Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Excellent trade, Bob. Congratulations.
Smooch!
You could sell half here, then rebuy after we do the inevitable bounce before more down.
I've just picked up some OEX calls (February 580's: OEBBP) for a scalp.
Smooch!
Took my Put profits at 9720 for a Very Nice gain. I am not going to buy any Calls though, just watch.
Good Luck Poet! :^)
Hi Poet, I am still holding my Puts from the other day. I should have averaged down this morning but did not. The Plan from the MKTSS board was right on target again. The Calls from yesterdays LOD would have been sold into the morning rally and the Puts purchased. The Puts are up over 30% from this morning now. The Dow is once again mirroring the FTSI also. The FTSI moved down the entire day so it will be interesting to see if the Dow does the same. I am tempted to take the profits on my Puts but Mr. Greed wants More <GG>.
Good Luck Poet! :^)
Oh my goodness! I left to do errands and come back to see a melt-down!
Did you buy DJX puts?
Smooch!
Exhibitionist? Me? <GG>
If you want to see some sexist stuff then just go into TGL Live after the markets are closed. I went in there one time and it was almost X Rated LOL!
Sorry for the late reply Fred.
I was over on the MKTSS board trying to keep up with the DJX Options. I took the swinging bag off of my messages because it was making me dizzy <GG>. I have to look back at a lot of my posts to relate option prices, market targets, and remember what I said so I was seeing that swinging bag All of the time. I was just getting tired of it <GG>. I am glad that you liked it. You can right click on it, copy the properties and put them on your posts if you like. Just go to your profile and at the very bottom put it in with the [ chart][ /chart] function. It will then become the signature to all of your posts, if you like it.
I think that it is a good idea to bring your daughter into your trading life. I have been trying to teach my girlfriends kids about the markets and they are 'Like Totally Bored' <GG>. They are in their 20s and not interested in the Future. They would rather just spend what they make and not think about what will come the next day. I think that her daughter is beginning to get a clue as she opened up a 401K account on my suggestion. She is now excited about how the money in it keeps going Up, not like her checking account <GG>.
It will indeed be hard to say how your daughter will react to the Stress that she might experience. Especially if she has not been in that type of situation before. I say "The younger the better" to learn about the markets and how they work. You will just have to keep an eye on her reactions and give her some guidance on how to handle the mental part of the game. If she is interested in continueing to trade after a few Mistakes then I think that she will be alright. I do not think that using Your money will be a problem for her. My girlfriends kids think that money grows on trees for the most part. If you Give them the money, or a gift, then it has no Real value to them as they were not the ones to Work for it. Perhaps you had better go over some Risk and Loss limits with your daughter first <GG>. No one really ever explained to me, when I started out, about limiting my risks or losses. I was Young, Dumb and full of Cxx! I put Everything at risk. It ended up costing me my life savings a couple of times and kept me out of the markets for a while. I keep telling myself that "I have learned" but there are a lot of days were I am Positive that I have not learned Anything <GG>. I am sure that with your guidance your daughter will become a very successful and intelligent investor. Like You of course!
Good Luck Fred! And Daughter! Sincerely, Bob :^)
Aw, Bobby, what'd'ja hafta go 'n take it down fer? I mean, c'mon! Anyone who'd post messages on a public board must be a bit of an exhibitionist at heart. Ain't I?
With regard to the male/female issue, I wouldn't want to carry the analogy too far. There is little doubt that women's views differ from ours (I mean, lookit the poet, smoochin' all the boys ... right here ... on the same board ... in front of every body. At least, I, being a humble male, try to limit my affairs to one-per-board. Please don't ask what I'll do if several show up on any one of the boards, though.)
With regard to charming daughter, she is (in my modest, parental opinion) a very bright chick. On top of that, she is so much quicker than I that she leaves me breathless.
But there is one severe drawback to what I'm doing. I'm very worried that she'll find the responsibility excessive. It's one thing to take a loss with your own money ... it's something entirely different to suffer a loss with someone else's ... and my guess is that it is even more severe if the someone is your father. She assures me that it won't be a problem, but it's the one thing I'll sweat until she has enough wins under her belt to make a few losses sustainable.
