|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16919772 - 09/27/12 10:21 AM (11 years, 4 months ago) |
|
|
Less terrible news outta Spain seems to be providing some relief to the market. Shoulda just bought some more straight calls on AAPL ... but that would have been a little reckless given my level of current exposure. The $640/630 spreads are pretty darn safe now with AAPL just about to cross back above $680. I'm also feeling a lot better about my $660/650 spreads, which are tightening again and allowing my portfolio to claw its way back to its highs. I'll tell ya, that was a rough few days there! What I'd really like to see is for the transportation averages to start bouncing in a more meaningful way, they're at the low end of sideways channel that they've been in all year. If they break down, that will not bode well for the aggregate market.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
scatmanrav
Brainy Smurf


Registered: 05/08/04
Posts: 11,483
Loc:
Last seen: 11 years, 26 days
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16920042 - 09/27/12 11:20 AM (11 years, 4 months ago) |
|
|
Intraday lows have stayed above 4900 in the DJT, a good sign I think and a higher low today so far.
I found out today my scottrade account wont let me do spreads! I guess I have to open an account with OptionsFirst (sister site for scottrade) to do write and puts or calls (other then covered calls). Of course I found that out after I bought the first half of the bull call debit spread on AMZN. Could only afford the 250 calls, was going to sell a 260, for a debit of 4 dollars. However the call is already up over 10% from when I bought it. XME calls are up too, WFC calls are flat and MNST is around flat, but printing lower lows so I'm holding it for now.
I havnt seen anything mentioning being carful about a Free Ride in my account for a bit, when you open a margin account does that worry go away? Just thinking about the fact that I bought that call today and if I sell it today, I cant use the profits to buy and sell another stock or whatever tomorrow? Or maybe with a margin account I can?
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: scatmanrav]
#16920152 - 09/27/12 11:39 AM (11 years, 4 months ago) |
|
|
By "Free Ride" I assume you are speaking of the Pattern Day Trading regulations, that will lock your account to closing transactions only for 30 days, if you make more than 3 day trades (aka round trips, a buy and a sell of the same security in the same day) in any 5 day rolling time period. I believe that the only way to get around this is to maintain a minimum equity of $25,000 in your account. If you surpassed that amount, that would explain why you are not receiving the notices any longer. I do not think margin equity would qualify you to avoid the rule.
PS. ESRX looks to be breaking out of a volatility squeeze.
PPS. Even though the transports are up a little bit today, the fact that they have been crawling and stalling here at the low end of the range for a week is concerning, as most of the previous visits to this level have resulted in fast "V" shaped bounces.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
Edited by geokills (09/27/12 11:45 AM)
|
scatmanrav
Brainy Smurf


Registered: 05/08/04
Posts: 11,483
Loc:
Last seen: 11 years, 26 days
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16920218 - 09/27/12 11:50 AM (11 years, 4 months ago) |
|
|
I think it was "regulation T" and basically if I bought stock ABC today and sold it the same day there was a 3 day hold on the funds. I could buy stock XYZ today, or in the next three days but if I sold it before the 3 days when the funds "cleared" it was a violation of regulation T or something. It would warn me this could happen when I bought a stock with funds that werent settled yet (hadnt been 3 days since I sold it) that I couldnt sell it until those 3 days were up.
ESRX- doesnt have very high volume today on the breakout, although it did have a high volume green day last week. Ill be watching it
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: scatmanrav]
#16920271 - 09/27/12 11:58 AM (11 years, 4 months ago) |
|
|
Ah yea, I got ya. I do believe the margin account will help you avoid the fund settlement issue. 'Cause I haven't run into that for years, right about the time I upgraded my account privileges! In fact, I had to specially request a margin approval for my Roth IRA, since those accounts can't trade on margin, but TDAmeritrade does something similar to the account permissions to avoid the fund settlement delays.
On ESRX, the volume is running higher than average, but yeah it's not blow out or anything. The stock has also had a very nice run this year and is fairly valued, so further upside may be limited. Nevertheless, I'm taking a small placeholder position with a couple of $65 calls just in case.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
scatmanrav
Brainy Smurf


