CF Trade

On January 26th I decided to make a trade in CF. I had gotten a signal on my buy chart (8 chart) so I placed an order for 3 PUT, Feb 180 contracts. I bought @ $8.30 even though I had wanted a closer spread between my ASK and PUT (spread was 20¢). I generally don’t like anything above a 10¢ spread. It is just a lot to make up. I want my position to move PDQ!

There was no signal on my Daily chart for a PUT. In fact the trend on the Daily was up…way up. But I could see CF would fall and fall all day and when it moves in the option it moves very well. I bought off the candle forming at 10:05 and sold off the candle forming at 3:25 on an 8 chart. Look at open on 55 chart on 1/26 there's a shooting star (a signal) then a gravestone DOJI on 55 chart @ 3:55 a signal to GET OUT!

Lately I have been using a 55 chart to determine my trends/trades. This seems to be working better for me than the Daily, although I still use the Daily for trends. I also haven’t been buying out in time. I have been trading very close to the month we are in except the week of expiration.

I continue to listen to CNBC but it seems that lately they are talking more politics and Facebook.

Thank goodness for my Briefing.com and RTT. Love you RTT!!!!

Anyway I sold out of my trade at 3:49 with a profit of $1,050.00 or 41.9%

BTW I only trade at the most twice a week and lately once a week..well since October 2011.

Darcy - thanks for sharing!

I typical only trade off the daily chart because I can't watch the market closely during the day. On the daily chart, CF has been on a 6-week upward rise! Your trade is the perfect sniper trade on the 55/8 minute charts. Looking at the trade was great for me, since I usually don't look at smaller-interval charts.

I agree about the option spreads. I hate when they are more than 10 cents. Sometimes, I have seen lightly traded stocks with 30-40 cent spreads...which caused me to skip those potential trades because I can't stomach being down that much right away!

Thank you. I loved to use the Daily for a trend and then I look at my weekly to estimate how long I should be in. But to me it seems that the Daily isn't working well right now. The market has been so volatile that I have been using smaller charts, faster money and a day is as long as I hold.

I had been trading MA catching the PUTS. Take a peek at that 55 chart for MA. I smiled all the way to the bank. I got in on 1/03 at 10:22 got out 1/04 on the white candle @ 10:23. I then got in on 1/6 at 9:45 and got out on 1/6 @ 3:46. (I keep a record of my trades including the time)

I like to look at the stocks that hit a double top on the Daily because they seem to hit it and then pull back for at least a day sometimes longer. I also like trading Gaps and 52 week highs or lows. I don’t know but this seems to have been a very tired market and it needs an infusion! It was a sniper trade BTW.

Don’t get me wrong…I lose too but I take my losses fast and keep them to $50 - $100. Most of the time I hit closer to $50 because I try to keep my spread low.

I agree the Daily hasn't been working very well lately...I have found myself not trading much because of that.

Excellent trades going down with MA...the stock really got hammered a couple of days in early January.