Why We Traded Ugly J. C. Penney
- Posted by Michael Bigger
- on October 2nd, 2013
Last Friday we bought J. C. Penney for our trading account. Many of you asked: Can’t you find something easier to trade?
Do you want to look at the ugliest stock chart? Look at jcpenny $JCP
My answer to this question is that at times my subconscious override my rational and we will allow to do insanity trades as long as the size is reasonable.
Maybe, there is something in the back of our minds that gets aroused by high potential trading energy and high entropy situations. The ugliest charts on the block are the most interesting for us.
We will probably lose money on this situation, but overall we have done pretty well going on dates with ugly.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.blog comments powered by Disqus
Michael Bigger is an investor and a trader who has been involved with trading technologies for more than twenty years. In 1992, Michael joined Citibank as head trader of U.S. single-stock derivatives, where he managed a $5 billion portfolio of equity derivatives. In 1998, he joined D.E. Shaw & Co., L.P. to trade the U.S. equity derivatives portfolio. (More)