Discussion in 'Journals' started by JamesSierra, Oct 27, 2021.
Anybody know what this is or what do people think it is?
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My guess is buy stop orders being hit by some computer program or person ? That looks for them? I'm just guessing here that people get in short positions, then put in a automatic order to buy (closing the short position) if a certain higher price is hit. So there's all these orders going up to buy.... so a short seller can just put sell orders way up there using limits to mark a high price.... and it finds a sell stop? So when the stop price gets hit , it turns into a buy at market order.... so while the person is offline they buy way up there(closing their short)... then after all the buy stops are hit, it just drops again.?
Oh and these things disappear from charts because if the time is greater than one minute, they disappear.
My guess is it was an institutional dumping of shorts. But I don't trade stocks, so am talking out of my ass of that one.
Well picked a top that time. Sure lucky two days. Bought 6 puts when I woke up yesterday, then bought 6 more around 11am...sold around 3pm today for $8312.40 profit. The crazy part of it is I only was risking around $2000 and I could have bailed so not really risking $2000 either. Had 12 Nov 10 Puts expiring today. Got 6 399 puts first at 9:49 am.... then 6 more at 11:51 am. Cost was $1389.90 and $987.90 I was working on a video of the trade for YouTube but my account name keeps popping up in the film. I did like 8 versions.... and kept finding places you could see my account name in the video so gave up for now. I don't know how those people who stream live trading keep their account info private. Seems impossible to me.
Got 6 QQQ Nov 10 399 put @ 2.31 at 9:49 am - sold @ 10.41 at 3:05 pm
Got 6 QQQ Nov 10 396 put @ 1.64 at 11:51 am - sold @ 7.19 at 3:06 pm
I was talking about this legging in spreads option strategy in the option section so I decided to do one to illustrate it with real options. Where you buy or sell one leg of the spread, wait till you have some profit in it, then buy or sell the other leg.
If the stock is going down
1. Buy a put first, then sell one after a few points down in the stock or underlying.
2. Sell a call first, then buy one after a few points down in the stock or underlying.
If the stock is going up
1. Sell a put first, then buy one after a few points up in the stock or underlying.
2. Buy a call first, then sell one after a few points up in the stock or underlying.
So this is one I did in my account:
11/10/2021 Bought 3 QQQ Nov 15 2021 393.0 Put @ 2.14, 2.22, 2.31 -$668.98
stock dropped after that buy so then sold some.
11/10/2021 Sold 3 QQQ Nov 15 2021 391.0 Put @ 3.29 +$985.00
Got a credit of $316.02 - that is profit no matter what stock does.
If stock is below 391 on the 15th will make an additional $600.00
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