Friday, 29-January-2010

1) DS last day was today. We are going to have to find a replacement, but that might be difficult.

2) BR's computer had issues today, needing a phone call to bring someone in. I tried to convince Boss that the cost:benefit was not there to repair it (ie. the computer is probably 5+ years old), but I'm not sure I got anywhere. I will talk to BR Monday, to see what she thinks about replacing it.

3) Boss asked me at least 3 times today if I was going to call back a certain client on the clipboard that is going through a divorce.

4) I was busy as hell. Thankfully, JG helped out a lot and really helped out a lot. I'm still behind, I hope we are able to hire someone soon.

Thursday, 28-January-2010

Boss ate a leftover Costco turkey roll left half of it on a paper towel. She later comes to me and asks if I was going to finish my lunch when I was sitting in the office. NOTE: She basically forgot it was hers.

Boss seemed a little down when our #1 candidate to replace HK declined the 50k offer. Back to the drawing board.

Wednesday, 27-January-2010

She was in a good mood today. She made hubby, Bob, go back home and get some chips since he forgot them.

Tuesday, 26-January-2010

She was in a good mood today.

Monday, 25-January-2010

Well, got swamped as expected. Now that I'm pretty much running the show, I'll have more items to add to this blog. Today was HK's last day. :(

Thursday, 21-January-2010

Have today and tomorrow off.

Tuesday, 19-January-2010

1) So BR asks me if I came in yesterday, because Boss said she drove by and didn't see my car. NOTE: Apparently she trusts nobody. Boss did not see any of my work nor any of the printouts that I put in her inbox! She trusts no one.

2) Boss wanted HK to make changes to 2 variable annuity allocations without telling the client beforehand. She wanted HK to make the changes and then to send the client a note that they did it. HK took the correct course of action and called the clients, because these accounts are not discretionary. Client Jensen wanted an e-mail why a reallocation is being recommended.

3) Boss got paperwork mixed up regarding Client Hacket. Apparently Boss thought there was Pimco paperwork needed, but the securities are held at the Pershing LLC level, so Pershing LLC paperwork is the only thing needed. The Pershing LLC paperwork was already in the client file awaiting signature; however, Boss did not have them sign it. Now the client has to come back in this Friday. HK called the client and the client even said they thought it was weird that there was no paperwork to sign.

Monday, 18-January-2010

Came in today to do some summaries.

2010 Market Predictions:

When you combine the fact that the government remains committed to propping up the economy with stimulus and the Fed determined to maintain its aggressive monetary policy, we believe that there will be upside opportunities into the New Year. As traders we need to follow anticipate potential moves and follow price action. With gold, we saw a measured move developing with an inverted head and shoulders--when our target was hit, we sold. It is important to implement a systematic approach and to have some target zones in mind.

• I think the S&P can reach 1,230-1,250, the Dow can reach 11,800-12,200 and the NASDAQ can see 2,600-2,700. If we break this present range to the upside (it looks like that will happen today), we have little resistance until the 1,200 area. These are all massive resistance levels on the indices, as those areas had provided support leading up to the September 2008 meltdown and as we know, past support becomes future resistance (and past resistance becomes support). These price levels remain fresh in the minds of traders on multiple time frames.
  

• STOCK SELECTION WILL BE KEY—we will not see a year where everything moves in unison. Timing the market and sectors throughout the year will be very important. As we have consolidated in this extended range there has been movement. Sectors are taking turns breaking out and pulling in. Whereas last year the market largely traded in unison, this coming year will be different.
  

• Monitoring sector rotation will be key to OUTPERFORMING the S&P next year. We will try our best to focus on only those sectors in play at any given point in time. Shuffling through the various sectors to find the actual moves will save a lot of time, money and opportunity cost.
  

• Tech will continue to lead the way. We saw tech hold up relatively well into the March bottom and since then these stocks have outperformed the broader markets. With the semiconductors breaking out this week, tech has plenty of room to soar even higher. These companies came out of the tech bubble with clean balance sheets and little long-term debt. They are largely in great shape to prosper despite the tough macro economic environment. If there's one thing for sure, that is that American innovation will continue to develop the newest and brightest ideas and technologies.
  

