There are several way to control or manage your greed. These are the following ways...
Systemize your trade
- Set your profit target even before you went into a trade. Put stop loss to protect your losses and let it run automation.
Take profit off the table and Let 1 run ...
- If you have more than 1 contract and you are in a winning position, Take profit first and let 1 or 2 of your contract to let it run. At least if the trade turn against you, you wont be losing.
Being the Third person
- Ask yourself question. What will the Gurus do ? what will the professional do ?
I sincerly hope that the above methods will help you to do well in your trading when greed slowly creep into your brain.
Friday, August 31, 2007
Trading without stress in a confuse market
GOOG OCT 510 Call +88 (ATM)
GOOG OCT 510 Put -52
Net profit: 36
GOOG OCT 520 Call +108 (OTM)
GOOG OCT 500 Put -72
Net profit: 36
I traded google yesterday when google is at 510. Today i took profit when google traded at 511.
Well i know for sure is not the price of the google that make the profit but is the OPTION of the google. This is the power of option strategy. Seriously when i traded this way, i really have no stress haha. ;D Im still in the mist of finding out how the greek really work for this kind of strategy.
Im looking forward to attend OptionUniversity course which is run by AKLTG this coming november ... ;D
GOOG OCT 510 Put -52
Net profit: 36
GOOG OCT 520 Call +108 (OTM)
GOOG OCT 500 Put -72
Net profit: 36
I traded google yesterday when google is at 510. Today i took profit when google traded at 511.
Well i know for sure is not the price of the google that make the profit but is the OPTION of the google. This is the power of option strategy. Seriously when i traded this way, i really have no stress haha. ;D Im still in the mist of finding out how the greek really work for this kind of strategy.
Im looking forward to attend OptionUniversity course which is run by AKLTG this coming november ... ;D
Thursday, August 30, 2007
What is Greed in trading?
Greed is an inordinate wanting, a longing that is out of control. Greed by its very own definition can never be satisfied.
Every trader or investor will experience Greed at least 1 time during trading. Without the Greed factor, there wont be the wanting to trade. Greed make a person want to risk their own money to make MORE MONEY. You need to be Greed with proper control will be an aid in trading.
"The point is, ladies and gentlemen, greed is good. Greed works, greed is right... and greed, mark my words, will save not only Telder Paper but the other malfunctioning corporation called the USA" by Gordon Gekko in "Wall Street"
- How often did you take profit and realise that you took it too early?
- How often do you rush into a trade because of the greed of wanting not to miss the opptunity to trade?
I will share how to manage your greed on the next article.
Every trader or investor will experience Greed at least 1 time during trading. Without the Greed factor, there wont be the wanting to trade. Greed make a person want to risk their own money to make MORE MONEY. You need to be Greed with proper control will be an aid in trading.
"The point is, ladies and gentlemen, greed is good. Greed works, greed is right... and greed, mark my words, will save not only Telder Paper but the other malfunctioning corporation called the USA" by Gordon Gekko in "Wall Street"
- How often did you take profit and realise that you took it too early?
- How often do you rush into a trade because of the greed of wanting not to miss the opptunity to trade?
I will share how to manage your greed on the next article.
GS vomited but i profited
GS OCT 170 PUT BOT 7.50 SLD 8.9
Net profit: 140
Er im happy because i make money. But im not happy with my performance because i lose 200 buck profit as i too quick to take my profit at the opeing bell... geeZ
I wanna buy a call when it hit 168 as i know it just the stupid fake the gap thingy. But i have limited day trade and yes im not at home so my body system tell me not to trade.
Some thoughts to ponder
What will you do if you see dow at 90+ at the opening bell and you wont be free to monitor your stock? Will you take profit like what i did? or will you just let it run? or will you just put a stop lost?
Net profit: 140
Er im happy because i make money. But im not happy with my performance because i lose 200 buck profit as i too quick to take my profit at the opeing bell... geeZ
I wanna buy a call when it hit 168 as i know it just the stupid fake the gap thingy. But i have limited day trade and yes im not at home so my body system tell me not to trade.
Some thoughts to ponder
What will you do if you see dow at 90+ at the opening bell and you wont be free to monitor your stock? Will you take profit like what i did? or will you just let it run? or will you just put a stop lost?
Wednesday, August 29, 2007
Strangle Google
Brought it on monday when google around 512
GOOG OCT 540 C -172
GOOG OCT 490 P +268
Net profit : 96
Brought it on yesterday when google around 515
GOOG OCT 530 C -262
GOOG OCT 500 P +368
Net profit : 106
This is the strangle strategy that i used and make a small profit ;D. The above prove that not much different between the 2 set of strangle. I notice that VIX play a big part as i brought it when VIX is low as compare to today. I choose these OTM contract because it is relatively cheap like around 1k + per contract. The total slippage between the 2 set of trades is roughly around 40cent - 60 cent which i find it quite cheap. As im writing this post, google just drop another 3 bucks. 8-)
News is the catalyst for this strategy to work!! ;D
Wanna say thanks to Jack and Chiu for telling me more about my this strategy as i can buy cheaper option (OTM) and also take note about the IV , VIX thingy.
