Wednesday, December 3, 2008

Trades for 12-3-08

No trades today, and avoided a loss in JPM. My dad is trying to talk me into using QQQQ 5M for real, but I keep remembering that I’ve learned a hard lesson when it comes to using a strategy too soon.

Totals for the day
10k strategy: (0%) ($0)

No trades

QQQQ 5M: (+.65%) paper-traded
Short -.91%
Long +.47%
Long +.25%
Long -.63%
Short +.21%
Short +.36%
Short +.22%
Short -.43%
Long +.44%
Long +.32%
Short +.35%

4 comments:

FX said...

It's lots of trades. Will you have problem with buying power used up? I don't trade stocks so I'm not sure how it works.

StockHunter said...

Yeah it's way more trades then what I get with 10k strategy, but you should see how many trades I get testing QQQQ on a 1 minute chart :).

Thats what I like about the QQQQ 5M strategy, I can trade it without having to margin. I might start trading (for real) it next week, because I'll have tested it for about 3 weeks. Friday (12-5-08) I plan on posting the performance chart for QQQQ 5M, and evaluating it.

FX said...

I don't understand how can you trade it without having to margin? I'm not familiar with that. Isn't qqqq just like any other stock and when you use your 1:4 you can't trade any more?

StockHunter said...

You can margin stocks, you just need the right ammount of shares to do it. I've seen 30,000+ share sizes on the level 2 quotes for QQQQ, so you could trade $800,000+ if you wanted to.

You can daytrade without having to margin because FINRA requires that daytraders have at least $25,000 in cash in their account at all times (see http://www.sec.gov/answers/daytrading.htm). So, .25% of $25,000 is $62.50, $62.50 X 4 trades = $250.