• Commodities will not be as strong as the broader markets, but there will be money to be made.
  

• We are buying back into GOLD in the $1,040-1,080 area for a move to the $1,300-1,500 level next year.

• We need to watch unemployment to see if it has peaked. We do think unemployment will reach 8.5-9% next year, but it might hit 10.5-10.7% first. The rate of change (the speed with which unemployment is increasing) has slowed and that is the first step to a turn-around.
  

• We will see small year-over-year earnings growth—we do not see a roaring recovery.

• The housing market still has problems—mortgage resets continue to cause MAJOR concerns.

• Government policy remains by far, my biggest concern. The direction we are taking—away from free-market capitalism, away from private business—with a greater emphasis on government solving all problems is not good. Presidential approval ratings domestically and internationally are starting to reflect this concern.

Micro S&P Targets into Year End

Into the New Year, we see that should the S&P close above 1,120, the door is wide open for a move up to 1,127 by year end. From there, the market has room to push up to the 1,135-1,140 area rather quickly, although that zone should put a cap on any extended rally. On the downside, any pullback should find support in the 1,110 and then the 1,098-1,100 areas.

Wednesday, 13-January-2009

1) Boss is trying to get some business processed ASAP before HK leaves. Yesterday, one of the clients forgot to sign one of the pages. Today, Boss wants the document that needs to be signed overnighted to the client via the USPS and to include an overnight envelope to have them send it to us. Boss wanted to tell HK to tell the client that the reason it's being overnighted is because she doesn't trust the mail system. COMMENT: So if Boss doesn't trust the mail system, why are we using USPS services at all?

Tuesday, 11-January-2009

1) So HK is doing all the Roth Conversions for her AAA accounts. A lot of these clients are in their 70's and she's doing Roth Conversions. She also is doing random amount conversions on some of the accounts, because there are no calculations to determine the amount to be converted. NOTE: These old retired clients are already in a low enough tax bracket, why in the world are they doing conversions?

Monday, 11-January-2009

Well, today Boss was at her quarterly meeting. I helped Bob, the husband, put up this mirror. He wanted to put up more pictures since her office was painted over the weekend; however, BR specifically said that Boss said to do just the mirror. When Boss arrived at the office, Boss wanted to know why we didn't put anything up. I responded that Boss had told us. Boss didn't say anything and just nodded. NOTE: I guess she acknowledged wrong by not saying anything further.

20 Rules for Trading Success

Monday, January 11, 2010

20 Rules for Trading Success

By: Mike Lee

1. Create a game plan and stick to it! You should have a reason for entering each trade and always have a stop-loss price and a level to take profits before you enter a position. In the long-run, discipline is the key to consistent success.

2. You must learn to adapt quickly to changes. If a short-term trade isn’t working, don’t hesitate to switch sides. The market and stocks can change very quickly, and you must be able to change with them. Don’t be stubborn!

3. Don’t get married to trades! If a stock isn’t working for you and you are losing money, you don’t have to make it back in that stock. Likewise, don’t force a trade in a stock only because it has made you money before. Always just trade the best set-ups.

4. Do not try to bottom fish or pick tops. The trend is your friend; when you find it, follow it. Don’t trade with a bias because you think something should or shouldn’t happen, let the stock tell you what its next move will be. Trying to identify tops and bottoms is a losing way to trade in the long-run.

5. Accept losses, they are part of the game! Prepare yourself mentally and emotionally for this eventuality. Try to limit losses when you are not on top of your game and take a break if you need one.

6. Keep it simple. If a trade is working for you, stick with it!

7. Stay confident and positive. Don’t hesitate to take a step back or ask for help if you are not feeling good about your trading.

8. Be consistent with your game plan, size and execution. Don’t make a winning trade in 300 shares and a losing one in 1,000! Keep your tiers consistent and stick to your game-planned trades.