Small notes: This post is not to show that how much i make but to share that this strategy does work and i havent lose money using this strategy ;D
GOOG OCT 540 C -172
GOOG OCT 490 P +268
Net profit : 96
Brought it on yesterday when google around 515
GOOG OCT 530 C -262
GOOG OCT 500 P +368
Net profit : 106
This is the strangle strategy that i used and make a small profit ;D. The above prove that not much different between the 2 set of strangle. I notice that VIX play a big part as i brought it when VIX is low as compare to today. I choose these OTM contract because it is relatively cheap like around 1k + per contract. The total slippage between the 2 set of trades is roughly around 40cent - 60 cent which i find it quite cheap. As im writing this post, google just drop another 3 bucks. 8-)
News is the catalyst for this strategy to work!! ;D
Wanna say thanks to Jack and Chiu for telling me more about my this strategy as i can buy cheaper option (OTM) and also take note about the IV , VIX thingy.
Small notes: This post is not to show that how much i make but to share that this strategy does work and i havent lose money using this strategy ;D
Sunday, August 26, 2007
FEAR in Trading
What is FEAR ??
Fear in its myraid forms is the most uniquitous of trading emotions, followed in a close second by its partner, greed. So common are these two emotions that they have become cliches to represent in simplicity the whole of the complex trading experience. Fear in a nutshell is something that we afriad, worry and also dun feel at ease with.
We fear of everything, from small losses to total financial ruination, even when we are winning we also fear that we will lose all the money back to the market. We fear failure. We even fear success. We fear of unknow, and in trading everything is unknown because the future is not knowable. We fear the news, and we fear there will be no news. In a nutshell, we are afriad or we are afraid we will become afraid.
Fear in its myraid forms is the most uniquitous of trading emotions, followed in a close second by its partner, greed. So common are these two emotions that they have become cliches to represent in simplicity the whole of the complex trading experience. Fear in a nutshell is something that we afriad, worry and also dun feel at ease with.
We fear of everything, from small losses to total financial ruination, even when we are winning we also fear that we will lose all the money back to the market. We fear failure. We even fear success. We fear of unknow, and in trading everything is unknown because the future is not knowable. We fear the news, and we fear there will be no news. In a nutshell, we are afriad or we are afraid we will become afraid.
read more..."Applying fears to hopes, and hopes to fears, Still losing when i saw myself to
win" by William Shakesphere
Saturday, August 25, 2007
Terrible Trading week
My pitfall on GS
This week is the most terrible trading week for me. From making 30% of my partfolio till losing 20% of my partfolio. What i really did wrong is my psychology.
What really affect my psychology are the following factors...
- Greed and Fear
- I cant scalp too many time due to the small account
- Let my emotion take control of my trading system
My mistake mainly come from the fact that im greedy. I have 2 scalp which can make 50 buck respectively but i didnt not profit take as make a lost of 150 each. I let my scalp to run over next day which affect my whole trading system. I lost quite alot of money on time decay as im holding on to my sept contract put which at first making 1.3k last thur when it hit 158 and when friday open i make a lost of 200 buck then i can make back 100++ buck on the day itself and monday but i did not take it.
After this week, it really prove me that trading need the right frame of mind and the right psychology if not you will be beaten by the market. Always trust the indicator and the system that you have set for yourself. If you let your feeling take control of your trading you will difinately suffer from it.
This week i didnt trade on google as im too focus on GS. Google has been doing quite well recently and i guess it will pause for a while and rally up. If google break above 530 and the market is doing well i will just buy a long call. Recently the trend of google is it will react according to the nasdaq which it dun usually does it.
i will be watching GS too for the next week as it is going a sideway trend which might break up or break down depending on the subprime issue.
Anyway im still quite happy with my trading no doubt i make a loss of 20% of my partfolio. I will do better next week and not let my feeling take control of my trading.
Happy Trading =)
This week is the most terrible trading week for me. From making 30% of my partfolio till losing 20% of my partfolio. What i really did wrong is my psychology.
What really affect my psychology are the following factors...
- Greed and Fear
- I cant scalp too many time due to the small account
- Let my emotion take control of my trading system
My mistake mainly come from the fact that im greedy. I have 2 scalp which can make 50 buck respectively but i didnt not profit take as make a lost of 150 each. I let my scalp to run over next day which affect my whole trading system. I lost quite alot of money on time decay as im holding on to my sept contract put which at first making 1.3k last thur when it hit 158 and when friday open i make a lost of 200 buck then i can make back 100++ buck on the day itself and monday but i did not take it.
