Season's Greetings!

A World Record for Manny Pacquiao

Manny "PacMan" Pacquiao, the Philippines sensational boxer won his seventh title in seven weight classes and made history to become the first fighter to achieve such stature. Manny has proven once again that he is the best pound-for-pound boxer in the world.

Manny Pacquiao hammers Miguel Cotto, of Puerto Rico, against the ropes during their WBO welterweight boxing title fight saturday November 14, 2009 at MGM Hotel, Las Vegas (AP Photo/Mark J. Terrill)

Trading Accounts Update

I've finally closed my Scottrade and Ameritrade accounts. My plan is to open a new account on one of those direct access brokers. I am in the process of asking lots of questions on a bunch of them and will decide soon. I'm also looking into the possibility of joining a prop firms as this will allow me to put up a much lower capital.

I will keep you posted us usual.

Doji Candle on Market Averages

The major market averages printed a doji today. Some even printed a longer top wick. Is this an omen of a high probability near term corrections? Maybe...Perhaps? Personally, I don't know we can guess or predict all we want but that's a futile exercise IMHO. I've done it before and it feels good from time to time. An ego booster. Something you brag to friends " I told you so..."

I've long learned that either way as an astute trader/investor the best way to deal with any market action is to be quick to adapt on any changes. Its always beneficial to avoid any form of biases. I find it much better to just observe and be ready for the coming opportunities. This way you will be faster to go with the market flow because your mind does not have any particular notions. You will find yourself agile. No open position at present.

RBY and SJM Sold

Sold 75 shares of SJM at $52.97 for a gain of +$109.00 including commission.

Sold 700 shares of RBY at $3.66 for a loss of -$55.00 including commission.

I was planning to stay a bit longer with these long trades but I need to close my trading account which are at TD and Scottrade in order to meet my timetable. I will be opening a new one sometime next month. Have nice weekend!

PBR Sold Near Resistance

Stockchart.com is out of service, so I'm using BigChart.com I've closed my PBR trade at $43.45 for a gain of +$334.00 the stock is hitting some resistance and may pullback within the $42 level.

Baby Calista, Baby Mine

Here is a collection of photos made into a beautiful slide show by Evelyn for baby Calista. Background music was from a song entitled "Baby Mine" by Allison Krauss.

If your internet browsers are Internet Explorer or Google Chrome please use this link to view the slide show correctly, Baby mine, Baby Calista. Users of Mozilla Firefox should be fine. I hope you'll like it. Our friends in the USA, Happy Labor Day Weekend!

Long RBY

Rubicon Minerals Corporation (RBY) broke out of its base last Wednesday on good very high volume indicating bulls were in control. Thursday the stock printed a doji candle on its first day of pullback volume also shows buying support. This Friday RBY opened within the previous day level of around 3.60 its price action stayed above that level and managed to closed higher.

Gold have been on tier recently and this company is following along. I also like the stock's three month long base and the heavy volume during breakout. Bought 700 shares at $3.74 commission fees included.

Happy Labor Day Weekend!

PBR and SJM Long

The setup SJM is in an uptrend. The stock gaps up and filled the gap after four consecutive down bars. Then the stock trade sideways for another five days breaking thru the 10MA and 21EMA. Today a hammer was formed and close the day above the 34EMA. Notice that an uptrending trendline have also converged to meet the 34 EMA and the lows of the day. This is a bullish sign.

Bought 75 shares of SJM for $51.51 including commission. Stop at $50.46

The chart of PBR is extremely oversold. The candlestick yesterday is considered a COG (changing of the guard from Oliver Velez trading book) the price close the day in positive territory. Volume is also fine. A resistance around the 41 area will be tested soon price action today was not enough but it was able to close above its low on good trading volume. Bear has some strength left but its weakening.

Bought 100 shares of PBR yesterday at $40.04 commission included. Stop at $38.61

SPY chart

The chart of SPY does not look good for the bulls but its only one day so we will see how things develop. Trading volume was also heavy adding strength to the downward move. Other market ETFs were also in the same scenario.

Note to that SPY is having problem overcoming the 50% fib lines for a while and if price break below 100 and specially below 95 this will signals the bears are gaining momentum. I'll be watching these levels of support refer to the weekly chart below.