9. Stick to your trade, believe in your preparation! If you like a trade set-up, stick with it until it works or is no longer compelling. Even if it doesn’t work the first couple times, be patient and keep it on your radar.

10. In a losing trade, if you have an out, get out! The first stop is the cheapest stop in a losing position. Do not give into the temptation to let a losing stock run, because you will usually end up getting killed. Small losses are part of trading.

11. When you are wrong, admit it and move on. Don’t waste time with a trade that is no longer compelling.

12. Give your trade time. If you believe in the trade, wait for it to play out and stick to your game plan.

13. Never let a winning trade turn into a losing one! Take profits when you can, you can always get back in later.

14. Try to capture the full move of a stock. While it is important not to let winners turn to losers, you will make your good money from capturing larger moves. It is ok to give a little back if you have made a lot on a trade, but know when to let it go.

15. Recognize the type of trade it is. If it is a swing trade, don’t impulsively get out. If it is a quick trade, don’t get greedy. If it is a slower moving stock, be patient. If you are on, push yourself. Always be aware of the type of trade you are in and act accordingly.

16. If you are feeling good and happy about your day, it is ok to relax and enjoy the money. Don’t turn a great morning into a losing day. Catch yourself, it’s not worth it. In addition, if you have a bad morning and make it back to flat or a little green, call it a day and declare victory! If you push it, you are likely to end up back with a losing day.

17. Trade the same way whether you are up or down. Traders tend to press when they are down and get careless when they are up. Stick with what got you there.

18. Trade stocks that are in play. Don’t trade something just to trade it, make sure there is a catalyst. Volume is a trader’s best friend.

19. Stick with winners and don’t add to losers. Make sure you capture big moves in winning trades and get out of losing trades quickly.

20. Trust yourself! You will always make more money trading your own strategy than someone else’s.

Friday, 7-January-2010

1) Boss mentioned to HK in a client meeting that ESPP is treated pre-qualified tax consequences. HK corrects her and Boss just says she hasn't worked with ESPP's for awhile. NOTE: ESPP's have never been qualified!

Thursday, 6-January-2010

1) Client JP needed a ride home, because she can't drive and has to take taxi's. Boss husband, Bob, came by to drive her home. JP asked who 'Bob' was, and Boss (paused 5 seconds) before saying that, Bob was her friend. NOTE: Why didn't Boss acknowledge Bob as her husband?

Wednesday, 6-January-2010

1) Boss was handing out the last bit of See's chocolates in a 2 week old box. There were only a few pieces left and BR noticed that one of the pieces looked like it had a small portion missing. BR asked Boss if she had taken a bite out of the piece that was not whole. Boss gave an embarrassed giggle and said yes. NOTE: That's pretty gross that she took a bite out of one of them and put it back in the box.

Tuesday, 5-January-2010

Monday, 5-January-2010

Friday, 1-January-2009,

Off today.

Thursday, 31-December-2009

So an OSJ manager was visiting from CA. Per Boss, she doesn't know anything; however, today, Boss was asking questions about clients she has not got ahold of (ie. all the accounts she does not have Account Information Forms due to the client being inherited, etc.)

Wednesday, 30-December-2009

1a) Client MR who use to be a client of DC arb ery was coming in, so HK had to do a schematic. Even though HK explained to Boss the schematic, Boss accussed HK that the schematic was incorrect.

1b) In preparing the schematic, HK put it in the Schematic File Folder since last time, Boss told her not to put it in the front of the main folder. Boss told her that she now needed to put the schematic file back in the front of the main folder. So HK watches Boss put the file in the main folder and places the main folder on HK's desk. Boss then puts some client files into the client accordion folder. Boss starts to walk away with the accordion folder, and HK tells her she forgot the main folder. Boss freaks out and asks what the folder HK is handing her. HK explains that she forgot to take the main folder and Boss calms down.

2) Boss tells me 'Good Job', because I met the deadline to finish all the summaries that are due within the first quarter.