Trading stocks aggressively does not mean pushing to the limit or trading every day.
YOU could simply track a trend of a stock and play it accordingly.
I have done this with Ibm and Rgr for years.
Recently, there was a nice drop in the dow from June to July.
I have found this trend with regularity, and you would too if you had tracked the Dow year to year as I have done.
With Ibm I bought the leap put in june wibmb a jan 2010 110 strike stock option.
when Ibm was around 125 I paid around 900 a contract.
at 118 the option was worth around 1000 a contract.
I got out and waited for the bottom.
Then I bought the wibah jan 2010 leap call for about 900 and sold again for about 1000, when Ibm hit 123
At the same time rgr went down to 6.00 a share and I bought 1000 shares.
my sell order was entered for 6.25cents and out, good till cancel.
even though rgr went up to 7.80, IT DID NOT MATTER.
I made my 25cents or 250 gross 220 net again for the 12th time since jan 08.
ie I was up 2700 on a 6-7k investment. or almost 45%. Thats both very agressive as well as conservative and safe, to me.
A day after rgr hit 7.80 it had a 2 buck tank and went to 5.61. And boy was I kicking myself as I was gonna short 500 shares.
but instead I bought my 1000 shares at 579 and got out at 5.99.
and when she pulled back to 5.72, two days later,I bought again and got out 2 days after for 5.97
As of 8/1/08 rgr is at 6 and I am up another 400 and waiting for the next traditional dow drop from mid aug throug late sept.
track my trends back 10 years. SEE IF YOU SEE WHAT I DO.
Good Luck
Saturday, August 2, 2008
Stock Trading ,Trading Agressively to win
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