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For All Your Investing Needs |
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Welcome to the Speculating Section of Options Realm |
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As I stated in my first article about speculating I am trying a new investing system that has to deal with trading into a trending stock. I have since sold out of my first position which was GTW for a 8.72% gain from March 6th to March 15th. The stock was sold because it hit the trailing stop that I hand put on the stock. I am now going to find two new stocks to try the system on. I doubt that this return % will continue to grew at such a high rate but I am interested to see how well this stock picking system turns out. I also wanted to take this time that since I entered into the GTW trade I have been thinking about how to alter the system so a computer would be able to run all of the stocks and pick out stocks that are in a trend. I am currently working with a friend of mine in developing the computer program that will conduct these scans. The plan is to have the computer find stocks that are currently in a trend so we will be able to the further investigate the stock and see if it fits into my criteria to enter into a trade. I am extremely excited about the computer program because it also allows me to back test the system in order to see what the optimal type of trend is. I will then be able to use stocks that are trending in a way that will maximize the gains that I see while hopefully limiting the downside of the trade. Once the computer model is up and running I will be able to test many different ideas based of off trending and how well it works with stocks. I am hoping to be able to develop the computer so I will be able to identify stocks that are trending up or down. I think this system can be especially valuable if I can get it to identify a stock that is in a down trend because from my trading experience in the past pin pointing a turn when a stock is trending down is much easier then picking the top. I am going to concluded this article by giving a brief overview on what my plans are for the rest of this week and also for what I plan on doing for the open on Monday. I am not going to enter into any trades tomorrow because I feel that it is unwise to hold a short term position over the weekend. For this reason I am going to spend tomorrow narrowing down my possible choices for the two stocks that I plan on purchasing on Monday. This means that over the weekend I will be updating this page with a new page that will have the possible positions that I will be buying on Monday. Since the newest updates for this project will always be posted on this page I am going to keep links to the old articles here. |
