Already up about 600 pips on EUR/USD!

Why would you advise about foreign exchange in a stock market community?

Well there are so many ETFs related to currencies and their relation with stocks is literally direct. There are many stock traders who trade futures and forex too:)

Thanks Tradingworld. You saved me having to answer and said it better than I could.

c'mon trademav...looks like you are just trying to promote a trade that worked....What happened to your Pick of the day PEIX? You ended up selling it, today with a stock down 5%, while you urged everyone to buy it. At least you could have some of these poor souls that followed you advice that you changed your mind....would have been a lot more useful and honorable that just pimping your USD/EUR trade.... The reason you said you liked PEIX as a good trade was somewhat suspect in a first place...to paraphrase
your point was that the stock held up ok during last week's decline...not really a good reason my friend, especially since its just a 120mm mkt cap stock that trades less than $10mm daily..on the average...perfect stock for retail manipulation...plenty of microcaps out there that don't really correlate to broad market movements, as the case in point with PEIX.

Be careful picking stocks like this and even more careful recommending such stocks.

Yes, some of us are actually paying attention...lol

Maven100 thanks for your comment. They say a little knowledge is a dangerous thing. I'd say that describes your comment; you obviously only know half the truth.

I promoted the Euro trade long before it "worked" as you put it. Look back at my opinion post of Friday last (Jan 29 4:23pm) where I said: "The Euro is way oversold, coming up on major support, and about to make a swing low and multi-week rally against the US dollar. This will coincide with a swing low and rally in stock markets.......". So, you have no argument there.

Next. Re PEIX, I did not manually sell the stock today. I had a stop loss on the position which has been there for over a week and it just so happened to get triggered today. Had I changed my mind I certainly would have posted for everyone to see. No Question. Your insinuation that I was pimping the Euro trade and not honorable is totally untrue and uncalled for.

Incidentally, I happen to own this stock in one of my real trading accounts because I believe in the longer-term prospects for this company. There's no doubt over time this stock is going much higher from here. If you knew this company, their business model, and the alternative energy industry of which they are a part, you might know that.

Furthermore, what I stated today about PEIX was not make-believe, it was FACT, and that was that: "During the course of the past 2 weeks, while markets were getting mauled, PEIX didn't flinch. The stock has shown incredible technical strength and could be setting-up to explode higher ..........". Now, you obviously can interpret this any way you choose, but the fact still remains what it is.

Yes, micro caps and small caps are somewhat easily manipulated because of low avg. daily trading vols., but that is common knowledge - trading 101. Precisely why trading those types of stocks carry more risk, but also carry much greater potential for reward compared to large caps like Microsoft or Johnson & Johnson that move so slow you'd think they have ZERO trading volume.

Anyone who crosses the road without first looking, is likely to get run-over. And anyone who is trading without understanding what they're doing ought not to be trading. They need to head back to the classroom. The swing trading picks I issue in my newsletter all come with specific trade guidelines - entry, stops, targets. Trading picks are different from investing picks that are expected to appreciate in value over time.

My approach is different from most. That why I'm a maverick. I don't day or short-term trade small and micro caps and invest longer-term in large caps. I do the reverse. Why? Because small and micro caps do not have the liquidity to get fills when needed but more importantly, they have much more upside potential over time as the Street becomes aware of some revolutionary product or service and the stock attracts institutional buying.

On the other hand, I'll day trade large caps because they have the liquidity, they move in a much more orderly and predictable way, and holding them long-term usually nets very little because they roller-coaster with the rest of the market. Also, investing in large caps long-term only serves to tie-up capital that can be much more effectively utilized day or swing trading.

Hope this helps clear up your misperceptions. All the best.

I think tradermav is NOT pimping or promoting anything.
He is a realtime trader like me unlike many novices and paper traders.

Forex trades are done on NYSE via innumerable ETFs and of course future contracts.

I do not think insulting someone with good intent and posting a potential opportunity to trade is wrong.

Market does not mean stocks. IF you believe that then you are living in denial. Market today consist of so many asset classes.

There are so many other useless and meaningless threads which must be deleted. Someone knowledgeable or a realtime trader posting any market related topic should be welcomed.

Forex trade at unregulated websites is suspicious at times but forex is as much a part of stock market as anything.

"I've been advising fellow MG members for the past couple days (see my posts below) about the coming opportunity in the Euro. Already up 600 pips here in 6 hours. Who was paying attention?

Tradermav - Thanks for trying to explain why I misinterpreted your intent. I can certainly understand your excitement about the trade that may have worked. But there are different ways to highlight your success. In my opinion, you were just tooting your own horn. Shamelessly. Your post could have been a lot more useful and your other trading posts as well, if you provide better explanation WHY your are confident in a specific trade, provide not only technical, but also fundamental reason why USD/EUR or PEIX , etc trades are good trades. I n this post you could have just addressed why your trade actually worked and what do you think is the likely outcome going forward, and why, etc, etc,...Instead, you really only seem to be seeking validation and attention by asking if people are paying attention to your trading post.

