Chat with Joe Ross
Chat log from: Wednesday, February 13, 2008
Live Chat with Joe starts Wednesday at 8.00 PM U.S. Central Time! |
| liviu joined. | |
| liviu left. | |
| marsh joined. | |
| Dean joined. | |
| JoeRoss joined. | |
| amathevs21 joined. | |
| beto joined. | |
| amathevs21 | Hi Everybody |
| amathevs21 | Hi Joe |
| JoeRoss | Hi Beto |
| JoeRoss | I'm glad you made it. |
| JoeRoss | HI Amat |
| JoeRoss | Hi Marsh |
| JoeRoss | Hi Dean :) |
| amathevs21 | Hi Joe how are you today? hope everything's fine & good |
| amathevs21 | HI everyone |
| JoeRoss | I'm fine. My wife has a cold and I am worried about my daughter-in-law |
| gary joined. | |
| amathevs21 | IC |
| JoeRoss | Hi gary |
| gary | Hello |
| amathevs21 | hello Gary |
| beto | HI JOE ROSS AND ALL THE GOOD OPTIONS TRADERS |
| JoeRoss | I missed a great trade in the yen today. Got busy chatting in the wee hours of the morning. |
| amathevs21 | Hello Beto, how are you? |
| JoeRoss | But I did pick up a nice profit day trading the NOB spread. |
| amathevs21 | IC Joe. |
| Dean | Hi Joe. |
| JoeRoss | Anyone else have some excitement? |
| Dean | -55 here with wind chill. |
| amathevs21 | Yesterday I was Long twice at EUR/JPY. |
| amathevs21 | Every trade was good & made a nice profit |
| JoeRoss | It was 55 here too, Dean, but +55 :-) |
| amathevs21 | Especially the 2nd one. |
| amathevs21 | I made 70 pips. |
| JoeRoss | Great Amat! |
| amathevs21 | Thanks, Joe. |
| beto | WE GOT 57 TODAY AND EXPECT SNOW TOMORROW FOR HI OF 39 |
| beto | IN DENVER |
| amathevs21 | I'm LONG from 156.88 & Closed at 157.61. |
| JoeRoss | We had a lot of guys in the European chat today. I wonder where everyone is tonight? |
| amathevs21 | Profit 73 pips for the 2nd trade at EUR/JPY. |
| amathevs21 | 73 pips!! |
| JoeRoss | That's very good! I'm glad to hear it. |
| amathevs21 | Thanks Joe. |
| JoeRoss | I hope you have that and more every day. |
| tikitim joined. | |
| amathevs21 | Thanks a lot Joe. |
| JoeRoss | I found out the real reason the CME wants to cut the bond and note ticks in half. |
| JoeRoss | A bunch of the big banks are setting up a competing futures exchange and it has the CME worried. The new exchange plans on trading everything. |
| sb123 joined. | |
| JoeRoss | Hi sb |
| sb123 | Hello. |
| beto | JOE, DO you favor alerts over stop losses, when you trade options? |
| gary | What would the benefit be to trading at a different exchange - lower rates? |
| JoeRoss | beto: I protect myself in the underlying. |
| JoeRoss | gary: No one knows yet. |
| JoeRoss | But it will be owned by some very large banks. BOA, Credit Suisse, and others of that caliber. |
| beto | Joe protect is a big word is that with alerts, stops, or what? |
| JoeRoss | beto: Stops in the underlying. |
| beto | gracias |
| JoeRoss | Example. I am short yen puts and they get in danger. I will short yen futures. |
| JoeRoss | de nada |
| JoeRoss | beto: Another way to do it is to offset in the European style options. |
| beto | What do you mean offset Euro style? |
| JoeRoss | So if you are short calls in American style options, for example, you can always spread yourself in the identical option using European style options. |
| JoeRoss | If you don't know the difference between American style options and European style options, you need to find out. |
| beto | Ok thanks. |
| JoeRoss | American style options are exercisable at any time during the life of the option. European style options are exercisable only if they are in the money at the end of the options life. |
| beto | Got it. |
| JoeRoss | Did you all get your sweethearts, something for Valentines Day? |
| JoeRoss | Don't forget or you will be in trouble. |
| amathevs21 | Thanks Joe. |
