Stock Trading

[sweetandsour]

In my IRA, NVDA and CAVA got called out two weeks ago. I thought I would wait until they dropped back down and buy back cheap.

They never dropped. I missed out on $25,000 of growth appreciation.

I bought them back on Friday, because both companies will report earnings next week. I don't want to miss any possible earnings boost (although it is possible that they will gap down after earnings, especially CAVA).

Anyhow, I'm not going to try to be so damn clever. If a stock is going up and gets called out, it will likely continue its trend up. Just buy it back if I stilll like the stock, and keep going.

My NVO got called out on Friday. I'll buy it back on Monday morning at whatever price and sell more calls.
=================================

Mark Wednesday, June 12, on your trading calendar. Double-whammy of May CPI inflation rate and a FED rate meeting. Expect some extreme volatility.

BTW I think that Snowflake reports earnings this coming Wed as well.

[sweetandsour]

In my IRA, NVDA and CAVA got called out two weeks ago. I thought I would wait until they dropped back down and buy back cheap.

They never dropped. I missed out on $25,000 of growth appreciation.

I bought them back on Friday, because both companies will report earnings next week. I don't want to miss any possible earnings boost (although it is possible that they will gap down after earnings, especially CAVA).

Anyhow, I'm not going to try to be so damn clever. If a stock is going up and gets called out, it will likely continue its trend up. Just buy it back if I stilll like the stock, and keep going.

My NVO got called out on Friday. I'll buy it back on Monday morning at whatever price and sell more calls.
=================================

Mark Wednesday, June 12, on your trading calendar. Double-whammy of May CPI inflation rate and a FED rate meeting. Expect some extreme volatility.

BTW I think that Snowflake reports earnings this coming Wed as well.

I bought 10 shares of snowflake this morning at 163.6 just to put it on my radar screen.

[Del]

I bought 10 shares of snowflake this morning at 163.6 just to put it on my radar screen.

SNOW is going to be fun to watch. I hope you hit a home run with it.

Keep us posted!

[sweetandsour]

In my IRA, NVDA and CAVA got called out two weeks ago. I thought I would wait until they dropped back down and buy back cheap.

They never dropped. I missed out on $25,000 of growth appreciation.

I bought them back on Friday, because both companies will report earnings next week. I don't want to miss any possible earnings boost (although it is possible that they will gap down after earnings, especially CAVA).

Anyhow, I'm not going to try to be so damn clever. If a stock is going up and gets called out, it will likely continue its trend up. Just buy it back if I stilll like the stock, and keep going.

My NVO got called out on Friday. I'll buy it back on Monday morning at whatever price and sell more calls.
=================================

Mark Wednesday, June 12, on your trading calendar. Double-whammy of May CPI inflation rate and a FED rate meeting. Expect some extreme volatility.

BTW I think that Snowflake reports earnings this coming Wed as well.

I bought 10 shares of snowflake this morning at 163.6 just to put it on my radar screen.

Well, Snowflake beat earnings estimate this afternoon, after the market closed, and the price went to 180 briefly. I don't know how after hours trading works, so I don't know how to take advantage of that, but anyway it's only 10 shares. I'll have to look further into after hours rules, for future reference. We'll see what the price is in the morning at the open.
Also, the analysts have spent all day predicting the NVDA move based on the ATM straddle. I'm interested in this as well.

[Del]

BTW I think that Snowflake reports earnings this coming Wed as well.

I bought 10 shares of snowflake this morning at 163.6 just to put it on my radar screen.

Well, Snowflake beat earnings estimate this afternoon, after the market closed, and the price went to 180 briefly. I don't know how after hours trading works, so I don't know how to take advantage of that, but anyway it's only 10 shares. I'll have to look further into after hours rules, for future reference. We'll see what the price is in the morning at the open.
Also, the analysts have spent all day predicting the NVDA move based on the ATM straddle. I'm interested in this as well.

After Hours trading:

On my platform (Think or Swim, serviced by Charles Schwab), I can place an order to sell at a limit price. I can set the order time limit to:
DAY (just today)
GTC (good till cancelled)
EXT (trade during extended market)
GTC_EXT (good till cancelled, day and extended market)

I trade my IRA on Vanguard. Their platform only gives me DAY and GTC-30 days. I don't even know if extended trading is automatically included or ignored.
=============================

ATM Straddle works thus: If you expect a big swing in trading price, then on the day before earning you go out a few months expiration and buy a put and a call. You don't need to own the stock, but you need cash.

