Best Thread US day traders thread.
Salty Gibbon
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Lol
No thanks Tim, not after I saw your comments about a 70% blow-out
No thanks Tim, not after I saw your comments about a 70% blow-out
timsk said:Salty,
If your disappointment in your trading performance persists, try this . . .
For one week, I'll trade your account and you can trade mine. The results will make you feel absolutely delighted with your trades from yesterday!
Tim.
Naz
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Naz said:
RIMMs results gave the potential for a move.(I attach the chart showing how it closed the gap.)
Then of course every trader has to use his own skills to grab as much out of the move as possible.
Some trade the move pre and post market,some will trade it straight out of the gate some will nibble bits here an there,t/a traders might have completely closed the gap.Everyone has their own style and way of playing things.The great thing about the US markets is that the moves are there,arguably more than many other markets.
Naz
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Naz
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Just for pure interest only and a follow up on the BBBY trade. Not an indication to try it.
There are many different styles of US trading.Straight out of the gate is a style that allows traders to capture the initial burst of interest and make very quick profits. To do this many traders use a level 2 screen which is like a video picture of all the orders that are in the market and a Time and sales which shows all the orders filled.
Many software vendors like E signal and Tradestation offer this as an extra in their intra day charting package so that the trader can place it next to their chart.
In the first few minutes the bars on a chart can be confusing and difficult to make any sense of the direction,however the level 2 screen can show where the true momentum is heading.So long as the risk is low on the execution of the trade, maybe with a stop under the opening price.Then the sheer momentum of early trading will propel the stock very quickly.
Some traders also have direct access which allows them to get their orders filled in the blink of an eye by matching their order against those quoted in the level 2 screen.Some do it manually and some use smart order routing to let the software work the order for them.
Its the quickness of direct access that allows the trader to have the confidence that his/her stop can be executed and looking at the orders in the level 2 screen will allow the trader to see if the stock is liquid enough to play the move or not.
The chart below shows why many like playing this type of move.As you can see all the strong action was at the open and since then its just chopped around.Many traders will practice the move with a demo account (supplied by many brokers) first of all to get the feel for it.
Naz
There are many different styles of US trading.Straight out of the gate is a style that allows traders to capture the initial burst of interest and make very quick profits. To do this many traders use a level 2 screen which is like a video picture of all the orders that are in the market and a Time and sales which shows all the orders filled.
Many software vendors like E signal and Tradestation offer this as an extra in their intra day charting package so that the trader can place it next to their chart.
In the first few minutes the bars on a chart can be confusing and difficult to make any sense of the direction,however the level 2 screen can show where the true momentum is heading.So long as the risk is low on the execution of the trade, maybe with a stop under the opening price.Then the sheer momentum of early trading will propel the stock very quickly.
Some traders also have direct access which allows them to get their orders filled in the blink of an eye by matching their order against those quoted in the level 2 screen.Some do it manually and some use smart order routing to let the software work the order for them.
Its the quickness of direct access that allows the trader to have the confidence that his/her stop can be executed and looking at the orders in the level 2 screen will allow the trader to see if the stock is liquid enough to play the move or not.
The chart below shows why many like playing this type of move.As you can see all the strong action was at the open and since then its just chopped around.Many traders will practice the move with a demo account (supplied by many brokers) first of all to get the feel for it.
Naz
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Naz
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Next week there a lot of results out,one large cap reporting is Apple (APPL) coming out with results after the close.
When there is a big cap with lots of vol reporting, some traders take positions immediately the results are announced to try and take advantage of any post market activity that can lead into a gap the following day.Get the sentiment right and you score big time.The trick is to get into profit immediately post market otherwise kill the trade and get out.
Now for something slower.The false break out.
Many traders know that there is no statisctical edge in playing break outs of the highs or lows.Lets say its a 50/50 chance.
However its such an emotive trade because its been spoon fed over the years to so many, that false break outs are turning into being real winners.
When it runs you'll see all the interest intra day,then they start looking for the pull back for the next run up and looking and looking,When it dosnt happen take the opposite view,everyone's just been suckered and they'll have to get out which will drive the stock in your favour.Sometimes you can run the trade for a couple of days or more.
