Wednesday, November 02, 2005

Kinkos is why the words 'HATE' and 'Pissdom' exists...

...I won't go into it.

posted by Lockheed Hayheehoo Macedon @ 11:13 PM   2 comments

2 Comments:

At 4:19 PM, Anonymous Anonymous said...

Our computers are down right now.

 
At 2:36 AM, Anonymous Anonymous said...

Basically, this is what happened:

DNA had good news on it. The stock gapped up a full point, and then went on a chaotic run up. The run up worked the same way as yesterday. But at some point, it encountered what I call the "leap-frog" or "falling wall" tape pattern.

My mentors won't train me.

The way this pattern works is like this: There'll be a large, large seller. He will post his offer on the books. No one will hit it. Because no one hits it, he will split the offer into two pieces. He'll take each individual piece and have it leap-frog down in price.

Anyway, the falling-wall is a common tape pattern. Except, at some point down, along the way, buyers eventually eat up one of the blocks. When they do eat one of the blocks of the falling wall, a good play is to usually buy into the second component of the wall. The stock normally bursts through and gives you a bit of a profit. Especially on an up-day.

DNA, lately, however, has been exhibiting a different pattern. There's no shortage of sellers on the way to $95. After the second component of the wall shows up, the institutional players offload a ton of shares at that level and don't let a burst show up.

So, I wanted to take advantage of this pattern by shorting with a wider acceptable loss margin and hope for a half-point gain. I couldn't do it. It was just too damn scary, because the books were so thin and the volume was random and hidden. The only person who could have played something like this successfully would have been the specialist himself, knowing where the hidden volume was going to show up.

So I ate a ton of churn losses, and two big losses. The two big losses came from trading chaos improperly.

I tried ACI. ACI cut my losses in half, but then I ended up eating a few losers in ACI because I needed to cut my losses faster than I did.

Oh man.

I'm torn. Do I stick to the same tried and true patterns, or do I try new things? The opportunities for testing new strategies are very slim. The odds of DNA exhibiting the same pattern as this were so slim. I mean, what're the odds we'd see this happen twice?

Maybe I shouldn't hate myself for trying what I did. But I also realize I can make more $ on low-risk situations on more normal trading days over the long run.

It's just that CHAOS IS PROFITABLE. I just haven't been able to take advantage of it. It's really tearing me apart. There has to be some guy out there who's making a killing off of these setups, while I just sit back and see these things rocket up without any methodology to tap into the volatility.

Anyway

FUCK that guy who rolls your blog. He is a pussy. He has no balls.

Here is what I can’t understand, Lockheed. YOU. ARE. BRILLIANT. It must be psychology. Earn enough to retreat to the wilderness. Provide for her. Love her. This is what I dig. You have her, you’re conscious. You are down. I’m not going to make comfort, because comfort. I’m wasted Lockheed. I’m listening to the who!. RAPE the market and flee…My friend in special diplomatic force and he tells me: get gone: move to TX/Ak and learn to raise animals and grow greens. It’s very sad, but al queda is going to hit us. Meet me on those south plains, my friend. I LOVE THISE BLOG. TOU HAVE AN ALLIE OUT WEST. MUCH RESPECT.

 

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