Tuesday, August 19, 2008

Recalibrating my Stops.

I am adjusting my stops up on some current positions. Some readers may ask why. Fair enough question. Well, I hate, absolutely just hate, no check that, despise letting a winner turn into a loser! I also am trying to have some conviction in my chart reading (or lack thereof) abilities and give my positions some room to move, with some accommodation for da boyz on the floor and in hedge fund world to play their daily ram job games.

You see, leverage lets you do this and can make the moves very violent and more importantly short lived. I have a friend who has been fading these intra day breakouts and breakdowns and been quite successful at it, as da boyz gun all the stop losses underneath and above certain levels, only to run it back the opposite way later. Fraudulent you say? Well, don't hold your breath waiting for Chris Cox and the Keystone Cops over at the SEC to do anything about it. They are much more concerned with matters of more import. As a matter of fact I hear they are on a major man hunt for the short selling manipulators who are crushing the crude oil market right now ! Egged on by the Cheerleaders at CNBC. The whole situation would be comical if was not such a serious matter with the rest of the globe watching.

This process of stop adjustment, helps preserve my physical capital ($$$) and more importantly more my mental capital. Therefore I am doing the following housekeeping;

I am moving my stop up on my 2 unit long DBA position to $34.79

I am moving my stop up on my 2 unit long XTO position to $44.48

I am moving my stop up on my 1 unit long FXF position to $90.68

I am moving my stop down on my 1 unit short IBM position to $128.56

I am moving my stop down on my 3 unit short FDX position to $88.16

I am leaving my stop on 2 units short AAPL position alone for now.

I am moving my stop down on my 1 unit short BLK position to $218.26 for a risk free trade.

Good speculating to you all and never ever forget that "an investor is a speculator who made a mistake and will not admit it".

Open Positions:
Long 2 units of Powershare Agriculture ticker DBA @ $35.35 stop $34.79
Long 2 units of XTO Energy ticker XTO @ $45.40 stop at $44.48
Long 1 unit Currencyshare SwissFranc ticker FXF @ $92.70 stop at $90.68
Short 1 unit Int'l Bus Machines ticker IBM @ $129.05 stop at $128.56
Short 3 units FedEx ticker FDX @ $87.10 stop at $88.16
Short 2 units of Apple ticker AAPL @ $178.05 stop at $182.76
Short 1 unit Blackrock ticker BLK @ $218.50 stop at $218.126

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