"A man is not finished when he is defeated. He is finished when he quits."

Tuesday, April 2, 2013

Gone awry

UPDATE:  In the last 20 minutes of the day, I felt as though I had enough chart data and the move down was strong enough in TNA that I looked for a trade opportunity.  TNA seemed to bottom and I entered near the bottom of the 3:45 candle; 500 shares long for a quick $50 gain.  I left some on the table with a hasty exit but I did not want to be caught long overnight.

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Well, came to the computer this morning and found that Direxion had repriced TNA & TZA through splitting/reverse splitting.  Of course, this screwed my charts up royally and left me searching in vain for stocks that meet my criteria; high ADR, highly liquid, small spread.
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What I suddenly realized is that I am not following the cardinal rule of diversification.  I have my potential tied to basically one ETF family.  I have long considered switching to a trading platform that offers a Real-Time scrolling HOD/LOD scanner.  However, they are costly in comparison to what I pay now; nothing.
Hours of stock scans per day looking for setups is not necessary with the type of trading I wish to perform.  So, it may be necessary to subscribe to an advanced trading platform sometime in the near future.
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In a few days I'll have enough chart data to work with TNA and TZA again.  In the meantime, I intend to search for other options.  During a phone conversation with the folks at TDA/Think Or Swim a couple weeks ago, they mentioned that the TOS platform allows one to set up a New Highs/New Lows real-time scrolling list by clicking on their tab.  That's where I'm going now to do some research.  If it meets my needs, the cost would be zero considering both Mrs. BCT and I both have retirement accounts there.  That would be a pleasant find indeed.

Monday, April 1, 2013

First Trade in My Live Trading Account in 3 years

After dumping more than $3,000 in a stupid trade over three years ago, I haven't worked in my primary trading account since.  I didn't know what I was doing and so cocky that I didn't know that I didn't know what I was doing.  I defunded the account shortly afterward, leaving just enough money to allow IB to keep my Practice Account functioning.
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After 3+ years of practice trading including two years full time, and after two months of long-only live trading in a retirement account, I once again fully funded my trading account last Friday and made my first live trade today.  Long 1000 shares of  TNA at $85.06 then exit at $85.90; gain of $829.
(I have been trading live in a retirement account over the past 60 days but it is not a long/short account given it has no margin.  So in my eyes, my live trading began today)
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I will mostly work with less size than 1000 shares but the aggressive move down in TNA today gave me more confidence to go long full strength from the bottoming area where I entered.  Nice bounces come from large drops.

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Added another $50 for my second and final trade in TNA.  Long 250 shares at $85.04 and exit $85.25.  Wow, missed a lot of potential $ by exiting far too soon.  The move ended at $85.83, allowing me the potential of 79 cents had I hung in there.
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Total Daily Gain $880.

Wednesday, March 27, 2013

Out too soon...

I'm finished up $260 early in live trading today but had to stop after that.  Because the account is not set up with margin, I have to wait for the funds to settle before climbing back in the saddle.
My second trade of the day had a beautiful entry but exited far far too soon.  I literally took a small fraction of money available to me; entry long in TNA at 10:15 am at $86.24.  This trade peaked at $88.65.

I have a lot of work ahead of me to improve but I am happy for the $260; it's more than I started with.