TODAY'S TRADING SUMMARY - Thursday, May 31, 2001
We were quite pleased to see the Nasdaq follow through with the gap-up we expected this morning (per yesterday's trading summary). As such, we netted a total profit of more than 5 points on our overnight trades of JNPR, PMCS, EXTR, RFMD, AMD, and VTSS. To maximize profits this morning, we used 1/4 point trailing stops on each of our overnight positions as soon as the market opened. This allowed us to maximize our profit potential without the risk of losing our profits. In essence, we were able to double our profits from the opening gaps by using these trailing stops.
Both the Dow and the Nasdaq rallied off the morning open, but traded rather uneventfully later in the afternoon. This caused us to have a conservative approach to trading during the afternoon session because we did not want to risk giving back our profits from overnight.
We had several successful intraday trades and made some additional profits by selectively targeting the stocks and sectors that were on Thursday's Stalk List. In fact, each of the sectors we mentioned in our Stalk List followed through as expected. The Semis and Networkers were strong all day, while the Banks and Oils were weak. As such, our intraday strategy was to be long the strong sectors and short the weak sectors.
Today we traded the following intraday:
IDPH short (brought to our attention by eric), with a net profit of 3/4 point
BGEN, BBY, JNPR, and LOW, each for a scratch
BAC short for 85 cents profit on first half of position, stopped out break-even on second half
NVDA short for 85 cents profit on first half of position, took rest of position short overnight
A short with a 90 cent loss (stopped out)
Solely from our intraday trades, we netted a profit of approximately 1.5 points, which gave us a total net profit of about 7 points when combined with the profits from our overnight trades.
We also took the following positions overnight: NVDA short, AFCI long, RBAK long, ATVI short, June 920 BKX calls short, and June 70 KKD calls short (which are nicely in the money so far).
Trade well,
Deron, Steve, and Ed
General Partners
intradayinvestments.com |
