FFIV - RTT TREND

While chatting today on line here.... I was in a FFIV Sept. 110.00 Call. ((That is an advantage of duel computers a laptop and 4 screens.))

It was out of the Bolinger Bands this morning but all indications looked like I could ride the thing for maybe a $1 in my option. My cost was 2.08 for 15 contracts I sold at 9:52 AM @ 3.05 for a profit of 1456.98.

I generally do not buy the same month when I am in expiration Friday week but FFIV was moving so fast I figured I could get in and out with at least a buck. I put my option in a little higher than was being asked and sold a little lower than what was offered.


I will say this...........in the last 8 years this is the hardest market I have yet to see. Thank goodness for RTT!

Although FFIV was supposed to finish their trend on the 12th it was as if the trend didn't get going until the 12th. Today I decided just to grab hold and see what I could do. Weird!

I am learning how to recognize those little pops that are glaring me in the face as well. They can be very profitable. I have jumped on AAPL during practice and rode it up or down 5 or 6 bucks by just watching my charts, RTT and a few indicators.

Darcy, you are really good at this. I really want to be there one day. I appreciate you sharing your success. It helps motivate me to work harder to be good.

Hello everyone just thought I would share a trade I did this morning on TPX. Haven't really done a lot of these kind of trades but everything seemed to be lined up and decide to pull the trigger. The stock gapped up on news of buying out sealy mattress. Usually the acquirer goes down but this one spiked. It had been selling off since around the 14th. It was hitting the 50 on the 55. I watched it on the 5 min chart for a pullback. Stock was around 32.50 up $5.71 when I entered I bought the Oct 32 Put for 1.70. I entered around 10:30 but I then had to leave for an appt. and entered a gtc for only .30 and when I returned it had sold me out.(around 11:20) I checked, the high of the option for the day hit $2.90 but I am happy with the trade. Also when I entered checked the 55 min futures and they were turning at that moment as market was falling back a bit. I guess you would call it a sniper trade as it was going against the overall flow of market today. Thanks for everyone's help on here

Good work TCB!

TCB:

Good sniper trade. This is what I like to do with news plays. When a stock gaps up $5 or more on news start looking for those ups or downs.

If you go back and look at every chart on 9/27 for TPX they all were showing SNIPER TRADE HERE!!! You can look at the daily chart and see that even with the news it couldn't maintain the pop above the 20 or 50 moving average. That spells heavy resistance against more up. You have a death cross on the 55 chart on 9/24 that also spells trouble for a stock and a higher possibility of more down. It is even worse if it shows up on the daily.

Some traders here were asking me about gaps ....so scroll back on the daily chart and look at TPX on 6/5 and 6/6. See that huge gap down? Now use your ray tool provided on your charts and draw a dash ray line off the bottom of the candle on 6/5 and one off the top of the candle on 6/6 and then one half way between those two lines. Notice something? The stock pulled up to the center line on 9/14 and then started to pull down. This would have been a great place to do a put starting on 9/15. Also look at the Stoch RSI on 9/14...it couldn't match the height it had back on 7/27. All indicators were saying this is a PUT!!!!

Even if one had waited until 9/18 when Gary's lines crossed the trade would have remained on trend from $32 and change to $27 and change. I would have gotten out when it kept going out of the Bollinger bands because I would have been expecting a turn around.

Man...Missed that trade and it was a perfect set up!

Great work! Really great work!



Edited 2 time(s). Last edit at 09/29/2012 01:06PM by Darcy.