| beto | I need a sweetheart first. |
| gary | I planned early this year! |
| JoeRoss | Maybe that's where everyone is tonight, taking their lovers out to dinner. |
| amathevs21 | HAHAHA... |
| JoeRoss | amat, did you forget???? |
| tikitim | I broke up with her - plan on making up on the 15th - saves money LOL |
| amathevs21 | Good Idea, Thanks Joe, for reminding me |
| JoeRoss | :D |
| JoeRoss | I was reading today about all the people who are being suckered into bad China investments. |
| amathevs21 | IC |
| beto | tikit, is that entry and exit at convenient times? |
| JoeRoss | I think marsh just ran out to get his sweetie a Valentines card. |
| amathevs21 | HAHAHA, that's right Joe ::biggrin |
| JoeRoss | I bet he forgot. lol |
| JoeRoss | It looks like we are going to get a stock market rally. |
| JoeRoss | I think the worst of the credit crunch is over and soon the world will be flooded with more dollars. |
| tikitim | I disagree the defaults are spreading?? |
| amathevs21 | Seems like that, Joe . |
| gary | Did you read the details of the retail sales data released this morning. That was very bad news for the markets to rally on. |
| amathevs21 | Imho USD will strong because the Carry Trade of YEN seems to change to CHF. |
| JoeRoss | tiki: The defaults don't have much to do with the credit crunch. |
| amathevs21 | After the Investor switch Yen to USD, the USD will strong first. |
| JoeRoss | The FED is pouring money out all over the place. That will ease credit. |
| marsh joined. | |
| gary | PPT has a limit to the amount of money they can dump. |
| amathevs21 | But just for temporary. |
| JoeRoss | gary: That's why Bush wants to give everyone some money, so they will go out and spend it. |
| acman joined. | |
| sb123 | Is that why NOB was almost down to 1 pt spread today...?? |
| JoeRoss | amat: Good point. |
| tikitim | So you think we have hit a bottom. |
| amathevs21 | Thanks, Joe. |
| tikitim | NOB ??? |
| sb123 | 10yr notes...bonds spread. |
| JoeRoss | sb: I think so. The notes have been strong lately. |
| sb123 | I bought at 1 pt today...sold 30 minutes 1-10...then sold off again at close. |
| JoeRoss | tiki: At least a temporary bottom. |
| JoeRoss | tiki: NOB is the name of a spread where you go long 10 year notes and short 30 year bonds. |
| tipiring joined. | |
| tikitim | Are you still long Gold. |
| sb123 | Joe...do you know of a good bottom for NOB? It is hovering around 1 pt still at night session. |
| sb123 | Is there a such thing?? |
| JoeRoss | I day traded the NOB this morning and caught it just when it made a nice move. |
| sb123 | Sold or bought it?? |
| JoeRoss | tiki: Yes, I am adding to my position on this pull back. |
| JoeRoss | sb: I really don't know. |
| sb123 | Seems like the AD is strongest of currencies... |
| sb123 | Broke lower last night and today right back up to same place... |
| sb123 | Almost makes you want to go long AD short JY once gold recovers. |
| JoeRoss | sb: I bought the notes and sold the bonds. |
| sb123 | Joe, question...help my ignorance...seems like gold goes up Yen goes down and vise versa...is there correlation...carry trade?? |
| sb123 | Yes nice move...almost a pt diff in spread from yesterday and today. |
| JoeRoss | AD is very strong. The aussies are getting rich. So are the kiwis. |
| sb123 | kiwis?? |
| amathevs21 | Hello Acman |
| sb123 | They have gold...but so does CD...plus oil... |
| sb123 | Wheat is flying up again...whew... |
| JoeRoss |
sb: It's really hard to say anything about the yen. The BOJ is always manipulating it with speeches, plus buying and selling. It is the most manipulated currency of the big 4. |
| sb123 | I see... |
| sb123 | Buy AD ...sell BP... |