I know what you are talking about in that March 2000 period. I started to run scared in December '99, and by February had cashed in my biggest winners. One of them doubled in the month after I sold it ... and I felt foolish ... then it dropped to 40% of my selling price in the following month ... and I felt pretty good.
It's a tough business, and I hope charming daughter can take the strain. Based on what little I know of her, I think she's going to enjoy it ... I just have to be sure I'm not kidding myself.
Fred
Morning Poet, Yes, trying to determine why a bad trade was made can often lead to nothing more than an emotional reason. My bad trade last week was buying some Puts and holding them over the weekend thinking "I know the market will tank eventually". Now I know that it was just my emotions taking over the trade rather than following the market reactions and movement. Being able to learn from your mistakes will make you a better trader. One of these days I may learn something from mine that I will remember <GG>.
Good Luck Poet! :^)
Mornin' Bob,
I've been following the gender difference discussion with interest. I'm embarrassed to admit that I get caught up in the greed thing pretty regularly, though the "I'm right and the market's wrong!" mistake is not something I do.
I think I'm going to do an autopsy on a bad options trade I made last week. It may end up being helpful to others. I've certainly learned from it.
Smooch!
Morning Fred, EGO and Emotions play a big part in being able to trade effectively. I have heard that men are more likely to hold a position with the "I know I am right" attitude whereas women will not be so bull headed. I think that most women are also less likely to take an uncertain risk whereas most men are Gamblers, like me <GG>. Being a Gambler is not a Good thing when investing. Being Safe and Cautious is a better mindset to have.
I think that bringing your daughter in to help you with your investing is a good idea, especially if she has a different personality than yourself. Having two Different views to a situation or trade will give you a better perspective as to whether or not the trade will work and be Safe. I have tried to get my girlfriend to participate as she is Extremely thrifty and cautious but she will have no part of it. I know that she could be a better trader than myself since in March of 2000 she said to me "Just Sell". Of course I held my positions too long and ended up losing a lot of profits that I could have locked in. The Greed mentality had a hold on me, not her <GG>.
Looks like the water is flowing uphill again today.
Take Care Fred! Sincerely, 'Chicken Chokin' Bob :^) <GG>
Hi BoP,
It's beautifully done, he's quite talented.
I'm going to show the link to my daughter's boyfriend, currently in art school and a great fan of fantasy art.
Thanks so much for the information.
Smooch!
It's a painting by Ed Beard. Titled "Ancient Dragon Scholar".
Ed is a reknowned Fantasy Artist and acquaintence of mine. Some friends got together a couple years back and got me an introduction and that print as a Birthday present. He is selling them online now, you can check it out at http://www.destiniproductionsinc.com/dragons/drg0006.html
I don't get any commission or other compensation for sharing the link.
The Bird of Prey
Good morning,
On the subject of pharmas, Merck announced its intention to spin off its Merck-Medco pharmacy benefit unit, which provides 54% of Merck's revenue. They're doing this in order to boost Merck's stock price, as big pharmas have been floundering over the last year. The Medco IPO is due to be out this summer.
I think this will give Merck's price a jolt and may help boost other big pharmas (like PFE) via the halo effect) as well.
So you've missed nothing.
Smooch!
Someone suggested I follow Pfizer, last year, and I never got around to it. Had my head too far into the techs. Ahhh, well. time wounds all heels.
Fred
BoP,
It's nice to see you.
What's that fantastic dragonlike thing as your signature?
Smooch!
>>It's not the kind of thing where you can retire off the premiums
Maybe, maybe not.
If all you got was a 2% premium each month and spent it instend of reinvesting the income you'd have a 24% annual return. Beats the heck out out of CD's! Even at 1%/Month you'd sttil be ahead of the historical market average.
Anyway, keep up the good work!
The Bird of Prey
I'm building a position in Pfizer, which is, IMO, the best pharma out there. I'm reinvesting the dividends. GE doesn't have divvies, does it?