On the day after earnings, sell the put and the call to close. If the swing is big enough, you can make some money. If the swing is not big enough, you will lose money.

Keep in mind that implied volatility often rises significantly ahead of earnings, and crushes suddenly after earnings are reported. This means buying at high volatility/cost and selling at low volatility/cost. So the gap must be great indeed, and it must sustain into the next trading day (options are never traded during extended market).

This is not a trading strategy that interests me. More likely to lose than to gain.

[sweetandsour]

I bought 10 shares of snowflake this morning at 163.6 just to put it on my radar screen.

Well, Snowflake beat earnings estimate this afternoon, after the market closed, and the price went to 180 briefly. I don't know how after hours trading works, so I don't know how to take advantage of that, but anyway it's only 10 shares. I'll have to look further into after hours rules, for future reference. We'll see what the price is in the morning at the open.
Also, the analysts have spent all day predicting the NVDA move based on the ATM straddle. I'm interested in this as well.

After Hours trading:

On my platform (Think or Swim, serviced by Charles Schwab), I can place an order to sell at a limit price. I can set the order time limit to:
DAY (just today)
GTC (good till cancelled)
EXT (trade during extended market)
GTC_EXT (good till cancelled, day and extended market)

I trade my IRA on Vanguard. Their platform only gives me DAY and GTC-30 days. I don't even know if extended trading is automatically included or ignored.
=============================

ATM Straddle works thus: If you expect a big swing in trading price, then on the day before earning you go out a few months expiration and buy a put and a call. You don't need to own the stock, but you need cash.

On the day after earnings, sell the put and the call to close. If the swing is big enough, you can make some money. If the swing is not big enough, you will lose money.

Keep in mind that implied volatility often rises significantly ahead of earnings, and crushes suddenly after earnings are reported. This means buying at high volatility/cost and selling at low volatility/cost. So the gap must be great indeed, and it must sustain into the next trading day (options are never traded during extended market).

This is not a trading strategy that interests me. More likely to lose than to gain.

Nor I. But watching the straddle may make sense, just to gauge what the feelings are, about the degree of expected movement.

Anyway, I found how to trade the extended hours on Fidelity, using their Active Trader Pro platform. It looks like SNOW closed at ~170 in the extended session.

When using the Limit Sell order on the main Fid. page, the options listed are:
"day"
"good til cancelled"
"fill or kill"
"immediate or cancel"
"on the open"

I only know what the first two are. I'm also reading about the use of trailing stops, stop loss, etc ...

This is all like learning a new language.

[Del]

This is all like learning a new language.

Yup. Lots of technical jargon and concepts. Like learning an engineering degree all over again.

I have no idea how to "watch the straddle." I've never heard of this before. I don't know where to look for this metric.

Basically, this is asking Mr. Market how much he thinks the price will gap, up or down. And since Mr. Market is also the guy who will create the gap, he should know.

NVDA announced earnings after market yesterday. NVDA is trading above $1000 in premarket today. AND they announced that there will be a 10:1 split on June 10. HOO-RAH!

[sweetandsour]

NVDA announced earnings after market yesterday. NVDA is trading above $1000 in premarket today. AND they announced that there will be a 10:1 split on June 10. HOO-RAH!

SO, if I buy 1 share before 6/10 ...

[Del]

NVDA announced earnings after market yesterday. NVDA is trading above $1000 in premarket today. AND they announced that there will be a 10:1 split on June 10. HOO-RAH!

SO, if I buy 1 share before 6/10 ...

Then you'll have 10 shares after 6/10 AND qualify for 10 cents in the dividend payout on 6/11 !!!!

[sweetandsour]

NVDA announced earnings after market yesterday. NVDA is trading above $1000 in premarket today. AND they announced that there will be a 10:1 split on June 10. HOO-RAH!

SO, if I buy 1 share before 6/10 ...

Then you'll have 10 shares after 6/10 AND qualify for 10 cents in the dividend payout on 6/11 !!!!

Or I may buy half of a share, and earn a nickle. Anyway the price is way too expensive now; but I still may buy a share.

BTW, a couple of friends that invested in copper a year or so ago finally saw some gains recently.