The Nasdaq fell from 2698 at the opening on Monday to 2562 at the close of Friday.
The S&P 500 fell from 1541 at the opening on Monday to 1458 at the close of Friday.
It was not pretty to be sure, nevertheless, I had the best week in my trading since the 1990's. Was I bearish? loaded with puts? Not really. I was trading PCCRC's mostly. I had also some bearish positions that I picked using my Elliott wave candidate selection, but the most money I made was with my PCCRC's. How? Volatility of course!
Those of you who got my disks, have already seen that this is real. In my disks I am not content with telling you some Wall Street clichets like "buy low sell high" or "the trend is your friend until the end". By the way, is the trend over? To be honest I don't know for sure and truly I don't care. No, I am not Delta-Neutral, my trades are most profitable with big moves in the market, but I make good money, even if the stock in question stands still.
I like to say that my trades are like carriages driven by three horses named Delta, Theta and Vega. IF one tires, the other pick up the slack. That sounds like another clichet, but in my disks I teach it all. In fact, less than a month ago, I started placing trades in a fictitious account of $100,000. That account has now appreciated to more than $108,000. How could you be sure?
Here it is:
Yes, INDEED, the account actually grew this week.
What you need to learn is all in this blog, hundreds of small articles by now. But wait, you could also get the Videos disks! The comments from people that got them are quite convincing that the disks are detailed, and despite my accent, very easily understood. The subject matter is complex to be sure, but I have made every effort to teach it so that anyone can follow, if they do some basic homework on options and the markets in general.
I have also now created a private Blog for my friends that have acquired the Disks. In this private blog, I will place follow up, real time videos showing with real time examples how my PCCRCs work and how I can modify them.
Finally, I am doing this because my goal is to share my knowledge freely and because I want you to "pay it forward" by doing something really great for three other people in your life. Preferably a complete stranger. This will send good will through the world. Once you have done this, request that the recipient of your effort, also pay it forward.
Please send me an e-mail entitled "about your DVD's". Once you have had a chance to study the DVD's, you will receive an invitation to join my private blog where you could freely download my video clips going foward, with prospective trades. All that I will ask is that you share the cost of band width.
Good trading.
3 comments:
Hi again,
In the paper trade account, we will not have any problem to fill the contracts. However in our real market, we may have some difficulties to fill it. Imagine the OI for Jan 08 is only 10, do we still trade it? Do we need to check the Open Interest before we enter the trade?
Happy trading
Be sure to elect liquid markets.
If you follow the rule to only trade PCCRC's if the underlying has traded an average of 1,000,000 shares a day over the last 3 months (90 days), then you'd have not problem having your positions filled. Note that I say average volume over the last 90 days, and not volume in the last trading day. You can get this information at Yahoo.com. specifically, at Yahoo financial.
Here is AAPL for example.
http://finance.yahoo.com/q?s=AAPL
Yesterday, CMG came out as a possible candidate for a PCCRC, but the Avg Vol (3m) was less than 600,000 shares traded on the average over the last 3 months. You are going to have a hard time getting in and out of this position. With AAPL, should be no problem.
hi again,
do we need to monitor the Open interest?
happy trading
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