Smooch!
re: chickens. Years ago, they couldn't give the backs and necks away ... put 'em in dog food. Now, look where we are! And all because some industrious housewife grabbed a fresh whole chicken by the neck ... and said, "Hmmmm"
Me, I gotta go. Talk to you, later.
Fred
re: "And isn't that wonderful that her father is taking such an interest in her financial future!"
Girl! Do you have that wrong!
I'm bringing Linda in because I have an interest in MY financial future!!!!
re: "What stocks are you thinking of ..."
I haven't haven't actually decided. For one thing, I want to give her as much rein as possible. In describing the method to her, I used General Electric. It's not the kind of thing where you can retire off the premiums, but, on the other hand, it will be a while before anyone figures out their methods of cooking the books (he smiled, cynically.)
Fred
LOL. You make me smile.
I've been assembling a few homemade chicken pot pies, sorry for the delay.
Smooch!
Yes, I see your point, particularly with regard to stocks that have relatively low volatility. Belive me, I think buying a stock and writing calls on it is preferable to simply buying a stock and letting it ride, though sometimes one must be fleet-of foot when writing covered calls.
What stocks are you thinking of for your daughter, BTW? And isn't that wonderful that her father is taking such an interest in her financial future! She's a lucky girl.
Smooch!
And???
(Did something change your mind?)
Oh!
Incidentally ...
It doesn't.
Fred
CAN YOU BELIEVE THAT?????
How about a few winks and nods while you do your buy-writes?
I passed up an opportunity ... Will wonders never cease?
That just goes to show how much your winks and nods get to me.
Fred
Poetess, re: "I'm going to buy this stock at X price although I think it'll be lower soon.", I'm not sure you are right.
It seems to me that, at the instant that you buy (or sell) a stock, there are three possibilities ... it will go up, or it will stay the same, or it will go down. If it goes up, you locked in a (small) portion of the move BEFORE it happens; if it stays the same, you've made out like a not-very-enterprising bandit; if it goes down, you have reduced your cost AND you can do it all over again. While I wouldn't argue that buy-writes cover two of the three eventualities (since a buy-write on ENE (Enron) last year would have made you unhappy), it is a bit safer than LTBH (long-term buy and hold).
One other thing on the topic. I think, at least to start, I'd try to work with the more stable stocks. It's true they don't have the volatility that would increase the reward ... matter of fact, that's why I'd start Linda there.
Fred
your money-bags reminds me of what used to be called "chokin' your chicken
Hmmm, and all this time I thought that phrase referred to the activity thought to lead to hairy palms.
Smooch!
Hi there,
How about a few winks and nods while you do your buy-writes? -gg
I've never been a big fan of buy-writes because you're essentially saying "I'm going to buy this stock at X price although I think it'll be lower soon." The covered call write, if ATM, presumes the stock will be lower at expiry or you don't mind it being called.
Am I missing something? I'd love to learn if you've got a strategy that works.
BTW, I'm a huge fan of covered calls. I also love calendar spreads and am planning to initiate a few if the market tanks later this spring. Essentially, you buy a LEAP call and write monthly calls on it, reducing the cost basis of your LEAP significantly over the course of the year.
Smooch!
Hi, Bob, re: " Yes, it is really too early to be decided on which direction the market will indeed take. I should be going with the flow rather than trying to predict it Eh?", I, for one, completely agree with you. The problem I have with it is that every time I make a buy (or sell) decision, I feel like I'm predicting ... and, as long as I'm going to do it, I keep trying to do it earlier ... and earlier ... and earlier.
I also like your comment that "... women make better traders because they are more level headed, taking less risks and having better money management." I don't know it to be a fact, but I suspect you are right. I always hired women to do what was considered, at the time, to be male-only job ... truck dispatching. I found them to be much more effective. I tried to understand it, but the best I could come up with was that women were much less inclined than men to let their ego's interfere with their jobs. I see no reason that wouldn't be true in investing, as well. As a matter of fact, it is probably one of the underpinnings of my decision to bring my daughter in to work with me.
