Wednesday, October 8, 2008

Expect Irony Tommorrow

How ironic would it be if we finally get that rally we have all been expecting after the Short Ban gets lifted tonight. Everyone is expecting the financials to tank hard tmrw after the lifting of the shorting ban, but we are in a bizzarro market right now and it does the exact opposite of what the masses think. So i am saying, expect a rally tmrw!

Go America!!!!


Ragin' Cajun said...

I like it.

CPATrader said...

Stewie, I think you're probably right. Lifting the ban may draw in a lotta weak shorts but they'll get squeezed as the day goes by. Anyway, congrats on the SKF trade! May I ask what your stop loss was on that trade? Did you place your stop based on the charts or just a percentage of your capital. Thanks!

Stewie said...

cpa: once i placed my first 500 shrs on the skf trade, by the time i was planning a stop, the stock took off, i added the other 800 shrs. and the stock was deep in the money at that point that i just put a breakeven stop literally within seconds after the trade was on. i kept raising my stop until i saw the mrkt just make one final tank and i just took all my profits and walked away.

CPATrader said...

Thanks Stewie. A problem I'm having lately is placing stops too tightly. I had a nice trade in AAPL today, but I left a lot on the table. When you have a good trade, as in the first 500 shares of SKF, how soon do you place your stop? Let's say you bought 500 shares at $100/share. Would you normally put a stop at breakeven when SKF hits $100.50 or do you place a stop at some level as soon as you buy the shares? Thanks again!

MatchPointTrader said...

I would be really happy if I see anything green anytime soon. I would love to see some rally for bulls.

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