After this week, it really prove me that trading need the right frame of mind and the right psychology if not you will be beaten by the market. Always trust the indicator and the system that you have set for yourself. If you let your feeling take control of your trading you will difinately suffer from it.
This week i didnt trade on google as im too focus on GS. Google has been doing quite well recently and i guess it will pause for a while and rally up. If google break above 530 and the market is doing well i will just buy a long call. Recently the trend of google is it will react according to the nasdaq which it dun usually does it.
i will be watching GS too for the next week as it is going a sideway trend which might break up or break down depending on the subprime issue.
Anyway im still quite happy with my trading no doubt i make a loss of 20% of my partfolio. I will do better next week and not let my feeling take control of my trading.
Happy Trading =)
Sunday, August 19, 2007
Update for the Week
I was busy on thurday and friday that why i did not update the blog. Thurday i make about 600 buck from Google trading system1. I didnt capture my winning trade as i have to rush out to airport to show my friend around.
My GS almost drop till the predicted 155 on thur which hit its low at 158. With the news that the market has make 10% correction, the market immediately rebound and so do GS stock rebound from 158 till 170 at the close and close up by 6 buck. Then on friday before the market open the FED cut the discount rate from 6.25% to 5.75%. The whole market from bearish change till Super bullish so do GS from 170 jump till 180.
My sept GS put contract from profiting till break even. I did make 100 buck when GS drop from 180 till 170 and close back to 175.
Has the market recoverd?
Personally i dun think that the market has recovered as the subprime and credit issues still havent resolve yet. What unlce Ben did was to put a "bandage around the wound" to stop the wound from bleeding. Without the rate cut, Friday might be a very bearish day since the Japan market closes it low on friday and most of the asian market has suffered from it.
Analysis on Goldman Sach GS
According to my technical analysis, GS might still hit my 155 level or even below at 146. This is because the techincal analysis shown a third Elliott forming up soon. First wave it hit 179 low and 2nd wave it hit 158 low and third wave will hit at ?? . From my analysis it will most likely hit at 146.
When will GS hit the 146 level ?
Most likely it will hit that level either next week or first week of september. If it never hit it, most likely it will form another trend. Therefore i will keep a close look on the market next mon and tues which will be very crucial.
overall both my account grow by 10% for this month at the moment.
My GS almost drop till the predicted 155 on thur which hit its low at 158. With the news that the market has make 10% correction, the market immediately rebound and so do GS stock rebound from 158 till 170 at the close and close up by 6 buck. Then on friday before the market open the FED cut the discount rate from 6.25% to 5.75%. The whole market from bearish change till Super bullish so do GS from 170 jump till 180.
My sept GS put contract from profiting till break even. I did make 100 buck when GS drop from 180 till 170 and close back to 175.
Has the market recoverd?
Personally i dun think that the market has recovered as the subprime and credit issues still havent resolve yet. What unlce Ben did was to put a "bandage around the wound" to stop the wound from bleeding. Without the rate cut, Friday might be a very bearish day since the Japan market closes it low on friday and most of the asian market has suffered from it.
Analysis on Goldman Sach GS
According to my technical analysis, GS might still hit my 155 level or even below at 146. This is because the techincal analysis shown a third Elliott forming up soon. First wave it hit 179 low and 2nd wave it hit 158 low and third wave will hit at ?? . From my analysis it will most likely hit at 146.
When will GS hit the 146 level ?
Most likely it will hit that level either next week or first week of september. If it never hit it, most likely it will form another trend. Therefore i will keep a close look on the market next mon and tues which will be very crucial.
overall both my account grow by 10% for this month at the moment.
Thursday, August 16, 2007
Being Burn on Google ??
GOOG 510 AUG 10 CALL BTO $8.70 SLD $2.8
Net Loss : - 5.9k :'(
GS 180 SEPT 2 PUT BTO $15.30 SLD 16.30 (1130 - 1245)
Net profit : 200 ;D
GS 180 SEPT 3 PUT BTO $15.30 SLD 16.30 (0148 - 0221)
Net profit : 300 ;D
Net lost -5.4k :'(
I have a mix feeling today too. The only mistake that i make is that i should not wait for google to tank then i start to cut lost but i still cut it as i know it will tank down.
Nowaday im in sync with GS. I just know how it going to react and smack right there like a bull eyes. Anyway im making 300++ on my GTS1 which stand for google trading system 1.
If you guys read my blog, you will know that even when i lost almost 6k, i still make money as a whole. This google failure trade is MAINLY due to GREED. I already have a system but i didnt follow my system which turn out to be a painful lesson. I will come back even stronger as you can see when i lost 6k immediately im earning back 1 k (300++ from GTS1 & 500 from GS) ;D
That why when trading alot depend on your psychology. Without the correct psychology you cant trade or invest as you will tend to defeat your ownself through THIS THING call GREED AND FEAR. My google trading system(GTS) which i discover during the course of trading google consistently profitable. This GTS dont have any fault to blame as i have more than 3 chances to break even my this trade.