Registered: 05/08/04
Posts: 11,483
Loc:
Last seen: 11 years, 26 days
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16920297 - 09/27/12 12:05 PM (11 years, 4 months ago) |
|
|
Yep I guess thats it, it does warn against 3 day trades though.
What are these (AJ1) calls I see? Is that a weekly or something? The AJ1 are expensive as hell and mixed in with the regular ones.
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: scatmanrav]
#16920413 - 09/27/12 12:41 PM (11 years, 4 months ago) |
|
|
The non-standard calls you are referencing involve $2880.0 cash in lieu of 81 shares of ESRX. Not sure why they have those special terms specifically, but generally non-standard options are created as a result of a specific event such as a merger, acquisition, spin-off, extraordinary dividend or stock split. In a nutshell, avoid non-standards whenever you can. Sometimes you can't avoid it, such as seeing your regular options turn into non-standard options if you were holding prior to one of the aforementioned events.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
ben_dover0802
shroom addict



Registered: 09/21/08
Posts: 648
Last seen: 7 years, 8 months
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16922435 - 09/27/12 06:10 PM (11 years, 4 months ago) |
|
|
Made back a majority of losses from the past week, mainly from the past 2 days today. I made 2 moves, bought to cover my MNST short (curious if you did as well Scatmanrav?) as well as get long via common stock on AAPL.
Also, I am using a margin account so I don't have to wait for my funds to clear every time either, it makes trading a lot easier if you are an active trader.
EDIT - Currently involved in (all long) :
LCC (United Airways) ATRS (Antares Pharma) AAPL (Apple) S (Sprint) SINA (Sina) MHR (Magnum Hunter Resources) TEX (Terex)
I am fine going into tomorrow with long positions in each, most are in pretty good buying/adding points imo actually. My positions are pretty evenly spread, but largest is in Sprint (S)
Edited by ben_dover0802 (09/27/12 06:21 PM)
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: ben_dover0802]
#16925504 - 09/28/12 08:05 AM (11 years, 4 months ago) |
|
|
Buying some $65 Oct calls on ESRX for $0.50, small risk for a potential volatility expansion to the upside.
Shorting TJX via April 2013 $40 puts, starter position. Leaving plenty of room to add if TJX gets back up to test $45-$46.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
scatmanrav
Brainy Smurf


Registered: 05/08/04
Posts: 11,483
Loc:
Last seen: 11 years, 26 days
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16935638 - 09/30/12 12:25 AM (11 years, 3 months ago) |
|
|
I did not cover my MNST, the trade still looks good to me, its just moving over to the 20 DMA a bit. It was up over 1% but only on very small volume. I think most of the people buying yesterday, and at all these days, were like you, covering their shorts. Things could look different on Monday. I'm still long calls XME, WFC and AMZN, on paper they dont look so good,not the best timing, but the stocks still look safe, also could look different on Monday.
I signed up for an Options First account at Scottrade but their fees are too high. TDAmeritrades are too, though the platform looks very nice. I'm looking at moving my money to either Options House or optionsMONSTER right now I think. Low fees and decent ratings around. Plus you can trade regular stocks in the same account and for lower commissions.
Funny Dan mentioned the whole go on margin in one of the videos so you can trade without that waiting, I used to have to keep a lot of cash in there just to cover and now I dont. But he wouldve told me about it anyway lol. I wonder if he read us talking about it here? 
You can close out short puts/calls early if it started to move against you toward the 40 dollar mark, effectively passing on the obligation to someone else right? Or if it moved up enough for you too I would assume.
Edited by scatmanrav (09/30/12 12:33 AM)
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: scatmanrav]
#16937445 - 09/30/12 11:21 AM (11 years, 3 months ago) |
|
|
Yeah you can always close out a position. If you "sold to open" a short put/call position, you would "buy to close" it. Should be an interesting week, although I'm a little tired from the whipsaws last week, that type of up and down action always erodes my confidence in the market.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16943315 - 10/01/12 08:23 AM (11 years, 3 months ago) |
|
|
Some favorable news this morning. I was literally, one penny away (0.0015%) from getting stopped out on my short AAPL $660 puts this morning (stop set below friday's low). 
Glad that didn't happen, as the stock is having a nice bounce now. I also took some weekly $41.50 calls on JPM, prior to the 7am positive data on US manufacturing after positive news out of Europe overnight. Hangin' in there by the skin of our teeth... if only that DJ Transportation index could roll itself out of bed. It is up 0.8% as I write this, and held above Friday's low, but it's still grinding around on the lower end of its sideways channel, and it's not going to stay there forever. 20 and 50 day moving averages are starting to trend down, and until DJT closes above 5000, I will be maintaining very tight stops on my long positions. Cautiously bullish for the short term, but on a move back below 1440 on the S&P, I will be heading for the exits.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
ohmatic
searcher



