Pairs Trading

[Grey1]

I hope u guys out there are watching the pair trade By paul in REAL TIME..

A perfect pair trade with GENZ falling on 1 minute and QCOM Rising .. I invite memebrs to watch the trades in real time ..

credit to you man ..

regards

PS;-- Nice to see some one posting a trade in real time and not some post event wins by so called coaches..

 

[Trader333]

Here are the charts of the pair trade on Genz and QCOM. The
Dow was down (not by much but down non the less), so I was
looking for a short opportunity and got an alert on GENZ at
3.12pm so went short at $48.75 and as I placed the order I got a
Long alert on QCOM so immediately went Long at $58.70.

The market did go against my position by 7 points at one point
but was well within my risk model for this trade. Then QCOM went
up and continued going and GENZ declined and I closed the trade
at 3.55pm for a total profit of 87 points. The charts are attached
showing the entry and exits.


I hope this is of use


Paul

 

[Trader333]

QCOM Trade:

 

[Mr. Charts]

Nice trade, Paul
Richard

 

[boy]

Well done Trader!

 

[Grey1]

Paul,

I have not had any signal yet .. I Donot have GENZ in my data base but was watching the trade.. What matters is the risk control and how a trader manages his risks while Trading .. market neutral strategies take some of th burden of the market direction and that is all we are interested..


Well done

 

[Trader333]

I find that if you intend to pair trade it is important to place your
short trade first because there are times when you cannot short
a stock. This is not an issue for going long of course and there are
days when I wouldnt even consider a pair trade because market
conditions do not make it a viable opportunity.


Paul

 

[Mr. Charts]

gray,
"Nice to see some one posting a trade in real time and not some post event wins by so called coaches.."
Would you like to clarify that statement, please?

 

[Grey1]

Paul,

Just one question ,, Why did not you take the short trade when MACCI was right at the top ? Was that due to execution or just wanted to see sellers moving in on L2?

Thanks

 

[Trader333]

Grey1,

The way I have written the code for the alert requires the price
to come back inside the outer band as you can see from the chart.
This also helps in reducing the number of signals I could get and
stops me from getting alerted to runaway stocks that just keep
going past their outer band and dont stop.

I suppose that I could change the way I get alerted to include
MACCI but as yet I havent tried to. I have only been using an
automatic alert system for a short time so, as with all things in
trading, improvements and refinements can be made. The good
thing is that I dont have to watch as I hear a Ding and a
message pops up telling me what the stock and signal is. It does
appear to be working well so far but I am sure changes will be
made in due course.


Paul

 

[Grey1]

Paul,

Got you ,,

regards

 

[Mr. Charts]

gray
You have made a comment,
"Nice to see some one posting a trade in real time and not some post event wins by so called coaches.."

which I suspect refers to a trade today:

http://www.trade2win.co.uk/boards/showthread.php?s=&postid=71169#post71169

These threads are for constructive posts, not personal digs or implications of lying.
Are you going to have the courage of your convictions and say outright that I never did that trade and I'm a liar and risk libel,
or tell me you were not referring to me?
As I've said before, your posts on pair trading have been excellent and appreciated by all, certainly me.
It seems such a pity you have to keep on making these digs when this is such an excellent thread.

 

[Grey1]

MR CHART,

I am in the middle of a Trade and would reply in due course..

 

[Mr. Charts]

Hopefully you will have the decency and maturity to withdraw that comment and cease such aggressive posts so we can all get on with the proper business of learning from and helping one another.

 

[Grey1]

MR CHART,

There has been a lot of fuss about your post event wins previously and the thread was closed.. The problem started when you claimed you shorted an un-shortable stock .. But I made no comments what so ever because I have no interest in personalities..

In your posts you use Statements that IMHO you are not familiar with and is dangerous to those who want to take up trading as their source of income

Quote “Only a small profit perhaps, you don't always get big gains, but a virtually risk free trade. Consistent bread and butter trading .



Did you say risk free trade ? This is the most misleading statement I have ever heard from any body let alone a coach ?


Lets go back to your trade now?

You have ,mentioned that you don’t use historical performance of stocks for pair trading ? SO HOW DO YOU ASSES THE RELATIVE STRENGTH OF STOCKS/ CORRELATION against any index if you don’t study their history ? There is no other way ..

Look at your ADBE trade ? It simply does not even agree with your own weak RS methodology (a part from the fact that ADBE fell like another 1000’s of stocks @ open )

I was watching ADBE and the only reason it fell was because there was 4 Bidders sitting there with a total of 13700@ 36.36 and after the order was filled ADBE shadowed the DOW like hell.. So what happened to your RS theory ? ( ADBE currently is 11C up against DOW + 10 )

I really can go on and on but if you enjoy my posts ( as you say ) then learn it .. And teach it to our fellow traders in your 1-2-1’s because I don’t coach and I don’t charge my good friends. Never done, and never will do ..even though I have had many request from this BB..

I have market to rip off…

PS:-- you could be a very nice man but I am not interested.. I am only interested in helping others for free...

regards

 

[Mr. Charts]

Uh-huh........

 

[Grey1]

MR CHART ,

The strategy you have explained does not go what so ever with your action and I donot think you can ever justify it either.. Posting broker screen does not add to your understanding of methodologies you preach .. All it means is that you have traded two stocks.. that is all..

I am sure there are 1000's of traders here who trade some thing ..

http://www.trade2win.co.uk/boards/showthread.php?s=&threadid=7473&highlight=326+trade

What does the link above prove.. except that I have traded 20000 stocks in no time.. Does it qualify me as a Coach

I was hoping you would explain why you take the trade?

 

[neil]

MR CHART ,

The strategy you have explained does not go what so ever with your explanation and I donot think you can ever justify it either.. Posting broker screen does not add to your understanding of methodologies you preach .. All it means is that you have traded two stocks.. that is all..

I am sure there are 1000's of traders here who trade some thing ..

It seems neither of you can communicate the essence of your messages to one another and many fail to see where grey 1 is coming from with his aggressive posts ( However since English is not grey1's first language then maybe the aggressive tone is unintentional?)

Perhaps you should both stop this dialogue since it is going nowhere and is non educational.

Since you are both well regarded on this site maybe it would be better if you both carried on posting and ceased sparring

 

[Grey1]

Neil,

It is not about being nice, or trying to get on with each other..

It is about trading strategies.. I could be tossing coin in going long or short but that does not qualify me as a Coach..

There is not such a thing as risk free trade . members should realize that ...

Day Trading is dangerous business and the risk associated with day trading is huge.. We must warn our fellow traders and not mislead them ..

Regards

 

[Mr. Charts]

neil,
I would be delighted to have nothing whatsoever to do with gray.
However when someone persists in implying over several posts that I am a liar then I will react as most people would.

When faced with evidence confirming that trade any decent person would be big enough to withdraw the statement, "... not some post event wins by so called coaches.."

If gray stops his aggressive behaviour towards me then I will be silent. I do not even wish to debate with him as he is unable to do so in a civilised way.

One educational point re-shorting so no-one is misled by false and inaccurate statements:
Some stocks are not shortable.
Some stocks are shortable one minute and not the next, depending on the demand to borrow stock and its availability.

This matter ends here and now, provided gray does not attack me again. That has always been the case and I have repeatedly asked him to get on with posting, not having digs.