Trading as a Business.

Are your stock market investments going nowhere, or worse, losing its value over time? Do you sometimes wish stock picking were easier?

Instead of investing hard earned money in listed companies, why not invest in your own business, buying and selling stocks? This is a journal of how I trade for a living.

IMO, investing for the long term is not as profitable as many people are led to believe. Why not buy & sell stocks as a business, and invest in that business instead?

This is a journal of my trading business. I buy and sell shares of stocks, currencies, and other trading instruments daily. It is what I do for a living.

I follow the NASDAQ, NYSE and the Foreign Exchange markets. I look for stocks that I think are about to trend and ride that trend as far as the market will let me. All my trades are posted on this blog, plus details about that trade. At the end of each month, I publish my profit and loss to see how my business is doing.

INTC – Buy to Open

Intel Corporation engages in making, marketing, and selling integrated circuits for computing and communications industries worldwide.

A series of higher lows on the day chart, upper and lower bollinger bands may be showing increasing momentum. I am opening a long position on this stock friday with initial stop if price closed below 22.17.

I was recently short this stock, but was stopped out (part of doing business). After closing above its moving average, I began following this stock looking for an entry to go long. I used to be strongly bullish or bearish on a stock, any stock in my early days of trading. That is one way to lose money, being biased, and emotional about trading. It still pains me to be wrong about a trade, but now I see that as an opportunity to learn how to be a better trader–and maybe make a profit.

LEH – Buy to Open

Lehman Brothers Holdings, Inc., through its subsidiaries, provides various financial services to corporations, governments and municipalities, institutions, and high-net-worth individuals worldwide. The company operates in three segments: Capital Markets, Investment Banking, and Investment Management.

LEH is seems to be forming a bullish pattern after forming a 12-month low in the middle of march. I found confirmation that support levels has held for LEH, and may start trending upwards. I am opening a long position on this stock friday, with initial stop set if price close below 44.67. No price targets, let the market tell me when to close the trade.

TWX – Buy to Open

Time Warner, Inc. operates as a media and entertainment company in the United States and internationally. It operates in five segments: AOL, Cable, Filmed Entertainment, Networks, and Publishing.

Bears failed to push TWX past support today as bulls came back in full force. A long white candle forming immediately after an overbought condition looks like a good spot to go long. Going long friday with initial stop set if price closed below 14.86. Except for my initial stop, I do not place price targets, or how long I will keep my positions. As a trend follower, I prefer to let the market tell me when to close a trade.

Trade Update

Stopped out:
A -4.31%
DTV -5.9%
GLW -5.38%

Open positions to-date:
AIG long @ 47.01
ALKS long @ 12.10
BJS short @ 27.42
BMRN long @ 36.40
BRKS long @ 10.48
CEG short @ 84.40
CFC long @ 5.88
CVX long @ 95.06
DELL short @ 18.70
EMC long @ 15.74
ETFC long @ 4.00
FLEX long @ 10.86
HIMX long @ 5.15
JAVA long @ 15.50
KEG short @ 13.66
LTR short @ 42.13
MRK long @ 38.05
MOT long @ 10.06
NFLX short @ 32.65
NVDA long @ 20.43
PFE short @ 20.27
PG short @ 67.03
Q long @ 5.20
RIMM long @ 126.25
RIO long @ 37.97
RSH short @ 15.18
SLM long @ 18.72
SWY long @ 29.72
WB long @ 28.98
WFC long @ 30.50
WM long @ 12.72
YHOO long @ 27.15

SLM Buy to Open

SLM Corporation (SLM, Trade), commonly known as Sallie Mae, is the nation’s leading provider of saving- and paying-for-college programs. The company manages more than $169 billion in education loans and serves 10 million student and parent customers. Through its Upromise affiliates, the company also manages nearly $19 billion in 529 college-savings plans, and is a major, private source of college funding contributions in America with more than 8.5 million members and $425 million in member rewards. Sallie Mae and its subsidiaries offer debt management services as well as business and technical products to a range of business clients, including higher education institutions, student loan guarantors and state and federal agencies.

The stock seems to be forming a bottom at this time. MACD is above mid-line the past few weeks, which could mean support is holding at these levels. I’m going for a long at market friday. Initial stop if price closed below 17.63.

PG – Sell to Open

The Procter & Gamble Company (P&G), together with its subsidiaries, provides branded consumer goods products.

I’m surprised that, with the favorable news coming out for PG, market still selling down this stock. Price failed to close above 50sma today with steadily increasing down volume the past few days. As my dad always says, ignore news, listen to the market !

I’m opening a short, at market, thursday with initial stop on a close above 67.79.

MRK Buy to Open

Merck & Co., Inc. provides various products for human and animal health in the United States and internationally. MRK is one of those growth stock that does well even on a weakened economy with a 4% dividend yield selling at ten times 2008 actual earnings. The “adjusted” non-GAAP earnings are expected to be in the $3.28 per share area.

Short term speculation. Open long position at market thursday with stop set on close below 46.71

JAVA Buy to Open

Sun Microsystems, Inc. develops products and services for the network economy. It provides network computing infrastructure product and service solutions worldwide under brands, including Java technology platform, Solaris operating system, Sun StorageTek storage solutions, and the UltraSPARC processor.

SUN is trading near 5 year low despite really strong earnings and solid outlook. MACD looks bullish, with up volume showing the past few days. I’m buying this stock tomorrow at market with stop set on the close below 15.65.

DELL Sell to Open

As we all know, Dell, Inc. and its subsidiaries engage in the design, development, manufacture, marketing, sale, and support of computer systems and services worldwide. Barron’s reports Dell (DELL) shares aren’t worth buying and may be dead money. Recent news that Dell is planning to close a Texas computer building operation and cut 6,000 jobs to cut costs. Also, Dell is partnered with Citi to finance computer purchases, and losses at Citi may put Dell’s finance arm in jeopardy.

DELL is now trading below 50sma. I’m opening a short position with a stop on close above 19.15.