Why i lost 6k in google ??
- Mainly because of my greed
- Didnt cut lose and let it go deeper
- Didnt follow my own set of rules
- Im using GTS3 which is the most risky strategy as compare to GTS1 and GTS2.
read more ...
Net Loss : - 5.9k :'(
GS 180 SEPT 2 PUT BTO $15.30 SLD 16.30 (1130 - 1245)
Net profit : 200 ;D
GS 180 SEPT 3 PUT BTO $15.30 SLD 16.30 (0148 - 0221)
Net profit : 300 ;D
Net lost -5.4k :'(
I have a mix feeling today too. The only mistake that i make is that i should not wait for google to tank then i start to cut lost but i still cut it as i know it will tank down.
Nowaday im in sync with GS. I just know how it going to react and smack right there like a bull eyes. Anyway im making 300++ on my GTS1 which stand for google trading system 1.
If you guys read my blog, you will know that even when i lost almost 6k, i still make money as a whole. This google failure trade is MAINLY due to GREED. I already have a system but i didnt follow my system which turn out to be a painful lesson. I will come back even stronger as you can see when i lost 6k immediately im earning back 1 k (300++ from GTS1 & 500 from GS) ;D
That why when trading alot depend on your psychology. Without the correct psychology you cant trade or invest as you will tend to defeat your ownself through THIS THING call GREED AND FEAR. My google trading system(GTS) which i discover during the course of trading google consistently profitable. This GTS dont have any fault to blame as i have more than 3 chances to break even my this trade.
Why i lost 6k in google ??
- Mainly because of my greed
- Didnt cut lose and let it go deeper
- Didnt follow my own set of rules
- Im using GTS3 which is the most risky strategy as compare to GTS1 and GTS2.
read more ...
Wednesday, August 15, 2007
Mix Trading Day
I still have position in my account which are Goldman Sach(GS) and Google. I have a mix trading day today. I earn alot from GS vomitting but i lose quite alot from google vomiting too. The disappointment come from my beloved stock google. I have at least 3 time to break even my google call but i didnt do it . I violate my own rule and google trading system. For today google didnt react to the opposite of market trend but it did short reverse a few times ....
Read More ...
Read More ...
Tuesday, August 14, 2007
Google love to go against the market
GOOG AUG 1 PUT BOT 12.70 SLD 13.30
Net Profit: $58
Yeah I just love to trade google. im waiting to take profit also from google call tomorrow. ;D ... Im making abit from GS vomiting. :) which i brought at 179 last monday.
So do you guys still think subprime/credit problem over yet ??
read more at www.otakalawoo.com
Net Profit: $58
Yeah I just love to trade google. im waiting to take profit also from google call tomorrow. ;D ... Im making abit from GS vomiting. :) which i brought at 179 last monday.
So do you guys still think subprime/credit problem over yet ??
read more at www.otakalawoo.com
Sunday, August 12, 2007
Welcome to my new personal .com
Hey i just have a new personal domain http://www.otakalawoo.com/ . I will break up my writing entry as the following:
http://www.otakalawoo.com/
- My own trading Strategy (Google)
- Option basic
- Technical analysis
- Fundemental analysis
- Daily Trades
- Many More Stuff to be included
otakalawoo.blogspot.com
- Daily Trades
For those who are new to my blog, i would like to say a BIG WELCOME to the world of trading. For those who visited my blog, i would like you guys to visit my new domain otakalawoo.com as i have put up many interesting stuff regarding trading and options.
As promiss , i have already write up my Google Trading System strategy 1. You guys will be able to read it at my new site http://www.otakalawoo.com/ .
Thank you guys for the support of visiting my blog. I will make it better and informative as i can in my new site.
http://www.otakalawoo.com/
- My own trading Strategy (Google)
- Option basic
- Technical analysis
- Fundemental analysis
- Daily Trades
- Many More Stuff to be included
otakalawoo.blogspot.com
- Daily Trades
For those who are new to my blog, i would like to say a BIG WELCOME to the world of trading. For those who visited my blog, i would like you guys to visit my new domain otakalawoo.com as i have put up many interesting stuff regarding trading and options.
As promiss , i have already write up my Google Trading System strategy 1. You guys will be able to read it at my new site http://www.otakalawoo.com/ .
Thank you guys for the support of visiting my blog. I will make it better and informative as i can in my new site.
