Trades Closed: QIWI at $50 and QIHU at $112

Wow! What a great week. We still like the stocks; however, the huge run we had this week warrants some profit taking for now. Stay tuned.

Our Creed

1. We trade and engage in speculation.
2. We seek maximum profit.
3. We are aware of the financial and mental risks.
4. Always preserve a portion of your stack - No chips, No Chair. ALWAYS!
5. Patience. Trade with purpose; not from boredom or addiction.
6. Believe and risk real money in your own work.
7. Always listen to what other's say- they may know more than you.
8. Always separate your speculation from your investments.
9. When in doubt or you don't understand, re-think. Still don't get it, cash out.
10. Trust your gut.

 And most important...

11. We have fun/Enjoy Life- it is very difficult to speculate if you don't enjoy it and can afford to take the consequences of your actions. NEVER put yourself in serious situations (mental, financial, or health). You can always come back if you want and start small again or choose to stop completely.


Happy trading and may you enjoy the fruits of your passion!

Stockspeare's Qualifications

We got an email that asked what "Stockspeare's qualifications were for keeping this trade blog". We thought it was a fair question. Since we don't recommend anyone follow any advice here and that this site is just the private diary of a trader, we will tell you.

1. Former Vice-President-Investments: Prudential Securities
2. Former Senior Financial Consultant: Banc of America Investments
3. Former Senior Investment Analyst/Head of Investment Committee:$800,000,000 AUM RIA
4.Trading for 21years
5 10,000+ trades
6. Billions of dollars in trades
7. 100,00+ articles, trading tips, books, tid-bits, etc...
8. Really good poker player

And most important......

An absolute and passionate market nut! Loves running trading experiments with real money and thinking outside the box. It's not about the money, it's about winning the game and creating "The Golden Goose". Its about being a great "Market Artist".

One can dream;)

Netflix Short back on at $455

We couldn't resist trying it again on this bloated pig. Tight stop-loss set at $464.

Tesla sold at $260

Trade 2 closed. $140 to $260 is not bad at all. Wish we bought more.

QIWI on the move....

The momentum is starting to pick up - target remains $75.

Tesla $240 price target hit.

Not bad from a $106 entry point. Wish we held it all the way up.

Back in QIHU at 104.50

Netflix deal with Comcast: Short closed.

Are people really spending their free time watching "TV" on their devices? Taking up 1/3 of the U.S. internet capacity so people can watch shows? Really? No wonder we have an obesity problem with our kids. Step away from the flashing lights.

Our Netflix short has hit our stop-loss. We will let them run it up and try again. Very small loss.

Why are we trading in Chinese and Russian

Internet companies? QIWI and QIHU? Because we rather trade in those foggy, funny, and fuzzy markets than in the high valuation US internet markets. Lol! We like the charts and the potential upside seems ridiculous.

Are we crazy?!

Short NFLX? Yes-at $435.50 today. We know valuation logic doesn't apply to certain internet companies today (Twitter, LinkedIn, Facebook, Netflix, etc..): however,  Netflix seems the most ripe for a fall. We just don't get it  -they are like a virtual "Blockbuster Video"  from back in the day. No barriers to entry, still dependent on mailing DVDs for a large chunk of profit, and an extremely price sensitive customer. We saw what happened to the last time they raised prices...Good Grief!

1. Nobody recommends shorting it anymore- they all got crushed a 100 points ago.
2. Our computer program picked up a "head and shoulders within a double-top formation".
3. It has a well-defined  small stop-loss point with huge upside potential.
4.The risk/reward is off the charts.
5. It's shares are 90% owned by institutions at a much lower price. Who's left to buy and who will be left holding the bag? Carl jumped out a lot lower...We are following him. Are you?

We like our odds.

Trade Alert: Shorting Netflix now.

Off to Russia!

It seems a company in Russia caught our eye. It follows our current theme of trading tech outside of the USA. We are going with QIWI. Good story and I like the opportunity they have in Russia. We initiated a position at 41 today.

QIHU closed at 104.25

We made a nice recovery trade here. Played it from 95 to 104.25. Still like it; however, we are going to take advantage of the Jefferies upgrade today and cash out for now. Stay tuned.

Chinese Internet Companies Trade Opened

Qihoo 360 Technologies. Hear of it? We didn't until last week when it kept going by the ticker. We did a lot of research and we love it. Check it out and you will love the story. Sure-investing in Chinese companies can be "full-disclosure hazardous"; however, that's the market.

FaceBook Trade Closed

Done with social media for now.

Twitter trade closed

Had to sell today at 53. We crunched some of our own numbers and decided to run away from this stock. What were we thinking in the first place?! Our biggest loser in  12 years. Can't bat a 1.000. We can make it up pretty quick.

Whack!

The "lol" is on us. We guess valuation did matter. I was not surprised Twitter got whacked after earnings since earnings reports are a 50/50 coin flip. What I was surprised at was that the technical formation was at a 75% chance of a pop and it went the other way. We play that formation 10 times and normally hit about 6-7 times. We liked the results they posted. We are going to hold for awhile and let Wall Street crunch some numbers. Not too happy we paid 63 for something we could have bought for 55 in the after-market tonight. Not exactly good trading;)

Icemeggedon and social media

The Atlanta Icemeggedon 2014 was incredible. Atlanta shut down and the 2-inches of slush froze in minutes. I had to abandon my car and walk home. You heard the stories. But- during the disaster, people turned to Twitter and Facebook to communicate and solved huge problems. Even the police and local government officials said to use these sites to communicate. I was amazed. Our entire way of valuing these companies changed. We thought that they are now a bargain at these prices  and we must Buy! Buy! Buy! We did in a HUGE way. Not to mention the technicals and relative strength look great. They are not cheap by standard measures:however, trading isn't about valuation-It's about perception. If I know Wall Street, these stocks are going a lot higher - what are they gonna buy, Apple? Lol!

2014 Trade 3: Bought Facebook FB

Today with the proceeds from FSLR for 61.48. It is much better positioned.

2014 Trade 1 Closed: Sold FSLR

Still like it; however, this is no time to play value or relative value. Took a very small loss and swapped it into high growth.