline Captain. I invested years of my life and thousands of hours studying, taking hundreds of written exams, oral examinations, and practical tests including simulators and real airplanes under strict rules and a strict examiners eye. I had to perform under all these rules that are dictated by the FAA and be able to perform and execute within very strict limitations. I did all of this to become a professional, to be one of the best at what I do, to be able to compete with other professionals that may have many more years of experience than me. I did this because I love flying. I did this because I had to in order to fly people around and visit all the countries that I studied as a child.
OK, enough about me, the point that I am getting at is, there are many professionals out there that have been trading the markets for many years and are ready to take your money at any given time. So before you get into a business with experienced seasoned professionals who have been properly taught and trained to take your money you better get your act together and be prepared to put in hundreds if not thousands of hours to be able to compete in this great business we call the Stock Market.
Now for those who hang out in the TideTraders chat rooms, you are aware of the promotion they have going. They have free chat rooms and other chat rooms that include Equities and Forex. In these rooms J-P, Rickster, and the Witch Doctor post their trades live. These guys have greater than 40 years of trading experienced combined and are some of the best at what they do. They are not only traders they are also fantastic educators. You will have weekend updates on the stocks they are going to trade with entries, targets, and stops. During the week they post their entries and exits as they take them. They give you extremely detailed commentaries including the use of charts and videos. The price for this information currently is $24.95. Today at midnight the price will increase to 29.95. In the free rooms you can watch over Rickster's shoulder everyday and watch him trades the S&P E-mini futures and ask all the questions you want throughout the day. In 2009 Rick made over 1,000 points trading the /ES and in 2010 he came in just shy of 1,000 points I believe the final was 937 on the /ES. For those of you who do not know what that equals. Each /ES point is worth $50.00 per contract. So 1,000 points is equivalent to $50,000 if you were just trading 1 contract, $100,000 for 2 contracts and so on. Oh yeah, let me also tell you. He showed all of this live, as he pulls the trigger you can see his monitor and the trades triggering with both the stop and limit orders in place and the contracts he is trading. This information is all live, real and best of all it is FREE!!!
I am a chartered member and am extremely blessed to be considered their friend. Outside of being a chartered member I have no affiliation what so ever with Tidetraders. It is just the best chat room by far to spend some of your time in and get educated and profitable throughout the day.
For those of you who sign up before the price increases tonight from $24.95 to $29.95 a month you will also be entered into a contest to have 5 hours of personal coaching on Options via Skype with me.
I am doing this because I choose to. There is nothing in it for me. I am just thankful for what I have and want to give back.
The entry rules to qualify for the 5 hours of 1 on 1 personal options coaching with me are as follows.
1. You must sign up with TideTraders before midnight tonight Saturday February 5, 2011.
2. Your membership must be for a minimum of 6 months.
3. You must submit a stock of your choice, no options by Sunday night February 6, 2011 no later than 11:59 pm est .
4. Please submit your stock in the comments section below or at petevoptions@gmail.com
5. At the end of the 2 week period and market close on February 18th 2011 the stock the performs the best, percentage wise, will dictate the winner.
6. If there are multiple people who have chosen the same stock I will ask you to choose a second stock and we will go off that percentage.
7. If the second choice stock is the same the procedure will continue until there is a different stock choice.
Please visit www.tidetraders.com for any questions or further details, most importantly you will love the environment, and maybe you might learn a thing or two, and more than likely become more profitable.
Good luck and have a great weekend,
Pete
For those that know me, you are aware that trading is a huge part of my life and my main source of income right now. You are also aware that I hang out in the Tidetraders chat rooms. I try to post most of my trades, or at least most of the option trades I take that do not cause Obligation. I try to limit my posts to options that give you rights and not obligations. The main reason I do this, believe it or not, is because there are many people out there who do not do their own research and may not be aware of the risks they are taking. With that being said, my conscious does not want me to hurt anyone financially. I do not want those who choose to take my trades to ever lose money. I do post both my winners and losers. And believe me guys, I have losers as well, sometimes more than I would like.
The key is money management. I always preach that there is not a book in existence that can teach you about yourself. Your fears, your greed, and monetary value, and what money means to you. You have to identify the type of personality that you have. When I say you have to identify your personality, I mean, your personality as a trader. Are you someone who has to be in and out quickly by scalping because you like that style better or you just do not want to have any money at risk over night and prefer to have a clean slate every morning? Are you someone who likes to day trade positions and give them time to work throughout the day and close all positions out prior to close so you can avoid any overnight swings and again start fresh every morning? Are you the type of trader that likes a slower pace of trading, more relaxed sit back and watch type trader? If so maybe you prefer to employ a swing type trading strategy. Maybe trading is not your main source of income and you have another job. These traders, should consider swing trading positions and maybe looking at types of equities that will allow them to set there stops and let them develop and work for them at a slower pace.