| JoeRoss | sb: kiwis are what they call New Zealanders. Also it is the name of their currency. |
| sb123 | SF appears weak...has not recovered from break early in the week... |
| JoeRoss | sb: The loonie is also very strong. Canada has a great economy right now. |
| amathevs21 | That's right, Joe. |
| sb123 | Joe...it seems RSI and BB work quite well for outrights as well as spreads...do same guidelines apply... |
| sb123 | I loved your spread book...it's a gold mine. |
| JoeRoss | sb: Yes. Use the same guidelines. |
| sb123 | Excellent! |
| sb123 | i've been watching several setups this week...if pulled trigger would have had better week...getting my confidence up though... |
| crosten joined. | |
| beto | AD,SF educate me please? |
| sb123 | Your teaching is solid Joe...thx |
| JoeRoss | I received a question today from a guy who wanted to begin trading with the easiest thing to learn. What would you guys have answered him? |
| JoeRoss | Thanx sb. |
| sb123 | AD Australian Dollar; Sf Swiss Franc. |
| JoeRoss | SF is Swiss Frank. |
| sb123 | Spreads. |
| amathevs21 | AD is Australian Dollar for Forex Futures |
| beto | Thanks, sb |
| JoeRoss | I can remember when the AD trading on the floor was two guys standing on the back row of the BP pit. |
| crosten |
Joe, i got to ask you about the missed JPY trade today, when you enter a currency trade intraday do you use a fixed profit target or do use a volatility stop to exit? |
| JoeRoss | crosten: I was looking for 12 ticks. |
| sb123 | Anyone...thoughts on cocoa...2500....can it goooo .... |
| sb123 | Wheat blew away 700 like nothing. |
| JoeRoss | crosten: I use a fixed profit target, coz I am scalping the yen. But the amount of ticks varies. |
| JoeRoss | Cocoa will go higher. One of these days it will go so high you won't be able to afford to eat chocolate. |
| sb123 | If i buy enough calls i will :-) |
| crosten | What stop loss would you have used should the trade not have gone according to plan? |
| beto | Joe, i would have answered him what is easy in regards to what risk? |
| JoeRoss | Nestles began introducing chocolate to the Chinese a number of years ago. If they all want to eat one chocolate bar, there won't be enough cocoa in the whole world. |
| tipiring | What are your thoughts on lumber? Has it put in a bottom? |
| JoeRoss | crosten: 8 ticks. |
| acman | It looks like Minneapolis wheat is an extinct grain? |
| sb123 | Is Mn still going up...whew 90 cent limit today was hit u think? |
| sb123 | Sorry for guys who are short. |
| JoeRoss | beto: He was looking for what is easiest to learn. |
| crosten | Joe do you think your stop loss is rather too small? |
| JoeRoss | I didn't know what to answer him. |
| sb123 | I can't even offset by buying CBot wheat last few days because selling off like crazy...till tonight. |
| JoeRoss | crosten: No I don't, not for the way I wanted to handle the trade. |
| marsh | Joe, why don't the 3 different wheats all go limit up on the same day, instead of being staggered a day? |
| crosten | Joe what contract size do you normally trade the currency market? |
| beto | Joe, i would answer easiest to learn is whether the stock market is bearish, bullish, or neither and is unpredictable. |
| JoeRoss | marsh: Different kinds of wheat for different markets. But staggered now by sympathy. |
| sb123 | Sympathy...?? |
| JoeRoss | 10 - 30 contracts |
| JoeRoss | sb: Grains tend to move in sympathy with other grains. That is because there is a need to maintain a certain ratio among them based on protein content. |
| beto | Unpredictable meaning volatile. |
| crosten | Joe, do you know Jim rogers, he used to live in Texas. |
| sb123 | Wheat spread...looks like WK-WN going back up...concensus anyone?? |