Saturday, August 11, 2007
Interesting US market - Subprime problem
The downside of having a small account
I just landed myself in a cold turkey treatment yesterday without knowing it. ZzzZzz but i still making money from my sept put contract on GS which i just let it run ... haha guess i have to use another account to trade till i GET OUT OF JAIL being a day trader ... My release date will be next week wed or thur, im not very sure ... yawn
Interesting US market - Subprime problem
Do you really think that the market will recover next week ?
Do you think that the subprime problem will be ease by the injection of fund ?
Do you think that the market will not tank?
Personally i think that this is just the beginning of the subprime problem as it just spread globally. Alot of action being taken to cover the seriousness of the subprime effect. The fact that it is still a major concern to the FED and globally, it will still pose a problem and lead to a tanking in the whole world market.
From the technical analysis point of view , it is good for the market to take a correction or tank as it has been having a hell of bull run for the pass few months. I think is a 52 months bull runs if im not wrong. It is very healthly for a correction so that the market can have another major bull run which i think will most likely start on oct this year.
So i shall just see and go with the trend =)
Have a nice weekend
I just landed myself in a cold turkey treatment yesterday without knowing it. ZzzZzz but i still making money from my sept put contract on GS which i just let it run ... haha guess i have to use another account to trade till i GET OUT OF JAIL being a day trader ... My release date will be next week wed or thur, im not very sure ... yawn
Interesting US market - Subprime problem
Do you really think that the market will recover next week ?
Do you think that the subprime problem will be ease by the injection of fund ?
Do you think that the market will not tank?
Personally i think that this is just the beginning of the subprime problem as it just spread globally. Alot of action being taken to cover the seriousness of the subprime effect. The fact that it is still a major concern to the FED and globally, it will still pose a problem and lead to a tanking in the whole world market.
From the technical analysis point of view , it is good for the market to take a correction or tank as it has been having a hell of bull run for the pass few months. I think is a 52 months bull runs if im not wrong. It is very healthly for a correction so that the market can have another major bull run which i think will most likely start on oct this year.
So i shall just see and go with the trend =)
Have a nice weekend
Friday, August 10, 2007
Good day to trade Goldman Sach
BOT GS 180 1 AUG PUT $2.20
SLD GS 180 1 AUG PUT $2.60
Net profit: $38 (13mins)
BOT GS 180 1 AUG PUT $3.30
SLD GS 180 1 AUG PUT $4.50
Net profit: $118 (3hrs 20mins)
BOT GS 180 1 AUG PUT $4.30
SLD GS 180 1 AUG PUT $5.10
Net profit: $78 (2hrs)
Total profits: $234
I just love the way the market react today. It is just so predictable ;D. I trade till i cant trade anymore, maximum 3 trades ZzzZzz . Indicator just tell me the whole story for today. I didnt manage to maximise my gain but im still happy with $234 profits today. ;D.... Seriously speaking even when i win money i still feel tired after finish trading.
Trading sap alot of my energy from just sitting there ... reading the news and doing some of my stuff.
Today i never trade google is because im concentrating on trading GS. If i have traded google i will still make money as my system work when google are moving either up or down it dosent matter as long as it move. For today, i will be able to gain both way of google making up and down... so nice =)
Will the subprime continue and spread to asian country ??? you will know the result soon :P
Singapore market will likely to tank on friday 10 of aug.
SLD GS 180 1 AUG PUT $2.60
Net profit: $38 (13mins)
BOT GS 180 1 AUG PUT $3.30
SLD GS 180 1 AUG PUT $4.50
Net profit: $118 (3hrs 20mins)
BOT GS 180 1 AUG PUT $4.30
SLD GS 180 1 AUG PUT $5.10
Net profit: $78 (2hrs)
Total profits: $234
I just love the way the market react today. It is just so predictable ;D. I trade till i cant trade anymore, maximum 3 trades ZzzZzz . Indicator just tell me the whole story for today. I didnt manage to maximise my gain but im still happy with $234 profits today. ;D.... Seriously speaking even when i win money i still feel tired after finish trading.
Trading sap alot of my energy from just sitting there ... reading the news and doing some of my stuff.
Today i never trade google is because im concentrating on trading GS. If i have traded google i will still make money as my system work when google are moving either up or down it dosent matter as long as it move. For today, i will be able to gain both way of google making up and down... so nice =)
Will the subprime continue and spread to asian country ??? you will know the result soon :P
Singapore market will likely to tank on friday 10 of aug.
Thursday, August 9, 2007
Market is Crazy !!!
GOOG 510 AUG 1PUT BOT 2.3 SLD 2.8
Net Profits: $48 ;D (1hr)
GS 190 AUG 1PUT BOT 3.4 SLD 4.6
Net Profits: $118 ;D ;D
Total Profits: $166
I shall say that my GOOG trade is beautiful. I trade it without any emotion cos i know google will come back since it go so high up at 525 and my target price for it to drop is 520 which it did hit but i play safe so i profit take at 521. ;D
My GS trade is giving me alot of problem. I brought it yesterday at 194 when GS is at its high just before the fed annonuce the news. After the fed annonuce the news, GS went down as what i have expected. So i wait for it to hit the level that i want it to hit which is at 187. So it just hit there and bounce back to 194 within 15mins.
