Tuesday, July 25, 2017

A great option presentation for Free from Tastytrade

I would highly recommend anyone who trades options to watch this FREE presentation - 6 hours.

https://www.tastytrade.com/tt/shows/geeks-on-parade 

They have not yet launched their futures trading yet but it should be any day now.

Saturday, March 25, 2017

My recent trading

I have been trading for nearly 40 years.  I have traded everything I think under the sun.
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I have had periods of good success and lots of periods of not so good success.
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Most of the recent posting has been of futures trading. At best, I am a break even futures trader.  And at my worse times, I am losing about 5k a year.
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Not too long ago I started trading options again.  I decided to trade by selling premium. My previous option trading was either covered calls or trying to get into stock positions at better prices.
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I gave it try and had a good track record except for my P&L. I was mainly selling naked put options on earnings plays.  I had 34 wins and only 2 losses but those where two very big losses.  My net was -$578.44. The two losses were $2600 and $1500. The first I should should have gotten out a -$300 and then I had two break evens chances.  Neither I took. The second trade I could have covered my position in premarket by selling stock short for a loss of $600 but instead tried to recover my loss once the market opened. Bad idea.
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I felt I needed some training but did not want to pay a lot for it. This is when I came across Tastytrade.  Their training was free and tons of it.  I found out very quickly I did not know what i was doing and i was taking insane risks at times - aka I was very lucky.
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Since I learned a ton of stuff from them (and I am still in the process of learning),  I have made money.  Trading has become easy again for me like it was in the late 90's but on the other hand, it was easy for everyone back then.
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My trading record using the Tastytrade way of trading is 86-15-17 (closed trades) with a profit of $4,468. I have open trades (17) with a combined loss of $1600.  One open position is accounting for most of that at $1,200 (frustrating earnings trade - lol). Once you learn about option trading, you will find you will have a lot of open positions at losses because you are always taking your winners quickly.
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I am still doing a lot of mistakes but things seem to be working for me.
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I am also trying to figure out the best way to post what I do.  I think posting is a good way to make sure you keep track of yourself.   

Monday, March 20, 2017

Tastyworks-a new brokerage firm

Tom Sosnoff (the guy who built Think Or Swim so this is not a fly by night operation) has opened a new brokerage firm called Tastyworks.com.
 
The commissions are super cheap.
Stocks $5 to get in (unlimited shares) - zero to get out.
Options $1 per contract to get in - zero to get out.
Futures $2.50 per contract to get in - zero to get out

Assignment fees of $5.
No data fees.
no platform fees.
no minimum trading fees.

Stocks and options have been trade able since 1/3/2017 and the futures will launch in about a week.
I have been with them since mid January and could not be happier.
If any one has any questions - please ask.
They also have tons of free content and training at tastytrade.com and you do not need an account to access the training. They also broadcast live trading programming for 8 hours a day between 8 to 4 est and that is also free.

These guys are great.

Wednesday, March 15, 2017

I am not dead-went to a great presentation.

I would highly recommend watching this presentation about trading and taking risk.

https://www.tastytrade.com/tt/shows/tasty-extras/episodes/change-the-game-tom-sosnoff-03-06-2017?utm_campaign=archive&utm_medium=link&utm_source=social-share

I hope to figure out what to post here and start posting again.

Tuesday, June 28, 2016

little pink circles win again 6/28/2016

I should have made a butt load of money but instead I had my head up in it. I think of 50% pullbacks of the last swing as being a great place to enter. Very simple system.  Today, it had 11 chances by my count.  Two near misses, eight wins and one loss (last trade).  A win I consider is any trade that goes a point in your favor before going two points against you.  I only made one of these trades today.  Life got in the way on a few of them but I should have taken 4 or 5 more today. I have lost some of my nerve with all the craziness of the Brexit market swings.

Sunday, June 12, 2016

good openning ES range trade plus the method to my madness 6/10/2016

Friday was a great example of my trading method. The lines, arrows and circles, I place on the chart as the trading day goes on.
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My rules are simple:
1) wait for a trend change
2) buy or sell the ES after a pull back to either a chart point or 50% level or both
3) look for stoc to agree - above 50 a buy, below 50 a sell
4) risk 2 points or a break of the most current level
5) profit target one point - if trading multiple contracts take most off a one point and try to allow the rest to be a runner
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Many times I do not follow the rules to the letter based on market situations but I try.
Sometimes I will try for a runner even thou I am only trading one contract like today.
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At point 1 on the chart is the first good setup for a short. You can't see it on the chart but the market broke down at about 7:39 but the sideways action between 7:30 and 8:30 plus news at 8:30 did not give much of a good entry. On the break 2091 at 8:42, you could have sold the pullback to 2091 a few bars later but I was looking for a better setup.

At the open, the ES bounced back to 2019 and everything was in perfect alignment. I shorted are 2090.75 and as we began to break hard decided on a runner.  I took 9 ticks.
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At point 2, ES had broken down from 2089 and rallied back to that  point. A 50% retracement and stoc was still negative.
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At point 3, ES have broken above 2090 a trend change, then had a 50% retracement back 2090 and stoc has still above 50.
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At point 4 it gets a little messier. Was the break below 2091 a trend change or not?  I believe it to be so the pullback to 2091, again 50% and stoc still below 50 was a short trad entry.
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At point 5 it gets even messier. With the break below 2087 on a close of a candle, was the bounce plus sideways action around a trend break?  I would say no because of it being a down day.  You could have played it either way or both.
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Again in the action between 2:30 and 3:00 you could make a case for longs or shorts.  We had too much weakness and not enough of a bounce for me to think either way.  Now thinking about it after the market is closed, not enough of a bounce would signal a short in my mind seeing I did not mark it as the trading day was going on.
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At point 6, there is another long but that is really hard to take at the close on a Friday.
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Bottom line is my mind is keep your trading rules simple and wait for good setups based on them.

Sunday, May 22, 2016

Good opening ES range trade 5/20/2016

I love it when everything works out perfectly.
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Coming into the opening, the ES was near the top of a 4 point range. I was hoping for a pullback to the middle of the lower part of the range or about two points. When on the opening minute of trading, the ES goes in the opposite way of the current basis, trading against that direction is highly profitable. The stoc was bullish so the basis in my mind was bullish. The market had been going sideways after a good movement up. I wanted to enter around 2043 with the stop below 2042.  Usually I take most if not all of the trade off at one point but this looked like a good opportunity to try for the top of the range at 2046. Once the market paused at 2043, I entered at 2043.25 and trailed with a one point stop that got hit at 2046. In hindsight, I could have gotten more if I had just a tick or bigger stop, but I will take the 2 3/4 gain.
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Moments later the market gave two great entries to buy the pullbacks at 2046.75 and 2046.25. Both I failed at by trying to get filled at 2045.75 which was a 50% pullback.  Got to be just a hair more aggressive.