SDS closed

This trade have shown my biggest trading mistake "not selling immediately when proven wrong" I was stubborn and refuse to take my losses. The same thing happened with my AAPL put position these trades showed my lack of discipline and a not following my trade plan. The result is devastating almost 100% of my gains since April have been evaporated. A very expensive lesson that should not be repeated at all cost!

I sold my 100 shares of SDS this morning on the bounce at $45.36 price have been adjusted to include broker fees for a -$619.00 total loss. I was about to hold it one more night but I changed my mind I think selling it will give me a brand new slate. And if price move up tomorrow I can choose to buy SDS intraday dip. The best thing is that I'm free from any overnight uncertainty.

A new life, A gift from God

Welcome to the world!
Baby Calista Marqui So Infante!
Born: August 08, 2009, Manila Philippines
Congratulations to Mommy Vanessa and Daddy Mark!

Changes are coming

It has been more than two weeks since my last posting, I am busy at the moment for something else, yeah, related to trading of course :-) There are major decisions that needs to be finalized regarding my trading business.

Rest assured that I will report my performance from last month to square off everything. BTW, I'm still holding SDS. I know market have been rippin' higher lately that's fine there are more of those to come. I'm staying in the sidelines for now.

Changes are coming to this blog. Details will soon follow. Have a nice weekend!

Day Trading

Today I tried my hand day trading Biocryst Pharmaceuticals (BCRX). Entered on 11:20AM ET trend line break of the 10 minute chart at 9.27 the next candle failed to make above this price break. Since then the price move downward I've have enough so I've exited after two hours at 9.10 a total loss of -$82.00 including trade fees.

This month is a clear red ink as I've made poor picks, no concrete discipline, and weak trading management. Add to this my adventure to the option market have drown me more. I'm still holding my position on SDS this might be another big mistake in the making. Oh well...

Sold AAPL, 155AUG Put

This is a good example of a trader (me) who have forgotten his discipline and have been too stubborn to admit his mistakes. I opened a Put position in AAPL without researching/reading the latest news that Apple was about to report its earnings. The morning of the announcement the stock showed some weakness and I thought the trade would work in my favor. It was if I did get out that day. But I was so confident and did not even bother to research. After market Apple reported a 15% increased in profits and the stock shoot up rapidly.

I was caught and was frozen the following day. I'd like to sell its the right thing to do but my ego is telling me to brave it out. So, I did for four consecutive days I've been watching AAPL moving up in price despite of being too overbought.

Last Friday I can't take it anymore, I have to stop the bleeding and protect my capital. I sold my one Aug155 Put position in AAPL for $3.15 for a loss of -$565.50 including trade fees.

Apple Quick Updates

Just read the earnings announcement from Apple. The company's profit is up 15% and Steve Jobs is back all these are good news. Stock is up big in extended trading really bad to my put options. Next time, I'll make sure to check the earnings date its a big mistake to take position before the announcement.

SPY Softening

The SPY is hitting supply at around the 96 area note also that the price actions are in the lower range of the bar. Trading volume is not there yet but may accumulate in the days ahead. We may see further weakening in the SPY as major averages are very overbought.

The above condition present an opportunity to trade SPY using the Ultra Short SDS. I bought 100 shares at a cost basis of $51.55 including commission.

A blog for Persy

My wife, Evelyn and Ate Nori created a blog for Ate Persy. In here we are inviting our friends and colleagues to read, send messages, or just be with us as we remembers the good life and our many memoirs with our dear Persy.

Please click this link "in memory of Persy So"

Shorting AAPL via Aug155 Put

Well here's a chart of AAPL. Its exhibiting a very overbought condition, I'm taking an early shot here by opening a put options. Bought, one contract AAPL, Aug155 Put @ $8.55 plus $10.75 commission. I consider this probing- 1 contract will not hurt if the stock continue to move up.

Watching the Proxies

I'm in the sidelines for now watching the major indices through its proxies. Prices are very close to the nearby resistance and I'd like to see how price will behave near or within their supply levels. Note that DIA, SPY and QQQQ are all above their 200MA and also above their 20 and 34 EMA.

