Chat with Joe Ross
U.S. Chat log from: Wednesday, September 30, 2009
Live Chat with Joe starts Wednesday at 8.00 PM U.S. Central Time! |
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| JoeRoss | Hi everyone |
| aussiebrett | Good evening Joe evening all sorry I have not attended lately but have been verry bussy at work, |
| sprink | Hi Joe |
| JoeRoss | We missed you brett |
| Airtime250 | Hi All |
| JoeRoss | bigd: Is this your first chat? |
| JoeRoss | Hi Air |
| aussiebrett | the GFC has been good to me |
| JoeRoss | brett: what is the GFC? |
| bigdchan | Joe, yes, this is my first chat. |
| JoeRoss | What do you trade bigd? |
| aussiebrett | Our government calls the global financial crises the GFC |
| JoeRoss | rfsfb: You handle looks like an eye chart. What do you trade rf? |
| rfsfb | trading etfs, indexes, some stock using options |
| Airtime250 | hey joy |
| Joy | Joe: Good evening! Sorry to be a few minutes late! |
| JoeRoss | cool rf. Do you do options on the etfs? |
| Joy | Airtime: Hi, so good to see you! Did you enjoy your tutoring with Joe today? |
| bigdchan | I am day trading e-mini and swing trading stocks. I've bought your day-trade emini e-book. From my first reading, your techniques seemed to be trading the opening after seeing the high and low of the range. Is it my misunderstanding? |
| Airtime250 | very much! I'm looking forward to tomorrow... |
| rfsfb | trade vertical spreads, condors, some butterflies, some calendars on indexes SPX, NDX and RUT |
| JoeRoss | bigd: That's just part of it. There's more. Keep reading. |
| JoeRoss | Hi Joy, Paul |
| paul | hi |
| Joy | Joe: Hi, I hope you have had a lovely day with Airtime and a nice evening :) |
| JoeRoss | paul: we have more than one paul. which one are you? and what do you trade? |
| paul | new to group |
| paul | tade futures only part time |
| JoeRoss | Joy: Airtime is a lot of fun. We are a lot alike. |
| JoeRoss | After airtime left, I did a lot of writing and listening. |
| Joy | Joe: Oh, that makes Airtime a Super Cool guy :-) Joe, did you see the BoA CEO has finally had it and is retiring? |
| Joy | Joe: What did you write about and listen to? |
| JoeRoss | Several big traders are now lining up on the side of deflation, and are buying bonds. |
| Airtime250 | Joy: No one is as cool as Joe! |
| JoeRoss | Joy: Just writing on the next Traders Money Club. Then I listened to some soft, relaxing music. |
| Joy | Airtime: Yes, you are right --- you are the second coolest guy right behind Joe :-) |
| rfsfb | joe: is using TLT a good trade vehicle? |
| Joy | Joe: Woo... nice! I am glad you took care of yourself today :) |
| JoeRoss | rf: TLT? What does it stand for? I'm a little dull tonight. |
| bigdchan | Joe, many years back I bought your "trading with Ross Hook." Honestly, I did not get much out of it, because at time I was trading long term (holding a contract for weeks). Now I am daytrading, I am revisiting the concept of Ross hook again. I am surprise that the day emini is not using Ross hook. Did i get it wrong? |
| rfsfb | joe: TLT is one of the ishares treasury bond funds |
| JoeRoss | bigd: The book is very specialized to trading a certain way. I did not try to include the Rh in that book. |
| JoeRoss | rf: If TLT truly tracks the bonds, then the thinking is that bond interest rates will fall and the bonds will rise. I suppose they could be right. I'm standing aside until I see it happening. |
| JoeRoss | bigd: The emini book is looking for a different type of trade than the Rh. |
| rfsfb | joe: how much lower can the US$ drop without negatively affecting market?! |
| JoeRoss | bigd: There are countless ways to trade. Each way is an implementation of the Law of Charts. In the emini book, I did not try to mix different ways to trade. |
| Joy | Joe: I thought the Fed came out this week and stated they would raise interest rate aggressively once they start. Wouldn't that cause the Bond price to go down (at least reacting so because you told us the Fed doesn't really control the rate-bond price relationship?) |
| JoeRoss | rf: Good question about the US$. If you find the answer let us know. I sure don't know. I expected a dollar rally against certain currencies and we had it. From here on, who knows? |
