February 28, 2008
Bought 1 contract, April CALL, Strike $180, @ $9.80 as a pure speculation.
The basic idea is to play GS into March earnings. With the Fed’s accomodative monetary posture, Bank’s, can improve their earnings.
Speculators, might bid GS [into earnings at least] back to the $200/share range.
February 28, 2008
Well it came hard and fast, just hesitated a heartbeat…just in case, then pure momentum, closed at yesterday’s support level.
February 27, 2008
With the strong rally/trend today, I’ll be looking for a SHORT entry near or at tomorrow’s OPEN.
However, the trend in the short term, leading into earnings has changed from bearish to bullish. I may well consider purchasing a CALL Option into earnings [estimated @ 17 March-28 March]
With the Fed. so accomodative with monetary policy, the bank’s have an opportunity to mend their Balance Sheets [I'll write a post on how this works]
The MACD confirms the Quant algorithm. The problem is that I really don’t know how accurate, robust, correlated they are over a timeframe greater than a few hours, hence a CALL Option as a pure speculation.
February 27, 2008
Well the entry trade that I did take, was clearly signalled by the MACD @ the Open. Trading up to $176+ pretty fast…which was where the pullback occurred, then fast up to $178′ish which was my exit point, although I bailed a little earlier.
The MACD was also pretty good for the pullback that I paper-traded in real time, although I would have been probably stopped out…I wouldn’t have sat through a $1.04/share drawdown. However, I would have tried again.
While I expected GS to be strong today, I didn’t expect such a strong move to the upside. I’ll provide tomorrows analysis a little later today.
February 27, 2008
Cover @ $178.10
Well, the timing was horrible, you would have endured a nasty drawdown $1.04/share, or been stopped out.
After looking at the outcome, I made a couple of adjustments, next time I’ll see if the *timing* improves at all.
February 27, 2008
Get short [not a trade] @ $179.10
Target $176′ish
February 27, 2008
This is the easiest set-up for me to trade. The trade was confirmed by the three criteria that I require to enter a trade, the MACD [pictured] being one of them.
I must admit the first pullback had me holding my breath for a moment, but here is the MAIN ADVANTAGE of trading one stock exclusively, this is a perfectly normal pullback for GS…prior to some refinements, this would have been my entry point, with a stop below the opening low.
Exited at my target, actually a fraction below, but, pretty damn close. Finished for the day.
February 26, 2008
Well the analysis was pretty close to what actually played out today. The Open analysis was incorrect, however as I play an OPG strategy, it was the easiest and least stressful trade of the day.
There was an excellent entry opportunity that I posted in real time on the blog, although I didn’t trade it. The close today will [should] make for some good trades tomorrow. I’ll have the analysis up a little later.
February 26, 2008
Cover shorts here @ $175.30
February 26, 2008
Watching the screens at 13.10pm and it look’s like reversal time. Not taking any trades, but, this looks like a potential short area @ $177.30