Among the three proxies the QQQQ is the strongest but all three are exhibiting overbought conditions. I have a watch list of stocks both long and short, just waiting to strike when high probability situation arises.

Let's make this a profitable week.

ARUN Trade Sold

Profit target was hit for ARUN today. Sold my 300 shares at $8.52 for a gain of +$181.00 less broker's commission.

Major indices are very near their respective resistance levels and price actions are flashing near term over bought condition. These are quite "textbook obvious" but be warned that it will not necessarily happen as you might expect. Give it time, observe how the market will play out next week. The thing to remember is that we, as a market player should be quick to adapt for any market changes and be able to adjust our game plan accordingly.

Enjoy your weekend!

CAR Sold

Just a quick update my automatic stop to sell 300 shares of CAR was triggered at $6.23 for a loss of -$59.00 including commission.

I'm holding ARUN for now. Have a nice day folks!

CAR, Intraday to Swing Trade

This trade was intended to be an intraday only (using 10Min chart) but for some reason I'm not really sure... I've decided to hold my position. Because I strayed away from my initial plan, I'm now at the mercy of the overall market. The trade becomes high risk. Duh!

Based on the daily chart CAR is within the over bought area. A pullback might be in the offing making position management quite difficult. Here are my options for tomorrow sell on the first sign of strength or be ready to accept some form of losses.

Bought 300 shares with a cost basis of $6.40 including broker's commission. Still holding ARUN.

Long ARUN

This is my first July swing trade, bought 300 shares of ARUN for $7.89 including broker's commission. Profit target is around $8.50-8.75 level.

Head and Shoulder on Major Markets

Here are the charts of the major market proxies, namely DIA, SPY and QQQQ notice the head and shoulder formation on their respective chart? This pattern usually indicates a near term top. We do not know yet if this topping formation will materialize we are waiting for further confirmation from this week's price actions. At this moment the proxies are quite oversold and a bounce are very possible.

One thing though, the present situation requires adjustment on my trading plan. I can choose to play/buy the bounce (snapback) from here but I'll be lowering my usual number of shares and will aim for a lesser profit. Or, I could stay in the sidelines and wait for a clear trend since the action from here on might be a bit volatile. I'll be really picky in case I buy on this dip.

A brief notes are included below as my overall reminder for this week.

The QQQQ is now below the 50MA and the H&S neckline have been broken. The RSI, Stoch, and MACD are all pointing down. The slope of the 20MA is down.

The price on SPY is below the 50MA. The shorterm 20MA, blue line have crossed over to the 50MA and the H&S neckline have been broken. Trendlines on Stoch, and MACD are all pointing down.

The 20MA, blue line on DIA have crossed over to the 50MA and the H&S neckline have been broken. Price is trading below the 50MA. Blue trendlines on Stoch, and MACD are all pointing down. However, the stochastic indicator on each of these ETFs are in the oversold level. Be extra careful tho the overall state of the market is weakening.

Performance: Month of June

Trading Summary for the Month of June

Total Number of Trades: 4

Number of Long Trades: 2

Number of Short Trades: 2

Total Number of Winning Trades: 2

Total Number of Losing Trades: 2

Total Net Gain after commission: +$212.00

Total Net Loss after commission: -$118.40

We're Back...

We have arrived last Wednesday, July 8 at around 8:00 pm, yeah, still in low batt mode and adjusting with our sleep. Lots of little chores here and there are needed to be done before going back to work this Monday. We are feeling quite exhausted with sudden burst of loneliness, I know one day at a time things will get better soon.

To all our relatives, family friends, Ate Persy's classmates, and UN colleagues, we thank you for your symphaties and prayers. Your loving care have strengthen our family and with God's blessing everything we will be fine.

Quick Update

We are still in Manila with our families and friends. Today, I was able to check my standing order for my QQQQ position. I have found out that my sell order was triggered last June 19, sold 80 shares at $36.25 a net loss of -$62.40 including commissions.

This is my last position and will not trade until after July 8. Trade well my trader friends.

My Sister, My Friend, My Hero

These are my wife's words dedicated to her loving sister, Perseveranda So, whose untimely demise from the massive blast at Pearl Continental Hotel in Peshawar, Pakistan last Tuesday, June 09 have brought our families sadness and grief.