| JoeRoss | Joy: I doubt if Bernanke will be raising interest rates aggressively--we are in a deflation, not an inflation. The prices for major purchases are falling not rising. |
| JoeRoss | Welcome alhaddad |
| alhaddad | Hello everybody and greetings to all |
| Joy | alhaddad: Hello to you and welcome! |
| JoeRoss | I hope you don't mind, but I'm going to call you al--my fingers are having trouble typing your whole name. Anything over 3 letters is hard for me. 4 letters is about all I can handle |
| alhaddad | I have read almost all of your books and No probem just call me al |
| Joy | Joe: LOL! I am glad my name has only 3 letters :) |
| JoeRoss | al: I'm glad somebody had read them. One of these day I might read them too ;-) |
| alhaddad | i am an expatriate working in saudi arabia |
| alhaddad | I have successfully applied what i learned on the local stockmarkets upto a point |
| JoeRoss | Good for you al. Do you work in oil? |
| alhaddad | no actually i am working in a financial sector |
| JoeRoss | where IN Saudi Arabia do you work, what city? |
| alhaddad | the problem here is that i cannot get a reliable source for charts on the local markets.the charts are not correct.i work in the eastern province in alkhobar |
| JoeRoss | I don't see it on the map. |
| JoeRoss | is it near the UAE? |
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| alhaddad | the city is about 10 miles from the Saudi aramco oil company |
| Airtime250 | hey marsh |
| marsh | hi |
| alhaddad | yes it takes only 55 minutes flying time |
| alhaddad | It is near Dammam.If you can see Bahrain it is just the opposite on the Saudi arabian side |
| JoeRoss | aha. Is that where they had some youth riots 2 days ago? |
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| alhaddad | Yes!!!!!!!!!!!! I was actually in that area at that time.Gangs of youth rampaged thru streets and attacked shops and broke into them |
| JoeRoss | Hi hoot |
| hoot | Hi Joe. |
| JoeRoss | Maybe you should find a better place to live. |
| alhaddad | It was a horrible experience.They stopped my car .I was with my family. |
| JoeRoss | Wow! frightening |
| alhaddad | Lucky I managed to escape after speeding thru the barricades |
| JoeRoss | yes you were very fortunate. |
| JoeRoss | Are the Saudis buying gold? |
| alhaddad | Thank God.Anyway the strange thing when it happened the police where nowwhere to be seen |
| alhaddad | After a lot of damage was done do the riot police intervene |
| alhaddad | Yess!!! the are buying lots of gold |
| JoeRoss | Gold went up nicely today. It seems to be building a solid base around the 1,000 level |
| alhaddad | Could it be a bull trap? |
| JoeRoss | But if we have deflation as Bill Gross thinks, then gold will come down hard. I have seen projections down to $300/oz |
| JoeRoss | Personally, I think we are already in deflation..... except for groceries. |
| JoeRoss | Yes it could be a bull trap. |
| alhaddad | The intervention by central banks are usually to keep gold down |
| alhaddad | what about silver? |
| JoeRoss | But lately some banks have been buying gold. |
| alhaddad | the chinese are buying |
| JoeRoss | silver will follow gold, I think. |
| JoeRoss | so we are told. I will ask Song if it is true that the Chinese are buying gold. I keep forgetting to ask her. |
| alhaddad | do you think the current ratio between gold and silver price is correct? |
| Joy | Joe: Speaking of silver, is that why you mentioned you went long SLW this afternoon - for the long-term hold? |
| JoeRoss | al: the ratio is way out of whack |
| alhaddad | what do you mean? |
| JoeRoss | Joy. I went long with a covered call. |
| JoeRoss | I got it at 12.28 and sold a $15 call for $1.20 |
| JoeRoss | al: the gold / silver ratio is way too wide. But I have no idea what might happen to narrow that ratio |
| Joy | Joe: Wow! That is really cool! I remember you had an option on SLW a few months ago too! You are amazing :-) |
| alhaddad | do you mean that silver should be much higher than it is now if it were to narrow the ratio with gold? |
| JoeRoss | al: Yes, normally you would expect a higher silver price, or gold to come lower. |
| Airtime250 | Joe: How is the ratio calculated and what is the norm? |
