Tuesday, September 25, 2007

LIVE trading journal for 9/25: Trade Plan

As I have mentioned in wallsteak, I closed the rest of my BIDU position today at $296 because my assessment of the situation was that $300 might be too much for this stock to take. I have been proven wrong but I have executed the trade based on my risk/reward assessment at the time.

I sold half of my GOOG position as well as most of my CALL option contracts last Friday when it hit $560 because my assessment was that it will move sideways for a few days before it hits $600. Going sideways will deflate the option price due to the drop in the volatility premium priced into the option contracts.

I also sold some of my positions in the solar and shipper sectors to protect the gain and used the money to load up on AAPL GRMN AMZN and SNCR.

The market might go sideways or pullback for the next few days which should be healthy and constructive before it moves higher.


Ragin' Cajun said...

Thanks for the charts. I love your style of trading.

Time Is Money said...

hi pinoy. check out that h&s formation in IBM.