Do you know why the EUR is down so much? Why is the USD/EUR rallying? Why is the USD has inverse relations with US equities now? Has it always been that way? Why now? What will change it? Somehow the word Greece was never mentioned in your post. If it was a purely technical trade that's fine. Still, had you provided a bit more explanation and
color, you would have been entitled to the credit.

As far as PEIX - I still stand that your rationale to buy the stock (the only one you provided in that post)" because it didn't flinch" is not a reason to buy the stock, regardless that this FACT might be true. Its also a fact that PEIX has four letters, but its hardly a reason to buy the stock. Of course I am being a bit fecitious here.

I don't see much of a maverick in your trading, swing trading has been around for generations, and yes, you need liquidity to swing trade, so large caps are more suited for it, while smaller, under the radar companies have inefficiencies that intelligent investors can exploit. Duh! Reasonable strategy yes, maverick - not so sure.

You also seem to contradict yourself. You said you actually own PEIX for its is long term prospects, implyng that its more of an investment tnan a trading pick. In reality it seemed that you treated is a trade in MG and got shaken out of it on a 5% move down. Perhaps, you should realize that most $2 stocks move in 5%+ increments almost daily. Again, you right I am not familiar with PEIX. I never even heard of it. You have certainly not helped. If it is a great investment idea, then why don't you explain why an ethanol producer with 1) negative gross, operating and profit margins 2) lost money in the past 3 years, 10 or 11 or 12 quarters, 3) has negative return on equity of 50% and negative return on assets, 4) negative quarterly revenue growth, 5) has only 11 million in cash and 315 million in debt makes a great investment!

Sounds like an investment that Motley Fool would recommend..or an unknown newsletter whose connection to the company and possible financial arrangement I would look into before investing. You get my drift.

Still I am willing to listen to new ideas, and perhaps I rushed to judgment and PEIX is a wonderful idea. If you don't mind sharing why you are so convinced that it as you said "There's no doubt over time this stock is going much higher from here".

But I do agree with you that a little knowledge is dangerous. Good Luck Tradermav. Stay humble my friend, its a long race!

Maven, re the Euro trade, I see the point you're making and you're right. Perhaps my approach was a bit arrogant and I should have provided my fellow MG members with a more detailed explanation on my trade - the what, why, when, and how.

The reason for not doing so is that I did not have the time. Between trading stocks, trading forex, publishing a newsletter to my subscriber base, and otherwise managing non-market related investments, my time is stretched very thin.

I do not use fundamentals to trade forex, purely technicals. So I never usually discuss "the economics" behind a move. Why currencies go up when they do or go down when they do is for the most part anyones guess and really of no importance with respect to my trading system.

My forex system is completely mechanical. Based on my proprietary technical indicators, the system tells me when a currency pair is going to move and in what direction and I trade the move. It's that simple. I don't try to interpret how Bernanke's late night at the club will affect the US dollar or how Germany's unemployment rate will affect the Euro. I just trade what I see.

On the subject of PEIX, we will have to agree to disagree. You do not see the maverick in my strategies simply because you cannot. Just like one cannot see the trees from the forest. Some of the greatest trades of all time were the ones which were most obscure. The ones which only a very small few saw and acted on. Further, the act of profiting from inefficiencies in markets and spreads that you mention is called "arbitrage", which I do not do.

As for the contradiction you see in my actions, this is a case of perception not reality. When markets started selling off 2 weeks ago, I set stop losses on ALL my MG positions. As markets declined those 15 or so positions were triggered one by one, some for gains, some for small losses. Because of PEIX's strength, it was the second to last one to get sold and only today. The only other long stock position I had was sold today by me at market because I decided not to wait to get taken out by the stop. Now, the only long I have I believe is DGP (an ETF), 4 other positions are short ETFs.

None of those 15 stocks that were in my MG portfolio 2 weeks ago were meant to be quick trades. But I made a decision not to let the portfolio get completely taken into the red with the sell-off. Whether I made the right decision is left to be seen.

Like I said before, I still own PEIX in a real brokerage account, because I believe in the long-term prospects of the company. Will I keep it long-term, maybe, maybe not, it depends. If it slides much lower I may sell it tomorrow, figuring I can buy it back even lower still. If it explodes next week for 300% I'm out too because I know it will come back down just as fast as it went up, and I can buy it back lower than my exit. Then again, I may own it a year from now if neither of those things happen and the company executes and delivers for its shareholders.

What is very important to remember, not just in trading or investing, but in life, is the CONTEXT. The context in which something is said or done, and perception vs reality.


Keep it real.

ps. You mention the Motley Fools. If you ever bothered to do any research on them you'd know that 7 out of every 10 picks they make deliver gains over the long-term.

Sounds good. Enough said on the subject. We can all benefit from sharing good ideas, especially when we can provide the framework for the conviction. Good luck tradermav.

Maven1100 you have good points which are well noted.
But you are quite amusing.

traderMav is an experienced trader and I truly appreciate his good and sound advice to me for my experience is only of 3 years whereas his is of 12 long years.

I always welcome anything new to learn.