Here's an example from last week.
Naz
When there is a big cap with lots of vol reporting, some traders take positions immediately the results are announced to try and take advantage of any post market activity that can lead into a gap the following day.Get the sentiment right and you score big time.The trick is to get into profit immediately post market otherwise kill the trade and get out.
Now for something slower.The false break out.
Many traders know that there is no statisctical edge in playing break outs of the highs or lows.Lets say its a 50/50 chance.
However its such an emotive trade because its been spoon fed over the years to so many, that false break outs are turning into being real winners.
When it runs you'll see all the interest intra day,then they start looking for the pull back for the next run up and looking and looking,When it dosnt happen take the opposite view,everyone's just been suckered and they'll have to get out which will drive the stock in your favour.Sometimes you can run the trade for a couple of days or more.
Here's an example from last week.
Naz
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Last edited:
Might cause some movement for the daytraders
Press Release Source: Internet Initiative Japan Inc.
IIJ Restates Financial Statements to Reflect Change in Income Tax Expense or Benefit
Sunday April 10, 10:00 pm ET
TOKYO--(BUSINESS WIRE)--April 10, 2005--Internet Initiative Japan Inc. (IIJ, NASDAQ: IIJI) today announced that it will restate its audited financial statements for the three years ended March 31, 2004 and its unaudited financial information for the first three quarters of the year ended March 31, 2005. In connection with a periodic review by the SEC, IIJ concluded, in consultation with its independent auditors, that changes in the deferred income tax asset valuation allowance attributable to the income tax effect of the change in unrealized gains on certain available-for-sale securities should not be recorded in income tax expense (benefit) in continuing operation and should instead be recorded as a separate component of other comprehensive income. This will have the effect of decreasing net loss and decreasing accumulated other comprehensive income for the years ended March 31, 2002 and 2003 and increasing net loss and increasing accumulated other comprehensive income for the year ended March 31, 2004.
Because the restatement relates to amounts included as income tax expense (benefit) in its statement of operations that are offset by corresponding changes in accumulated other comprehensive income, the restatement does not affect revenues, operating income (loss), loss from operations before income tax expense (benefit), assets and liabilities, total shareholders equity, or net cash items in the statement of cash flows. IIJ's previously reported outlook for the quarter ended March 31, 2005 with respect to annual and sequential increases in revenues and operating income, will not be affected by this restatement. IIJ will record a gain of approximately 1.9 Yen billion from the sale of available-for-sale securities during the quarter ended March 31, 2005 and due to the accounting for intraperiod tax allocation applied for this restatement, the income tax expense related to the income tax of the decrease in unrealized gains in respect of such securities will be reflected in IIJ's accumulated other comprehensive income and not in its statement of operations
Press Release Source: Internet Initiative Japan Inc.
IIJ Restates Financial Statements to Reflect Change in Income Tax Expense or Benefit
Sunday April 10, 10:00 pm ET
TOKYO--(BUSINESS WIRE)--April 10, 2005--Internet Initiative Japan Inc. (IIJ, NASDAQ: IIJI) today announced that it will restate its audited financial statements for the three years ended March 31, 2004 and its unaudited financial information for the first three quarters of the year ended March 31, 2005. In connection with a periodic review by the SEC, IIJ concluded, in consultation with its independent auditors, that changes in the deferred income tax asset valuation allowance attributable to the income tax effect of the change in unrealized gains on certain available-for-sale securities should not be recorded in income tax expense (benefit) in continuing operation and should instead be recorded as a separate component of other comprehensive income. This will have the effect of decreasing net loss and decreasing accumulated other comprehensive income for the years ended March 31, 2002 and 2003 and increasing net loss and increasing accumulated other comprehensive income for the year ended March 31, 2004.