| JoeRoss | Air: I don't even remember what it's suppose to be but my peanut head seems to recall 17 |
| Airtime250 | Gold should be 17 times silver? |
| Airtime250 | As an example... |
| JoeRoss | Dont quote me on that Air. |
| alhaddad | Mr.Ross,I would like to take this opportunity to thank you for all your wise articles and superb books .You are a gem among all the garbage out there.Once again thank you very much!!May God give you a long healthy prosperous life. |
| Airtime250 | I echo that! |
| JoeRoss | Thanks al. I really appreciate that. |
| JoeRoss | hey! I wasn't far off. the old gold/silver ratio was 16. 1 gold to 16 silver |
| Joy | Joe: I second echo Airtime and Al :) |
| alhaddad | I have to go now.It was an honor to be able to chat with you and best regards to all. |
| JoeRoss | So one ounce of gold would buy 16 ounces of silver. |
| JoeRoss | But I really wonder if that will ever be true again. |
| Airtime250 | Joe: So gold should be around $250 or silver higher? |
| JoeRoss | Air: Silver should be higher |
| JoeRoss | Silver should be around $63 |
| Airtime250 | Yep...just surprised that it is that far from the norm... |
| JoeRoss | We may be having a new norm. Speaking of norm, I used to get a kick out of that guy Norm on Cheers. He was very funny. |
| Airtime250 | Cliff's best buddy! |
| JoeRoss | Yep |
| Airtime250 | What a hoot |
| JoeRoss | One time he got a job as a beer taster at a brewery. He finally found his role in life. |
| Airtime250 | Hoot: Is that where you're screen name came from? |
| Airtime250 | Well, he sure loved his work ::biggrin |
| JoeRoss | Maybe these guys are too young to have watched Cheers :-( |
| Airtime250 | That's really too bad, it was really a great way to relax at the end of the day! |
| JoeRoss | I still watch the reruns. |
| Airtime250 | There were so many episodes that will go down as classics... |
| JoeRoss | Whatever happened to those really funny programs? Now all you see is soaps and murders |
| Joy | Joe: THAT is so true! |
| Airtime250 | It was really great at the beginning of the show when Norm walked in and everbody yelled "NORM"! |
| JoeRoss | I guess it is a reflection on the times we live in. |
| Airtime250 | Sure is...the Honeymooners were great too |
| JoeRoss | Well we didn't do too much talking about markets so far. So if anyone has any questions, please let's have them |
| marsh | How do I succeed in business without really trying? |
| marsh | Write a musical with that name? |
| JoeRoss | marsh: That's easy. A musical or a book. Then you go out and lecture on it. |
| Joy | Joe: I will volunteer with a question :-) |
| JoeRoss | You can make big bucks on the lecture circuit. |
| JoeRoss | shoot joy |
| Airtime250 | Joy: I don't think that Joe meant that we should shoot you... |
| Joy | Joe: Oh you guys are smart :-) When you see a really long bar like the one yesterday (Tuesday) morning on the TF 5 min-chart or this morning (when the reports come out,) when do you decide you don't need to stand aside anymore? |
| Joy | After seeing small bars of 123L/H + Rh? |
| JoeRoss | Joy: You make that decision when you realize you are no longer wetting your pants |
| Joy | Joe: Did my question make sense at all? :-) |
| JoeRoss | Joy: Wait for direction to set up before trading. |
| JoeRoss | Joy: I gave you two answers. Both are correct |
| JoeRoss | third answer: move to a longer time frame. Get rid of all the noise. |
| hoot | Air, to respond to your question, sorry was away, no 'hoot' is just an old nickname. |
| Airtime250 | I bet you had fun in earning that one ::smile |
| Joy | Joe: THANK YOU, and thank you for not shooting me! :-) SORRY my wireless went off for a few minutes. |
| hoot | yes, as the years go by I appreciate more the memories |
| JoeRoss | Joy: those huge moves on a 5 minute chart don't look like much on a daily chart. |
| Joy | Joe: OK... right, hence the advice to move to a longer time frame... thank you! |
| JoeRoss | Type fast, coz I'm outta here is 5 seconds. |
| JoeRoss | G'night all. |
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Next Chat with
Joe Ross:
Wednesday, October 6 , 2009
Time: 8:00 - 9:00 P.M., U.S. Central Time.
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