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Tuesday, July 28, 2009

Zero activity...options?

This is not what I am used to, zero activity. I placed the orders for PXP...that's it.

I am normally quite active during the day, or at some point in the day, researching, studying, trading... this feels more like babysitting.

Now, I have all my charts printed for quick reference...not that I need quick reference, all my orders are in, my positions have stops, I caught up on my reading... now is just the waiting while I see if positions get stopped or orders get filled.

I should perhaps setup a spreadsheet to track my trades to not include anything prior to my current criteria. I might do a Google doc as it will not have much traffic so the slow update time will not be an option...and I won't have to remember to load the changed sheet all the time. I was going to, and did start, an automatic order and stop filling sheet but with all this extra time and no real need for fast throughput I likely won't waste the time finishing it. I was having trouble with the nested logic statements to accommodate the $20 transition to 50cent increments anyway.

If this monotony is going to be a regular thing, as well as having extra buying power available due to not as many orders in play I think I may look into trading "in the money" options as well. I will wait to see if my P&F chart trading works first though. Of course, I could use the same charting to trade those options as well...now there is an interesting thought...P&F charting in order to play options instead of stocks. Less capital needed, stay away from the extrinsically valued options and just trade the highly correlated, long term, in the money options.

I did investigate options in the past but considered them useless for my purposes as I needed to be able to make stock "predictions" in order for the option trading to be of value. I also know more about option trading now than I did then.

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