Triggered by OPEC’s cut in oil production, all indexes dropped a lot. Although they were above or at support levels, the increased volume was troublesome.
EBAY hit the target @56 though the intraday high was 57.2. Left a lot of money on the table due to lack of time on watching the market closely.
Long: QQQ Oct 32 Puts, SNP (target 28 and trail 2), SUNW (trail 0.3) and MSFT SSF (target 31.5 and stop 28).
Tonight, ES moved between 1026.25 and 1025.25. Six round trips for 1.5 point. Each tick is $12.5 – $4.8 = $7.7. The commission cost is too high for this kind of scalping. However, it does not require much attention or time attending the scalping process. You can scalp it while reading a book or blog on the web:-)
EBAY intraday high was 57, but the sell order’s condition was not met. So I still long EBAY SSF. The order is changed to two market sell orders with the conditions of EBAY last price <= 54.5 or >= 56.1. The long tail on the candle looks bearish though, which is why the lower limit is set to 54.5. It’s hard to set trail stop on SSF since it’s not traded often, therefore, the trailing does not work.
Edit: Looking at the intraday chart, the 57 print was not shown there. It might be a misprint on other quote source.
I have been doing some experiment on scalping ES at night. The result has been great. All winners no loser. Most of time, ES does not move a lot. I guess it could move big if there’s news from other part of world where it’s daytime. I plan to write a program to automate the scalping.
EBAY: Target 56 and Stop raised from 50 to 52 since it moved in my favor (half point above break even point).
Slowly moving August is over. After this comming Labor Day week, trading volume should be picking up as traders return from their summer vacations. NASDAQ has reached new high and INDU and SPX are approaching its recent high respectively. All markets have done some base building, we will find out wheither or not they will break out or go down. Short term wise, it looks the market will move up a little. Short: QQQ Oct 32 Put (it’s not working obviously after QQQ’s big run up). Long: HNP (I have been waiting for opportunity to own some HNP shares), SUNW, SOHU and MSFT (SSF).