July 17, 2008
Brilliant Boy Gets Back to Basics
Here’s a 15-minute chart of Wells Fargo (WFC), Wednesday’s stock du jour, with the Dummies spots clearly marked.
Over the last year, my idiotic investments in various financial sector stocks have cost me so much money (what’s the GDP of Guatemala?) that I am now forced to consider day trading again. I hope to visit Taiwan next month to consult with a spiritual master (yes, he has a long beard and lives in the mountains so you know he’s legit) who will tell me if this is a wise course or not.
I expect to be actively trading again in the fourth quarter of this year at the latest (yogi willing).
Cat: | Time: 6:14 pm (utc+8)
July 17th, 2008 at 6:23 pm
It will be nice for some of us to see you back in action.
July 17th, 2008 at 7:21 pm
What if master says that day trading is not doable?
July 17th, 2008 at 7:55 pm
Make sure to ask how the Box will be doing in Q4
Hope it’s good!
July 17th, 2008 at 8:45 pm
That’s some news.. Well welcome back.
P.S. This dummy finally managed to get some R’s on WFC yesterday. It ain’t easy these days.
July 17th, 2008 at 8:46 pm
Chairman,
you have a job in Beijing, do you?
You surely will have some decent trades in the future.
Don’t touch your retirement savings. Your could sell this site for a nice grubstake ;-)
Cheers,
Markus
July 17th, 2008 at 9:28 pm
@Anthony: It all depends on yogi.
@speed: The Master is a believer in abnormal returns.
@Houston: As you know, I’ll probably be handling the Box differently in Q4, maybe even keeping it to myself.
@eyal: Believe it when you see it, not before.
@Markus: I go to an office as a “consultant” which is a sort of job I suppose (doesn’t mean I work). Yes, I could sell this site for at least two or three thousand dollars, lol.
July 17th, 2008 at 10:03 pm
Yes! The Dummy is back! I can’t wait for the “usual suspects” and “unusual suspects” lists again!
July 17th, 2008 at 10:10 pm
steve: I’ll be keeping those to myself, I suspect.
July 18th, 2008 at 1:42 am
Actually Chairman should have done some E-mini trading in the morning session, when is the evening in Beijing time. Why not take the advantage of this great volatility? What I found is that dummy day trading style doesn’t do well as VIX>24, let along the stress of scanning the momentum stock and finding the perfect set up from tens of candidates. Index really offers tons of low risk and high reward opportunities these days.
July 18th, 2008 at 3:55 am
Maybe you should have consulted the yogi prior to making those investments.
July 18th, 2008 at 4:03 am
Welcome back Kotter theme song is ringing in my head.
July 18th, 2008 at 4:03 am
@speed: I think MaoXian might also get counsel from a higher power than spiritual master, the wife.
July 18th, 2008 at 5:09 am
welcome back to the fold chairman!
July 18th, 2008 at 5:25 am
I noticed those entry points weren’t based on “inside” bars………I guess with the stock ripping so much it was “close enough”.
Also, why wait til Q4? These conditions are excellent for daytrading. T is asleep by the time U.S. opens right? Why not “practice” with a small size? Just a thought. And Q4 will be rippin……..Consumer sentiment will turn on a dime on the 2nd wednesday in november…..get long MA on election day. As much as it pains me……..
July 18th, 2008 at 6:54 am
@kevin: Yes, I will be looking at the index futures as well as my old specialty: unusual suspects.
@The Guru: I made a series of stupid decisions where I thought I knew what I was doing but was obviously both out of my depth (Donny, you’re out of your element! — gratuitous Lebowski plug) and terribly naive.
@Zoomie & pinoy: Thanks, let’s cross out fingers about yogi’s decision.
@KC: Of course the Wife isn’t happy but she’ll come around.
@chad: Those are down bars, remember dummies get long above inside *and* down bars after impulsive moves up. I’m going to set things up so that Covestor can track my trades, and it takes me time to do anything so I made beginning of Q4 the goal (may be earlier).
July 18th, 2008 at 10:04 am
I’ve met a few masters, none of the good ones were at all interested in money :) I hope your master doesn’t live in a temple!
July 18th, 2008 at 11:28 am
Nik: No temple and of course he’s not interested in money, but he does help others find “peace” and the best “way” to approach life.
July 18th, 2008 at 11:37 am
I used to know this American guy living in Taiwan. He was a doctor, but he lived there so he could be close to his master who was some lofty Taoist priest in the mountains. He schooled me on some of the things he was taught. Are there alot of these wise Chinese men in Taiwan? How come I haven’t met any in mainland :(
July 18th, 2008 at 11:56 am
Nik: They don’t exist on the Mainland because the mountains here (every square inch) have been wired with speakers that blast Kenny G (as I’m sure you’re well aware).
July 18th, 2008 at 5:18 pm
Covestor? Do they have an automatic link to IB? I couldn’t find this info on their site.
Another option as you’re probably aware is Stocktickr.com Not sure if you’ve tried the plugin for IB, works nicely reading executions from TWS and posting them to your account with tags, day’s comments, R calculations, tons of performance reports etc.
July 18th, 2008 at 5:24 pm
eyal: I assume they have a link with IB (they have one with TradeStation I’m pretty sure). If they don’t, then I might consider the stocktickr route. The big thing is making sure that the record is public and accurate. :-)
July 28th, 2008 at 2:01 pm
Chairman, tradestation does work just fine with Covestor. I use it.
However, since Covestor doesn’t take into account your cash balance, their record of percentage gain/loss is very very off. Still, they do keep the track record of purchases/sales so one’s record is able to be figured accurately. You just can’t trust what they say is your return.
July 28th, 2008 at 2:52 pm
Woodshedder: Thanks for the report. I plan to post the results as I calculate them in addition to having Covestor follow things (be interesting to see how different they are). Of course once Covestor starts accepting options trades, the rankings are going to become meaningless.