You know, your money-bags reminds me of what used to be called "chokin' your chicken".
Fred
Yes, New Jersey does have some beautiful places ... when you get "away from the madding crowd".
Our long-friendly market sure has a problem with looking south, doesn't it. Personally, I'd feel much more comfortable if we'd do some healthy consolidation.
On the topic of options: As soon as "charming daughter" gets settled in ... i.e. fingers on keyboard ... I suspect one of the first things I'm going to have her consider is doing some Buy-Writes. It's a pretty stodgy strategy, but I'd just as soon have my thrills be little winks and nods from you.
Fred
ROFL!
LOL. Very funny. You're in New Jersey, eh? There are some great spots there. Like Ct., the prettiest parts of NJ are far from the highways.
Smooch!
I'm fine, Poet, although it's afternoon, now. Sorry 'bout that. Been out, and leaving again in a minute or two.
No ... I'm not trading, just waiting patiently for some of my earlier decisions to bear their worm-laden fruit.
I'm outta heah ... but I'll be back.
Oh, say! Poet! I left a parenthetical comment for you on the GMGC board. Nothing earthshaking, but I'd hate to have you miss any of my deathless prose.
Fred
Nice call on the QCOM puts! Wow, thanks!
Hi Poet, I just wish my moneybag was that full right now <GG>.
I have heard that women make better traders because they are more level headed, taking less risks and having better money management. You can be the steady Rock of the board and I will be like the Water, flowing in whichever direction the market takes. Unlike the Rock, the Water can quickly evaporate <GG>. Yes, it is really too early to be decided on which direction the market will indeed take. I should be going with the flow rather than trying to predict it Eh?
Good Luck Poet! :^)
I'm nervous about buying puts right now, though boy do I agree with your view about general market direction. I'm hoping for an up day today and tomorrow with low volatility (which depresses options premiums), which I think might be a great set-up for some March puts.
It's not so bad being one of the only female traders on these threads. I get all sorts of nice comments.
I really like your moneybag, BTW!
Smooch!
Retested 9900 and failed. Lost support at 9880 and 9870 so retesting 9860 for support. 9870 and 9880 should now become resistance. Tried to low ball some 97 Puts at .90 but no fill. They were only down to $1. Interesting that when the markets were around 9800 the bid and ask tightened to .95 x 1.00. Me thinks the markets are Failing, maybe.
I like Fred's poem <GG>.
Good Luck to All! :^)
Wooo! That made my morning and possibly my week!
How are you this fine morning, Fred? Are you trading? I'm trying not to.
Smooch!
Ahhh, Poet
You are such a tease
Dreams of your promise
Weaken my knees
Words spring to mind
But they're all blue
The result, I suppose
Of the smooch from you
It's really not nice
To light my fire
Then leave me dangling
Out on this wire
Must I forever
Dream on and on
Because of your cute
emoticon
Fred
Some things to consider for this week (snippets from the Hahn's Corner site):
On this week's calendar:
President Bush delivers the State of the Union adress on Tuesday night.
The advance GDP for Q4 of '01 is released on Wednesday morning, January 30. The FOMC announces their decision on interest rate and bias on the same day at 2:15 PM EST.
On gold:
Gold stocks moved higher again after a brief pause on the international tension in the Mideast and South Asia. A breakout above recent highs would be extremely bullish. The 14% annualized growth in the money supply M3 continues unabated, suggesting inflation on the horizon. The Yen per Gold oz. chart is supportive of a bullish move in gold stocks, if the strong dollar gives up some of its gains relative to other currencies.
On the volatility indices:
The $VIX chart shows a big drop to recent lows. Volatility is too low, considering the bearish technical situation of the markets. This complacency adds to the bearish outlook, from the contrarian perspective. Volatility closed 0.84 lower at 21.93.
Volatility fell towards recent lows as the QQQs fell slightly. Volatility is shockingly low considering the breakdown in the QQQs. This complacency is bearish in a contrarian sense.
Smooch!