Because the restatement relates to amounts included as income tax expense (benefit) in its statement of operations that are offset by corresponding changes in accumulated other comprehensive income, the restatement does not affect revenues, operating income (loss), loss from operations before income tax expense (benefit), assets and liabilities, total shareholders equity, or net cash items in the statement of cash flows. IIJ's previously reported outlook for the quarter ended March 31, 2005 with respect to annual and sequential increases in revenues and operating income, will not be affected by this restatement. IIJ will record a gain of approximately 1.9 Yen billion from the sale of available-for-sale securities during the quarter ended March 31, 2005 and due to the accounting for intraperiod tax allocation applied for this restatement, the income tax expense related to the income tax of the decrease in unrealized gains in respect of such securities will be reflected in IIJ's accumulated other comprehensive income and not in its statement of operations
Naz
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Din,
Yes i do get up early sometimes.
Tim,
I start saying to myself at times what's crude doing at the moment?
So i just thought i'd post chart so people could get a feel for how its acting in its latest trend.
If you're going to play stocks in the oil sector like CVX,XOM,VLO it helps to know what's going on.
Its always worth keeping an eye on sectors that have got an interest in the news.
Sometimes you can spot something happening intra day that can run for a number of days.
VLO was one such stock mentioned a few days ago on this thread with such comments.
Here is an update of its false break out move.
Yes i do get up early sometimes.
Tim,
I start saying to myself at times what's crude doing at the moment?
So i just thought i'd post chart so people could get a feel for how its acting in its latest trend.
If you're going to play stocks in the oil sector like CVX,XOM,VLO it helps to know what's going on.
Its always worth keeping an eye on sectors that have got an interest in the news.
Sometimes you can spot something happening intra day that can run for a number of days.
VLO was one such stock mentioned a few days ago on this thread with such comments.
Here is an update of its false break out move.
Attachments
Naz or anyone, if you don't mind me asking who do you use to trade these stocks? Do you use an online account and if so who with, if not is it all over the phone? I am thinking of getting into this in the evenings and want to know the best (so cheap comission etc) way of getting into it.
Mr. Charts
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I personally use interactivebrokers and trade US stocks full time. I believe Naz prefers another co.
Richard
Richard
Naz
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I use www.directaccesselite.com.No telephoning,pure direct access.
Good trading the last few days, bad for buy and hold.
I believe that if you can spot something intraday and try to add it to the end of day picture Sometimes you can pick some great EOD continuation moves.
VLO has been one such move.It set up intraday for a collapse which was also a false break out in the EOD charts.It can then be transfered from an intra day trade into managing it with EOD skills.Charts 1 and 2.
Buy the rumour sell the news.Great advice but normally the earnings hype is so emotive that post market and pre market trading will push a stock to the extremes causing a gap before selling off the next day.When one of your leaders comes in with great earnings and that move is not there you know there's a problem.Chart 3 was AAPL post market trading after good results and you can see that they just didn't want to know.(When GOOG did the same a while back it ran up nearly $20.)
Chart 4 is the subsequent collapse in the next couple of days.
What to learn from this,I believe, like others that big market falls can sometimes be spotted by how major leaders are behaving.
Naz
Good trading the last few days, bad for buy and hold.
I believe that if you can spot something intraday and try to add it to the end of day picture Sometimes you can pick some great EOD continuation moves.
VLO has been one such move.It set up intraday for a collapse which was also a false break out in the EOD charts.It can then be transfered from an intra day trade into managing it with EOD skills.Charts 1 and 2.
Buy the rumour sell the news.Great advice but normally the earnings hype is so emotive that post market and pre market trading will push a stock to the extremes causing a gap before selling off the next day.When one of your leaders comes in with great earnings and that move is not there you know there's a problem.Chart 3 was AAPL post market trading after good results and you can see that they just didn't want to know.(When GOOG did the same a while back it ran up nearly $20.)
Chart 4 is the subsequent collapse in the next couple of days.
What to learn from this,I believe, like others that big market falls can sometimes be spotted by how major leaders are behaving.
Naz
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"What to learn from this,I believe, like others that big market falls can sometimes be spotted by how major leaders are behaving".....agreed...Livermore referred to it I believe "as nothing more than observing conditions"..pardon me if I am not word perfect from memory but I think this was close enough...hope you are keeping well Alan