We lost a very passionate and caring person, Ate Persy whose active dedication to help children ensure their rights to education irrespective of their race, color, and creed. This heinous act ended her precious life but her noble work shall continue stronger than ever. The forces of evil will not prevail.

Ate Persy, we love you very much. We will never forget you.

Perseveranda So (1956-2009)

UNICEF Chief of Education, Pakistan

“While I always try to take personal safety and precautions, I also know that a determined suicide bomber or kidnapper cannot be stopped. I take time to remember that "Safety is not the absence of danger, but the presence of God". This gives me great comfort when I start feeling afraid of the situation here.”

Ate Persy's email to a friend last April

Sold REDF, FAX, and FITB

Me and my wife is going back home to be with our family more details on this on an upcoming post. I'm so busy right now preparing for our trip and dealing with office matters I just want a quick update, I've sold the following stocks:

REDF, 300 shares for $3.45 for a net loss of -$56.00

FAX, 300 shares for $5.61 for a net gain of +$34.00

FITB, 300 shares for $7.70 for a net gain of +$178.00

I'm so thankful that I've managed to eke out some gains overall. Two of these trades REDF and FAX are problematic from the beginning due to entries being hit not according to my plan. I still have one position QQQQ, I'm trailing it with a stop.

Shooting Qs From The Hip

Ok, I have entered QQQQ today, intra day using the 10 minute chart. I don't know, I consider this "shooting from the hip trade". My number of shares are not enough to gain reasonable profit from intraday moves. I'm not proud of it I was even thinking of just scratching the trade before the market closes but the QQQQ have managed to consolidate from 36.50 to 36.70 there's an intra-day support around this area. I only have 80 shares so we'll see what will happen come Monday. But this is the type of trade I should not do again!

Still holding REDF, FITB and FAX.

Have a nice weekend.

Chart courtesy of FreeStockCharts.com

Swing Trades Update

I'm long these three stocks:

FITB, 300 shares at $7.06

FAX, 300 shares at $5.45

REDF. 300 shares at $3.59

A Reply From Scottrade

Yesterday I got an email reply from a Scottrade representative explaining their side regarding what have happened to my REDF buy stop order. In the spirit of transparency I'm publishing their email so you have the opportunity to read their explanation.  Names have been omitted for privacy.

Dear :

Thank you for your e-mail. We have reviewed the order in your *****0 account and determined that the order was filled appropriately. On 6/3/09, you submitted a buy stop order for 300 shares of REDF, with a stop price of $3.75, good for the day, at 01:00:19 ET (Order ID # XADED2E).

Please note that a stop order can be triggered if the Bid or Ask price reaches the stated stop price. It is not required that the security actually trade at the stated stop price for the order to trigger.

As shown in the Time & Sales detail below, REDF opened at 09:30:04 ET with an Ask price of $3.91. The opening Ask price triggered your stop order and it was routed to the market center as a Market buy order. The order was filled at the available price of $3.59 at that time.

Date   Time       X  Volume  Price  VWAP   Bid Bid ID   Ask Ask ID  Size Cond Corr# Seq# 
06/03  09:30:51 K   300      3.59   3.5524                                                            30692 
06/03  09:30:49                                      3.45Q        3.59Q         10x1    
06/03  09:30:47                                      3.45Q        3.60P          10x1    
06/03  09:30:14                                      3.45Q        3.61W         10x1    
06/03  09:30:13                                      3.45Q        3.62Q         10x10    
06/03  09:30:09                                      3.45Q        3.61Q          10x1    
06/03  09:30:04                                      3.45Q        3.62Q          10x10    
06/03  09:30:04                                      3.45Q        3.91P          10x15    
06/03  09:30:04 Q   110      3.45   3.4500                                            AGX          20914 

Please let us know if you have any questions.

Regards,

National Service Center, Scottrade Inc.

When this type of situation happens there's no way for a regular trader like me to see what's really going on with the price action during that particular trading time. The price 3.91 did not got printed in the price bar of the day. Nonetheless, I appreciate Scottrade's prompt reply. 