So i was earning 300 , then 200 , then 100, then 0, then -100 .
But i still hang on to it as i see no reason for GS to went up within 15 mins . That is super crazy!!! so when it cool down abit it go back to 191 and i can profit about 50 buck but i did not.
To cut the story short, GS went up to 198 at 10plus today and i was losing about 200++. So from profit taking, i was preparing to cut lost but i didnt as my indicator didnt show any signal to cut lost. Then at 2pm SG time GS just vomited from 198 till 189 ... woo ... ;D
What i really want to say --- Trading is a whole lot of emotion game. For me im kind of emotionless as i read the indicator but no matter how emtionless i am, I still experience a great deal of pressure from the market.
IF you have Heart Problem ... Please do not trade high profile stock ;D
What a week of trading ... Even a strong heart will become a weak heart.
How i keep posting winning trade on google is because i have a system. A system that allow me to check my emotion which dun let my greed and fear take control.
Im most willingly to share my system of trading google with you guys BUT it wont be benefit to you as this system is i created for my own personality. Therefore a good trader is a person who can create their own system through learning the basic skill of technical analysis and fundmental analysis.
Just like even a striker who person a same role have different kind of strategy/system for them to get pass the defender and bring the ball to the net. Good Player are those who create their own special skill through basic kicking, passing, tackling and many more.
I will share with you guys some of my strategy this coming weekend as i have to rush for my project . Im still a university student = ( But you guys have to test it out on paper first and see if it suit the way you trade.
Happy trading guys =)
Net Profits: $48 ;D (1hr)
GS 190 AUG 1PUT BOT 3.4 SLD 4.6
Net Profits: $118 ;D ;D
Total Profits: $166
I shall say that my GOOG trade is beautiful. I trade it without any emotion cos i know google will come back since it go so high up at 525 and my target price for it to drop is 520 which it did hit but i play safe so i profit take at 521. ;D
My GS trade is giving me alot of problem. I brought it yesterday at 194 when GS is at its high just before the fed annonuce the news. After the fed annonuce the news, GS went down as what i have expected. So i wait for it to hit the level that i want it to hit which is at 187. So it just hit there and bounce back to 194 within 15mins.
So i was earning 300 , then 200 , then 100, then 0, then -100 .
But i still hang on to it as i see no reason for GS to went up within 15 mins . That is super crazy!!! so when it cool down abit it go back to 191 and i can profit about 50 buck but i did not.
To cut the story short, GS went up to 198 at 10plus today and i was losing about 200++. So from profit taking, i was preparing to cut lost but i didnt as my indicator didnt show any signal to cut lost. Then at 2pm SG time GS just vomited from 198 till 189 ... woo ... ;D
What i really want to say --- Trading is a whole lot of emotion game. For me im kind of emotionless as i read the indicator but no matter how emtionless i am, I still experience a great deal of pressure from the market.
IF you have Heart Problem ... Please do not trade high profile stock ;D
What a week of trading ... Even a strong heart will become a weak heart.
How i keep posting winning trade on google is because i have a system. A system that allow me to check my emotion which dun let my greed and fear take control.
Im most willingly to share my system of trading google with you guys BUT it wont be benefit to you as this system is i created for my own personality. Therefore a good trader is a person who can create their own system through learning the basic skill of technical analysis and fundmental analysis.
Just like even a striker who person a same role have different kind of strategy/system for them to get pass the defender and bring the ball to the net. Good Player are those who create their own special skill through basic kicking, passing, tackling and many more.
I will share with you guys some of my strategy this coming weekend as i have to rush for my project . Im still a university student = ( But you guys have to test it out on paper first and see if it suit the way you trade.
Happy trading guys =)
Wednesday, August 8, 2007
Google is dangerous to trade if you don't have a system
GOOG 500 4 CALL BOT avg 15.9 SLD 19.7
Net profit is $1523 ;D
I brought the call at Last friday, I was averaging call when it went down on friday so i held on till Monday. Monday the price rise up and i dun want to average again so i just let it run. So Today as i know that the FED is going to speak and this mean the prices will go up and down. Then i make use you the price surge and straight away i took my call profits.
Thats why i didnt post any yesterday as im looking after my call position.
This Averaging strategy is HIGHLY DANGEROUS if you dun have a huge account . For me i have 10k so im okay with it. To be frank, my 4 call postion lose about 1k on friday.
The main reason i held on to it is because i see no reason why the market can crash down during the last hour.