Wow! That was a Great Kiss <GG>.
Hi Poet, do not forget that Tuesday night the President will be speaking, if I am not mistaken that is. I believe that the last time the President gave a speech the next day the markets rallied, I think. I cannot remember what the markets did after the next day, rallied more I think.
It will be interesting whether or not the Fed lowers rates again. If they do then that could Really put a spark in the markets. On thing to keep in mind though with the markets is "The higher they climb, the harder they fall".
I give the January Affect another week, maybe.
Have a Great Evening Poet! :^)
I've been doing my Sunday reading to try and get a bead on what to expect next week. There's a great deal of numbers due to be announced, as well as the Fed meeting. We're also still in the thick of earnings season. But what strikes me the most is that the volatility indices are extremely low, which historically means we're due for a significant market slide.
There's a COMPX WAG going on here, which will be fun to see. All entries for tomorrow close soon tonight, so get your bets in:
http://www.investorshub.com/boards/board.asp?board_id=942
Still, despite all the bearish indications, I'm thinking that the downward plunge won't come in earnest until Wednesday, which is why my WAG guess is positive for tomorrow.
Smooch!
PSFT to make 'Major' announcement on Monday about new service pact. I will be watching for another Top to buy back my Puts on it. I agree with the analysis that Bird of Prey posted on the downside potential of the stock. There could be another upspike here from the low though, don't ya know. :^)
Extremely Sad Poet! I wonder if his insight into what the company was doing wrong is what had led to his resignation in May? I just hope that it does not come out later that he was the victim of foul play involving a cover up. I would hope that anyone in that situation, where they are contemplating taking their own life, will have the courage to seek some help and support first. Very depressing that there are situations that people believe they cannot live through. I have seen some depressing and disheartening events but thankfully Nothing that I felt I could not put behind me and carry on from. I hope that his family has the strength to make it through their sorrow. Take Care Poet!
Isn't that sad story? Really heartbreaking. And he had resigned last May. I posted a news piece in the last post I made.
Former Enron Executive Found Dead in Apparent Suicide
Friday January 25, 12:17 pm Eastern Time
HOUSTON (AP) -- A former Enron Corp. (NYSE:ENE - news) executive who resigned from the company last May was found shot to death in a car Friday, an apparent suicide, authorities said.
Police in the suburb, Sugarland, confirmed the death of 43-year-old J. Clifford Baxter, a former Enron vice chairman. He was shot in the head.
``We are deeply saddened by the tragic loss of our friend and colleague, Cliff Baxter. Our thoughts and prayers go out to his family and friends,'' the company said in a statement.
Spokesman Mark Palmer had no additional comment.
Baxter was vice chairman of Enron when he resigned in May 2001, several months before the energy company's collapse.
At the time his resignation was announced, then-President Jeff Skilling said Baxter had made ``a tremendous contribution to Enron's evolution, particularly as a member of the team that built Enrons wholesale business.''
It said his primary reason for resigning is to spend more time with his family.
He had joined Enron in 1991 and was chairman and CEO of Enron North America prior to being named chief strategy officer for Enron Corp. in June 2000 and vice chairman in October 2000, the company said.
OMG! Former Enron executive killed himself! I hope that money, and or humiliation, never becomes more important than my life. I think that I would rather be homeless than ever think of killing myself. I fell sorry for his family and friends.
LOL! I like the response from the link here <GG>. :^)
Thanks Bird of Prey! Looks like I may have sold my Puts too early Eh? I appreciate your reply. Ugly chart isn't it <GG>.
Good Luck Bird of Prey! :^)
I'm sorry, I've been immunized against girl cooties for some time now. I'm Married! :>)
The Bird of Prey
OK. Let's see if this works.
EDIT: YAY! Thanks so much! I just love that female kissy. I'm gonna give cooties to all you guys here on the OBOX.
That's really sweet. And believe me, after completely misjudging the market action today, I can use any kind words I can get!
I'm reacquainting myself with the vacuum cleaner this morning. At least I won't lose money doing that.
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |