CSCO Cisco Crash Price Forecast Trade Strategy Crowd Psychology Fibonacci

[nexodude2000]

Good calls on CSCO, but the price of CSCO is controlled the same way as all other big cap stocks.. by heavy insider jump-into-the-burning-ring trading. But did I just hear a basis call to invest in NetFlix? this video was posted in August of 2010.. if I heard right, one would have invested LONG (as in capital invest) in netflix at around $280/share. NetFlix should be avoided like the plague.

[lambro39]

Respond to this video...

A) no - price is not controlled by insiders

B) Nov 2010 NFLX was at 180, went into the low 300's, up to you to book gain. We had buy signals much earlier.

C) Recently in the live room when NFLX was at 300 I talked about put options at 120, I also did a session on Gold & NFLX about the realities of parabolic moves and how to use the Balance Beam model to trade them.

D) I said NXLX was a market leader at the time, did not show any signals to buy in this video.

[lambro39]

50/50 I like it Vikram

[vikram0424]

@lambro39 Got out with half at 2.65/contract and the other half at 2.55/contract. Upside from here seemed nominal heading into expiration given the gains. Was thinking of averaging down on the long dated calls but I'd rather put that $ to use elsewhere right now, haha.

[vikram0424]

Interesting tech analysis. Time is obv. a big function here so what's your play at the moment? If we break below key supports - what options strategy are you employing? Do you think probability favors a break below those key supports down to 17? And if so, how long do you think before we approach 17 as a support?

[lambro39]

@vikram0424

As you can see, premarket CSCO is now down 17+%. it is actually into the lower support zone (starts with balance beam at 20.30 then down to 19.82 on structure swing). So there is a bit of room to work to see if some support digs in, so far that has not happened.

[vikram0424]

@lambro39

20.30 looks pretty strong right now. Half hour to go... will be an interesting morning to say the least.

[lambro39]

@vikram0424

Just consider these price points failing or being reclaimed as having a higher probability of leading to the next zone 23.23 > 21.00 > 20.30-19.82 > 17.60 > 16.67

If you wanted to pursue put options the better play would be to look for a bounce, possible gap fill of some sort and then buy puts. If you want to purse call options, now would be a good time to initiate but keep on mind the time line.

[vikram0424]

@lambro39

Well I Jan calls, sold Dec calls at a higher strike but more importantly, I own the short dated Nov Puts at a 23 strike. Deciding how much to sell at the open. Sell half at open and wait to see if we break below 19.82. What do you think?

[mdb464403]

Wrong

[lambro39]

@mdb464403

apparently not, down another 4+% since you posted. that stand offish denial, leads to delusion, ie a false reality, and when that does not pan out, you will blame. That is the mental reaction rookie traders and losing traders have. The only way to break that cycle is to take personal responsibility for your actions in the market.