| JoeRoss | crosten: I don't know him. |
| marsh |
So, if no wheat had gone limit for a while, then one does (probably Chicago), would it be a good bet to enter one of the others in the same direction, hoping they will go limit in the same direction in a day or so? |
| JoeRoss | sb: I looked at WK-WN today. It's looking good, but not as good as WK-WN looked. |
| JoeRoss | marsh: Maybe not limit, but certainly a strong move in the same direction. |
| sb123 | wh-wn |
| crosten | Joe, what caused the limit up move we have recently in wheat ? Who are the people making this sort of move, very scary. |
| JoeRoss | Example: When Chernobyl blew up, wheat went limit up. But so did soybeans. They don't grow soybeans over there. But beans went up in sympathy. |
| JoeRoss | crosten: There is a genuine shortage of wheat world-wide. |
| sb123 | Joe, did you mean WH-WN? |
| sb123 | oic...It looked better? |
| JoeRoss | sb: No I meant WK-WN because it looked better. |
| marsh | Do the farmers care about the wheat shortage, or are they still in love with corn for ethanol? |
| sb123 | We're keeping your fingers busy tonight, Joe...sorry. |
| crosten | Joe, did you take a spike reversal trade on wheat ? |
| JoeRoss | marsh: Wheat acreage does not compete with corn. Once you have the wheat there is still plenty of time to plant corn or beans. |
| JoeRoss | I like to be busy, sb. |
| crosten | Joe, suppose you are long AUD and short JPY using currency futures spread, will you be paid interest rate? |
| sb123 | Good. |
| JoeRoss | crosten: No I didn't take the spike reversal. |
| JoeRoss | I was busy with other trades. |
| crosten | It would have been a good trade right? |
| JoeRoss | crosten: If your broker pays interest you will get the interest. |
| tipiring left. | |
| crosten | Is the interest paid on futures contracts the same as the spot market? |
| JoeRoss | crosten: A great trade. But I have only 2 eyes and they both need to be looking in the same place. |
| JoeRoss | crosten: I don't know about interest on these contracts. |
| JoeRoss | The rate you get depends on how you hold your margin account. |
| acman | Joe: You can put up more screens! |
| crosten | Joe, suppose you are short wheat and you place a stop loss, but the market opens with a gap way above your stop loss. What will happen Joe? |
| sb123 | Bad fill. |
| JoeRoss | acman: I can add screens if I have a bigger power supply. Right now I can handle only 4. |
| sb123 | You feel bad. |
| sb123 | For awhile. |
| JoeRoss | crosten: You will lose money, that's what will happen. |
| JoeRoss | Good night guys. |
| sb123 | Correct Joe. |
| tikitim | Thanks everyone - bye |
| crosten | Thks. |
| JoeRoss | I'm real sleepy. |
| marsh | Thanks Joe, Good Night. |
| JoeRoss | I've been up since 3AM. |
| acman | Thanks joe. |
| sb123 | See ya guys. |
| JoeRoss | Ciao for now. |
| acman | You beat me, I was up since 4:30. |
| JoeRoss | That's why I was kinda angry that I didn't get that yen trade. |
| beto | I think we should call this a night and let Mr. Joe get some sleep. |
| JoeRoss | I was up in time for it, but got interrupted. |
| JoeRoss | Por favor. Es necessario dormir. |
| JoeRoss | Hasta luego. |
| amathevs21 | OK Joe. |
| amathevs21 | OK Joe Goodnight, & see you next week. |
| amathevs21 | See next week everyone. |
| beto | Si duerma bien con los angeles senor joe. |
| amathevs21 | Sayonara. |
| amathevs21 | Cai Cien. |
| JoeRoss | Gracias beto. Y tu. |
| amathevs21 | OK Joe See you. |
| amathevs21 | Bye. |
| amathevs21 | Bai Bai. |
| amathevs21 | See you next week guys ::biggrin |
| Larry joined. |
Next Chat with
Joe Ross:
Wednesday, February 20 , 2008
Time: 8:00 - 9:00 P.M., U.S. Central Time.
COME BACK WITH YOUR TRADING QUESTIONS & COMMENTS!