This average strategy is one of the strategy i use to trade on Google but is also the most HIGH RISK strategy which i only use 3 times during the time i traded on Google. I prefer to use a less risk but consistent return of 100 buck a day strategy =)
Net profit is $1523 ;D
I brought the call at Last friday, I was averaging call when it went down on friday so i held on till Monday. Monday the price rise up and i dun want to average again so i just let it run. So Today as i know that the FED is going to speak and this mean the prices will go up and down. Then i make use you the price surge and straight away i took my call profits.
Thats why i didnt post any yesterday as im looking after my call position.
This Averaging strategy is HIGHLY DANGEROUS if you dun have a huge account . For me i have 10k so im okay with it. To be frank, my 4 call postion lose about 1k on friday.
The main reason i held on to it is because i see no reason why the market can crash down during the last hour.
This average strategy is one of the strategy i use to trade on Google but is also the most HIGH RISK strategy which i only use 3 times during the time i traded on Google. I prefer to use a less risk but consistent return of 100 buck a day strategy =)
Thank you guys for loving my blog
KJ said...
Lawrence,
I am really inspired by your blog. I too would
like to create something like yours, to share the knowledge, hope you don't
mind. May I check with you, do know know anything about ETRADE?
I
currently holding an OptionsXpress acct, din know they suck so commissions.
Thought if we trade 10trades, we just pay a total of USD15? Any advise?
hi Kj,
Im not very sure about ETRADE but i know that they provide some useful tools. When i find out more about ETRADE i will difinately share with you guys.
The commision in OX work in this way ...
- No matter how many contracts you buy (be it 1 or 100) you have to pay $14.90
- which mean for every transaction you have to pay $14.90
- so to make it simple ... if i buy 1 contract on google i have to pay $14.90, then when i sell the 1 contract on google i have to pay another $14.90. Therefore the commision to buy and sell an options is $30.
hi online options trading,
I traded google for almost 3months plus. I have make alot of loses and wins. Overall i have grow my account trading google. i will share with you guys soon on the trading system that i use to trade on google. =)
regards,
Lawrence
Sunday, August 5, 2007
Optionsxpress the best paper trading platform
manojsai said...
nice blog.which site do you use for paper trading and which site would you recommend for paper trading in options.
Hi manojsai ,
Thank you for spending your precious time on my blog = ). Personally i would recommand you to use Option Express for paper trading.
1. OptionsExpress is FREE as long as you DONT FUND IT.
2. OptionsExpress provide WEIGHT to your Trading. ($15 commision per trade). If you can consistently profitable in OX paper trading, When you use Interactive Brokerage (IB) commision which is roughly $1 , you will have a good time making alot of money.
3. OptionsExpress provide WONDERFUL CHART, TOOLS and other Stuff
With the above 3 points that i mention, i really think that OptionExpress is the best paper trading platform for the moment as it really hone my scalping and day trading skill. = )
Happy trading
Saturday, August 4, 2007
The Power Of Implied Volatility
I really amaze How Option can Benefit you regarding of the stock price.
My GS 180 call and 185 put option Price suddenly increase even though the STOCK price (181+-) never move.
This is because of the change in implied volatility - one of the fundamental (but yet basic 101 options knowledge).
On my GS, Im buying ATM / OTM options. I was paying for extrinsic value. So, if a change in the direction in my favour (delta), and/or a surge in implied volatility (which my position will benefit because of the long vega), will help me make money.
That's the reason.
My GS 180 call and 185 put option Price suddenly increase even though the STOCK price (181+-) never move.
This is because of the change in implied volatility - one of the fundamental (but yet basic 101 options knowledge).
On my GS, Im buying ATM / OTM options. I was paying for extrinsic value. So, if a change in the direction in my favour (delta), and/or a surge in implied volatility (which my position will benefit because of the long vega), will help me make money.
That's the reason.
Rollarcoaster Ride on GS and Google
GS 185 1 PUT BOT 11.9 SLD 12.4
Net profits: $48 ;D
GS 180 1 CALL BOT 13.4 SLD 13.8
Net profits: $38 ;D
GOOG 520 PUT BOT 14.3 SLD 15.3
Net profit: $98
Total Profits: $184 ;D
Wao today i saw something happening during the Last 30 min of the trading day. My GS 180 call and 185 put option Price suddenly increase even though the STOCK price never move. I really amaze how option can work for you. I will go research more. Today make a decent amount even when the market super crazy, just like having a rollar coaster ride. The Last 10 mins is like when the ride reach its peak and FREE FALL ... woooo.... ;D
Net profits: $48 ;D
GS 180 1 CALL BOT 13.4 SLD 13.8
Net profits: $38 ;D
GOOG 520 PUT BOT 14.3 SLD 15.3
Net profit: $98
Total Profits: $184 ;D
Wao today i saw something happening during the Last 30 min of the trading day. My GS 180 call and 185 put option Price suddenly increase even though the STOCK price never move. I really amaze how option can work for you. I will go research more. Today make a decent amount even when the market super crazy, just like having a rollar coaster ride. The Last 10 mins is like when the ride reach its peak and FREE FALL ... woooo.... ;D
Friday, August 3, 2007
Trading Google without Fear
GOOG 520 1 PUT BOT 15.9 SLD 16.4
Net Profit : $48
GOOG 500 2 CALL BOT 19.2, 18.3 SLD 19.1
Net Profit : $66.50
Total Profit : $114.50
Yeah... I just love the way i trade. No fear whatsoever the market doing. Im contended with 100 buck everyday . It just took me like 1 hour to make 100 buck . I start trading at ard 10 and taking my profit at around 1130. My system work best for the opening period. The shortest the time to make my 100 buck the happier i am as i dun like to wait haha. Happy trading!!
