This page provides transcripts and keywords from some of our videos. The preferred way to see the videos is to go directly to our YouTube page. And see additional videos on our StockTwits page. These transcriptions and keywords are primarily aimed at helping you find a video using Google and other automated search tools.
Hi. It's Friday before Labor Day and I am continuing my serious of Trade Ideas and extracting alpha out of the market. Lets take a look at what we have here. I've shrunk down my P&L screen to fit more elements of viewing into my platform. Right now I am up $10,400 in these four positions. You noticed yesterday that i took half profit in my Microsoft position and I'm going to do the same thing today. I always like to take profits into momentum. It's one of the most difficult things to do because the greed makes you want to hold onto it but because I have made so many mistakes in my trading career, I now know better. Again, take the biggest position I have and pressing the half button making it 500 shares. The way we run the robot, we don't always show the realized P&L from positions that are carried over. The new version that will be changed. Back to what we are watching. I've just realized approximately 400 dollars and I still have about $10,200. So, we are doing pretty well. On the left hand side, you are watching my quant analytics tape reading window. This is giving you the subconscious visual feedback as to what is happening in the market right now. You can see that based on the tape, there is overwhelming sale pressure, and it goes back and forth. I've seen the position swing about 600 or 700 dollars every 10-15 minutes while I have been trading. So far, it's going in the direction I want. On the right hand side, you can see my open positions monitor and its helping me to watch the positions. I've just sold Microsoft into momentum and its continuing to go down. Remember, trading is an art form. It's impossible to always nail the top and the bottom, so you have to know ahead of time what is good enough for you and for me. For me, making 10k in two days is pretty good but I'm always looking to do better. The key is, as you are seeing it, take some of the money off of the table. That way you know if you have big pullbacks in the other direction, you've at least locked some of it in. I've added a couple more windows so you can see I'm not only monitoring my positions, I'm also watching for other opportunities. I have a window right here called "A Turnaround." What this window shows me is stocks turning around for whatever reason. You've seen me post positions before on Stocktwitz and Twitter and you've seen that I trade both sides of the market. I suggest you do that, if not, you are missing out. It's like playing golf with just one golf club; you have to have a variety into your game. I have a window and I'm ready to pounce on things, if I feel like its the right time and I'm getting those subconscious feelings. I want to elaborate on what I mean about the "subconscious"? This element right here, where is the stock in its position in the day, is telling me graphically are things on highs or on lows? This window is telling me where they are in yesterdays range. This window is telling me where they are in their 20 day range. So, I will give you an example. This one is on lows from yesterday and the middle of its range for the 20 day period, etc. What's happening is, while I can't consciously process this information one at a time, subconsciously I'm getting signals into my mind that's telling me the feeling of what its like to say, "Ok, I've got enough out of this run" OR "stay in it and capture more alpha." This is why I feel that this type of technology is a must. If you want to look at the next level stuff, this little window is watching every single entity in the market. The config window shows a lot of highs and lows. So, as I'm seeing this information coming through, it gives me a "feel" of what's going on in the market right now. You can really see my P&L jumping, and see that there is that buying coming in. The question is of the relationship of the flow in the quantalytics window with my P&L. This combination of feedback tells me subconsciously tells me, "Take profits" OR "Stay in this trade." Notice that I'm ready to pounce as well. I've got the alert window telling me if things are turning around, I've got the biggest percentage gainers as well as the losers. Everything is coming in without me having to search for too much information. For me, this is the best way to extract alpha out of the market. You can spend hours and hours questioning yourself. All of that time I've done that, it's never paid off like watching these windows. Having this amount information in front of me is what makes me an advantage player in the market. This is why I typically do better than the average and better than my contemporaries. I've been very fortunate and I've had many losing days in well, so keep that in mind. Hopefully, this helps you understand better how to extract alpha out of the market and trade better.