After identifying your personality, you must also ask and understand the risks that personality entails. If you are still not comfortable with those risks, you have not identified your trading personality correctly. Do not care what others think of you. Do not lie to yourself. It is very important that you identify your trading personality correctly otherwise you can not advance to the next level.
When you have identified your trading personality, you can step forward and move to setting up proper money management techniques. A 6 month to 1 year period is recommended to study and hone your trading skills. You do this by paper trading an account as if it were real money. There are some issues with that because emotions are difficult to identify when you do not have real skin in the game. However, you will sharpen your skills, learn the required information including patterns, correlations between multiple trading vehicles, and many other issues that affect the markets. You will learn and understand money management and trading techniques using different types of financial vehicles. You will develop rules based on hours of practice and identifying the indicators and parameters that work and do not work.
When you have completed this personal identification, training, and have built a confidence based on indicators and consistency you should have a solid foundation. Now you are a Rookie, a Newbie or any other name that you can use that describes you as being a new trader or green.
Please do not be in a rush to lose money. Remember, any profession you take on, to be a real professional you have to dedicate yourself and put in many hours of studying verbally, written and practically. I like to use the example of my personal life. For those of you who do not know, I am an airline Captain. I invested years of my life and thousands of hours studying, taking hundreds of written exams, oral examinations, and practical tests including simulators and real airplanes under strict rules and a strict examiners eye. I had to perform under all these rules that are dictated by the FAA and be able to perform and execute within very strict limitations. I did all of this to become a professional, to be one of the best at what I do, to be able to compete with other professionals that may have many more years of experience than me. I did this because I love flying. I did this because I had to in order to fly people around and visit all the countries that I studied as a child.
OK, enough about me, the point that I am getting at is, there are many professionals out there that have been trading the markets for many years and are ready to take your money at any given time. So before you get into a business with experienced seasoned professionals who have been properly taught and trained to take your money you better get your act together and be prepared to put in hundreds if not thousands of hours to be able to compete in this great business we call the Stock Market.
Now for those who hang out in the TideTraders chat rooms, you are aware of the promotion they have going. They have free chat rooms and other chat rooms that include Equities and Forex. In these rooms J-P, Rickster, and the Witch Doctor post their trades live. These guys have greater than 40 years of trading experienced combined and are some of the best at what they do. They are not only traders they are also fantastic educators. You will have weekend updates on the stocks they are going to trade with entries, targets, and stops. During the week they post their entries and exits as they take them. They give you extremely detailed commentaries including the use of charts and videos. The price for this information currently is $24.95. Today at midnight the price will increase to 29.95. In the free rooms you can watch over Rickster's shoulder everyday and watch him trades the S&P E-mini futures and ask all the questions you want throughout the day. In 2009 Rick made over 1,000 points trading the /ES and in 2010 he came in just shy of 1,000 points I believe the final was 937 on the /ES. For those of you who do not know what that equals. Each /ES point is worth $50.00 per contract. So 1,000 points is equivalent to $50,000 if you were just trading 1 contract, $100,000 for 2 contracts and so on. Oh yeah, let me also tell you. He showed all of this live, as he pulls the trigger you can see his monitor and the trades triggering with both the stop and limit orders in place and the contracts he is trading. This information is all live, real and best of all it is FREE!!!
I am a chartered member and am extremely blessed to be considered their friend. Outside of being a chartered member I have no affiliation what so ever with Tidetraders. It is just the best chat room by far to spend some of your time in and get educated and profitable throughout the day.
For those of you who sign up before the price increases tonight from $24.95 to $29.95 a month you will also be entered into a contest to have 5 hours of personal coaching on Options via Skype with me.
I am doing this because I choose to. There is nothing in it for me. I am just thankful for what I have and want to give back.
The entry rules to qualify for the 5 hours of 1 on 1 personal options coaching with me are as follows.
1. You must sign up with TideTraders before midnight tonight Saturday February 5, 2011.
2. Your membership must be for a minimum of 6 months.
3. You must submit a stock of your choice, no options by Sunday night February 6, 2011 no later than 11:59 pm est .
4. Please submit your stock in the comments section below or at petevoptions@gmail.com
5. At the end of the 2 week period and market close on February 18th 2011 the stock the performs the best, percentage wise, will dictate the winner.
6. If there are multiple people who have chosen the same stock I will ask you to choose a second stock and we will go off that percentage.
7. If the second choice stock is the same the procedure will continue until there is a different stock choice.
Please visit www.tidetraders.com for any questions or further details, most importantly you will love the environment, and maybe you might learn a thing or two, and more than likely become more profitable.
Good luck and have a great weekend,
Pete
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