Net Profit : $48
GOOG 500 2 CALL BOT 19.2, 18.3 SLD 19.1
Net Profit : $66.50
Total Profit : $114.50
Yeah... I just love the way i trade. No fear whatsoever the market doing. Im contended with 100 buck everyday . It just took me like 1 hour to make 100 buck . I start trading at ard 10 and taking my profit at around 1130. My system work best for the opening period. The shortest the time to make my 100 buck the happier i am as i dun like to wait haha. Happy trading!!
Thursday, August 2, 2007
Trading Google can be dangerous
Trading Google can be dangerous if you do not equip the right skill to trade it.
GOOG AUG 510 6 CALL
BOT at (15.2,15.2,14.2,13.4,12.6,12.3)
SLD at 14.20
Net Profit $239.5
Yesterday i never post winning trade because i was constipating my 5 contracts of google. My own rule tell me not to trade on yesterday but i broke it. I broke not only 1 rule but a few rules yesterday. The most important rule is i should let the price to reach its target before i take either a call or the put depend on the direction(bullish or bearish).
I should be able to take both my PUT and CALL contract but i didnt. I cut lost on my 1 put contract as google going up ... and brought a CaLL which is abit stupid as it will increase my risk. then from then on i know that google cant really go up as it keep on going down so i just avg it as it went down ... At a point actually i can make about 40 - 80 but i dun want so i have to constipate my 5 contracts when the market close.
The feeling is so ARGH!!! >:( ... but im okay and cool with it because i have this encounter not too long ago. So when market open bearish today which i kind of expected. I knew that google will just be bullish haha ... then i went in another call when it at around 510. When it hit around 514 i knew that i just have to sell all my call to take profit as im wont be able to monitor the stock and play safe to take money first. ;D
I still satisfy with my strategy and i really have to stick to my strategy haha. ;D I found that it will be easier to trade google having 10k capital than 5k using my strategy 8-)
Just to update... I have make around 3k during the month of JULY. ;D My capital is 10k. so i make around 30% this month =)
-------------------
WARNING!!!!!
-------------------
The last thing i want to say is please do not trade GOOGLE if you do not know how i trade it and you not sure what you are doing. Trading google without knowing how to trade is THE FASTEST WAY TO BREAK YOUR ACCOUNT!!!! ;)
GOOG AUG 510 6 CALL
BOT at (15.2,15.2,14.2,13.4,12.6,12.3)
SLD at 14.20
Net Profit $239.5
Yesterday i never post winning trade because i was constipating my 5 contracts of google. My own rule tell me not to trade on yesterday but i broke it. I broke not only 1 rule but a few rules yesterday. The most important rule is i should let the price to reach its target before i take either a call or the put depend on the direction(bullish or bearish).
I should be able to take both my PUT and CALL contract but i didnt. I cut lost on my 1 put contract as google going up ... and brought a CaLL which is abit stupid as it will increase my risk. then from then on i know that google cant really go up as it keep on going down so i just avg it as it went down ... At a point actually i can make about 40 - 80 but i dun want so i have to constipate my 5 contracts when the market close.
The feeling is so ARGH!!! >:( ... but im okay and cool with it because i have this encounter not too long ago. So when market open bearish today which i kind of expected. I knew that google will just be bullish haha ... then i went in another call when it at around 510. When it hit around 514 i knew that i just have to sell all my call to take profit as im wont be able to monitor the stock and play safe to take money first. ;D
I still satisfy with my strategy and i really have to stick to my strategy haha. ;D I found that it will be easier to trade google having 10k capital than 5k using my strategy 8-)
Just to update... I have make around 3k during the month of JULY. ;D My capital is 10k. so i make around 30% this month =)
-------------------
WARNING!!!!!
-------------------
The last thing i want to say is please do not trade GOOGLE if you do not know how i trade it and you not sure what you are doing. Trading google without knowing how to trade is THE FASTEST WAY TO BREAK YOUR ACCOUNT!!!! ;)
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