Registered: 02/28/04
Posts: 6,742
Loc: europe
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16943455 - 10/01/12 09:11 AM (11 years, 3 months ago) |
|
|
i am wondering, where are you peeps getting your news from ?
--------------------
MONOTUB tek HEATBOMB tek RIP #cultivation! ....can't associate? well FUCK U !
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: ohmatic]
#16943783 - 10/01/12 10:08 AM (11 years, 3 months ago) |
|
|
I almost always read through the headline articles on CNBC.com when I wake up, after the market close, and again at night before bed. Doing this will always have me prepared for key economic reports or events that will take place in the coming days. You can also type "economic calendar" into google and get results like: this, which will keep you appraised of market moving events. Subscription services like StockMarketMentor.com also provide a heads up in the nightly/weekend strategy sessions, and if there's something unusual going on intraday that I can't find news on, I'll log onto the SMM forum to see if there's any chatter about it, since there are a few people partaking in the forum that run major trading desks and will provide information that can be hard to come by elsewhere.
If I'm actively trading and I see a sudden spike in volume across the broad market, there's an embedded CNBC video window in my thinkorswim platform that I'll briefly turn on to see if there is any news breaking that may be causing the spike in volume. Generally though, I like to do most of my research before and after market hours to set my bias. Then once the market is open, I let the price action dictate most of my real time trading decisions.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16944193 - 10/01/12 11:16 AM (11 years, 3 months ago) |
|
|
Sheesh, nothin' to like about this market. I unwound my $660/650 AAPL bull put spread for a sizable loss, although I did make up a little bit by letting the long $650 put run and even purchasing some weekly puts for a quick flip. The stock totally round tripped a nice move higher today and failed to eclipse friday's intraday high, and the aggregate market itself has now completed a round trip from its opening print as well. This is not a healthy sign, and short term my bias is to the downside, with a high probability we retest the 1430 low of last week on the S&P, and frankly I would be surprised if we don't test the S&P's 50 day at around 1415 - 1420.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
Absolute

Registered: 06/30/12
Posts: 488
Loc: Amish Paradise
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16944317 - 10/01/12 11:36 AM (11 years, 3 months ago) |
|
|
What are some good beginner option books?
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: Absolute]
#16944350 - 10/01/12 11:41 AM (11 years, 3 months ago) |
|
|
I've never read any books on options, but I did run through the online courses here: http://www.cboe.com/learnCenter/OptionsInstitute1.aspx
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
Absolute

Registered: 06/30/12
Posts: 488
Loc: Amish Paradise
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16948314 - 10/01/12 08:34 PM (11 years, 3 months ago) |
|
|
Thanks for the link. I signed up. I took the 7.77 trail month at OMM but it is over my head. I am also working on SMM which doesn't leave enough time to do OMM. That website will help. I can practice with some basic stuff.
I read about DITM calls to replace Long stock. Does DITM puts replace short stock? This is what I would like to do for a while it doesn't look overly complicated.
This would require tier two account at Ameritrade, correct?
Tier 1 – Covered Write covered calls; write cash–secured puts
Tier 2 – Standard Cash Purchase options Write covered calls Write cash–secured puts
Thanks
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: Absolute]
#16950668 - 10/02/12 08:33 AM (11 years, 3 months ago) |
|
|
Yes, deep in the money calls are akin to owning a chunk of long stock. Deep in the money puts are akin to shorting a chunk of stock. You are correct that you would need account permissions to purchase options to implement these strategies.
Taking a little day trade long on AAPL, shorting some common stock on TJX with a stop above today's high. Market still appears confused. Will close out the majority of my AAPL trade before the market closes.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
geokills
∙∙∙∙☼ º¿° ☼∙∙∙∙


Registered: 05/08/01
Posts: 23,417
Loc: city of angels
Last seen: 3 hours, 40 minutes
|
Re: STOCKS - An Intro Tutorial & Ongoing Discussion [Re: geokills]
#16951028 - 10/02/12 10:17 AM (11 years, 3 months ago) |
|
|
Adding to TJX common stock short on a break below $45. AAPL holding yesterday's low, barely, no longer trading it though I am long via January 2013 $655 calls and some $640/630 spreads. I do have an offer out for a $625/610 October bull put credit spread on AAPL if the credit reaches $3. But there's lots of "topping tails" or "gap and crap" candlesticks forming this morning, so generally, I am maintaining minimal exposure.
--------------------
-------------------- ┼ ··∙ long live the shroomery ∙·· ┼ ...╬π╥ ╥π╬...
|
|