The Market Proxies

Looking at the four major market proxies, DIA, SPY, MDY, QQQQ you will see a common scenario, the previous resistance have now become support as pointed by the green arrows. 

Today's closing prices with the exception of the QQQQ have come near or have touched support the blue lines this is the "test", next we need to see prices continue to bounce from this area to be able to resume the uptrend. 

A bearish leaning scenario would be the price fails and break support then we may see a probable sideways trading action that could revisit the May lows. Before this thing could happen I'm already out of my swing position.

Disappointed with Scottrade

Checked my trading account today and guess what…Scottrade have executed my REDF buy stop order at $3.59 for 300 shares…What a heck!!!! I'm very disappointed, I've called Scottrade and asked why this happened because the price high at the time (around 8:55AM, Pacific) is $3.610 why and how the buy stop order got triggered. I have a pleasant conversation with them but I'm still not fully convinced with their representative’s explanation. I still want more details because my hard earned money is on the line. This should not happen in the first place, so I’ve sent them my email below.

Hi,

Would you please send me an explanation about what have happened how my Buy Stop Order to buy REDF at $3.75 got triggered at $3.59?

The highest price was recorded at $3.61 according to your detailed price quote (reference time 8:55AM Pacific Time). I use “buy stop” because I do not have time to watch the screen and it is designed to help trader enter only on their target points.

Kindly, send me your explanation why and how this thing have happened and give me all the details. Thank you.

I really hope Scottrade will reply immediately and do something to correct this issue. I know I’m just a very small client but if this thing happens to me then most likely it may have happen to hundreds if not thousands of Scottrade clients.

Let me know if any of you have experience the same problem with this online broker.We should voice out this problem and demand every online brokers for an effective and prompt solution.

Stalking REDF

I've placed a stop order, to buy 300 shares of REDF at the $3.75 level, I like the narrow bar (NRB) candle that have formed today very near the 12MA. This is a low risk long trade potential with a sell stop at around the $3.20 area.

Update: Still holding my long position on FITB and FAX

Swing Trading FITB and the Scottrade issue on FAX

My buy stop order for FITB was triggered at $7.06 and I have no problem with that the issue I have was my buy stop order with FAX which I pegged at $5.60 I was surprised to learn that the order got triggered at $5.45 should I be happy I got in with a discount? No! My game plan is to only enter long, if the stock trade above Friday's close around the $5.60 area. I called Scottrade and complained but I was told that my order was a limit order not a buy stop order. I can't prove my order but I firmly believe I did place a buy stop not a buy limit! Anyway, I'll just have to manage the FAX trade carefully as it cannot be undone.

Watchlist for Monday

These are the three stocks, I'll be stalking tomorrow. I've already placed an automatic buy order that will execute if my conditions are met.

THC - Buying on pullback at $3.45
FITB - Forming a bull flag, entry point is just above Friday's high at $7.00
FAX - Latest volume was good. I'll be buying long above Friday's high at $5.60

I don't have time to attach charts its already late, need to go to sleep. Good luck!

Performance: Month of May

Trading Summary for the Month of May

Total Number of Trades: 8

Number of Long Trades: 7

Number of Short Trades: 1

Total Number of Winning Trades: 7

Total Number of Losing Trades: 1

Total Net Gain after commission: +$786.00

Total Net Loss after commission: -$18.00

In the Sidelines

Early this week we encountered a major issue with one of our clients in New York. This is one of our high end client and my team have been assigned to prioritize their project. It has been really hectic for several days, spending long hours of work just to be rejected and back to start again. We are now asking assistance from our outside partners hope this thing will be over soon. Its quite so hard to please a client sometimes. When things like this happen I usually don't trade because if I do I usually end up losing money.

I'm in the process of tallying my trades for the month of May. I'll post it later on. Enjoy your weekend!

Buy to Cover APOL

Buy to cover order was triggered this morning as the market lifts up APOL from Friday's lower closing price. I'm out at $62.05 and have managed to eke out a net gain of +$1.00 after commission. I'm happy, I was able to squeeze a small drop it does help the bottom line lol!

LP Momo: Watchlist Week of May 26-29

The LP Momo Watchlist for the week. Mostly volatile and good for short term trading only. Do not chase these stocks wait for better entries, exercise caution, and lots of patience. Always use protective stop.

APOL Short Update

I'm still holding my short position in APOL (Apollo Group, Inc.) I like the price action in the past several days its showing lower lows indicating weakness. If this stock violate the lows of today (Friday) registered at $60.80 we may see APOL to further decline near the $58-59 area that would be my ideal place to take profit. FYI...my BDX sell short order did not trigger.

HAPPY MEMORIAL DAY WEEKEND!!!

Sold LNET

The major averages are not in a good mood its time to stay in the sidelines for the time being or go shorts. Its also prudent to grab your gains before the market take it back. I've sold 300 shares of LNET at $5.44 for a net gain of +$220.00 after commission.

Watching BDX for Short Ops

Here is the chart of BDX (Becton Dickinson and Co.), the stock has failed to overcome supply (resistance). The price action is demonstrating a series of lower highs in other words a downtrend. Heavy volume on distribution days and light on buy days all these are pointing to a high probability much lower prices ahead. My game plan is to enter short at the break of yesterday's closing price which is around the $64.50 level.

Existing Swing Trades LNET and APOL

I’m still holding these two positions, one long and one short my game plan is to trail them and let the market take me out hopefully with nice gains. Here are the charts of LNET and APOL.

Sold ADCT

Sold 300 shares of ADCT at $7.00 for a net gain of +$76.00 after commission. I decided to exit now due to the fact that this stock is a bit slow it was down for several days which made it oversold and then bounces another good move but there is no strong follow through. The stock will push higher only to give it back the next day. A good example was yesterday, Tuesday when ADCT almost gave back all of Monday's gain. I also don't trust that wide red candle and the moving average (blue line) hugging the price in a downward sloping action. The best move is to get out asap!

Sold ODP

Sold 500 shares of Office Depot, Inc. (ODP) at $3.54 for a net gain of +$161.00 after broker's commission. Today was a good day overall :-)

Shorted APOL

My sell short order for 20 shares of APOL was triggered at $63.10 target is around the $61.50 to $60.50 area.

Buy to Cover ABT

Bought back 60 shares of ABT at $43.10 including broker's commission the this trade has a net gain of +$88.00

LP Momo: Short List for the Week of May 18 to 22

I'll be watching these two stocks APOL and BDX for a short trading opportunity. They look ready to roll over specially if the market fails to resume its upleg. Let the stock move past the lows of Friday before considering to enter and set your stop accordingly. 

The Illustrated Story of the Credit Crisis

This beautiful animation was created by Jonathan Jarvis as part of his thesis for his Media Design Program at the Art Center College of Design in Pasadena, California. Jonathan's artwork have achieved to simplify the complex story of the Credit Crisis in such a creative way that is clear and easy to understand. He was able to free those people like me who hates reading thick and boring financial books.

I encourage you to visit his website at jonathanjarvis.com to further explore more of his creative works and his effective use of new media to express, understand, and submerge with our complex world.

Changing of the Guard (COG)

Three days of pullback and today the major indexes DJ-30, SP-500, and Nasdaq Composite has closed in positive territory producing a "narrow bar' within the support level (demand). This is a good sign for a possible leg up.

Shorted ABT

Abbott Laboratories (ABT) was from last night's short list, my order to sell short 60 shares was triggered at $44.90 target is around 43.50 area.

Swing Trading ODP and ADCT

I have two buy stop orders, ODP and ADCT they were triggered after these stocks moved past above yesterday's high. Here are the trade details 500 shares of ODP at $3.19 and 300 shares of ADCT at $6.70

LP Momo Short List

The following stocks are possible short trading opportunities. Trade well and honor your protective stop. 

Resistance Area

Its happening the overall market is pulling back from weeks of up trending move. I have been anticipating this to happen but also cognizant that the market can continue to be overbought much longer if it wants to. No human being one can control that.

We are not sure how long this pullback will last so be careful let the market show its hands. The major indexes DJIA and SP-500 are below the 200 day moving average. The Nasdaq Composite has tried but failed to overcome that average. If the market can able to resume its up trend there will be a lot of set-up for low risk long trades.

For the now exercise patience and remember the big picture remains the same the overall market is still under a longer term down trend.