This week we learn two trading tecnics:
- Short term playing: http://www.stockhideout.com/video-te...-flipping.html (Congrats Chuck great thread!)
- Option playing: http://www.stockhideout.com/options/...t-options.html (Congrats mrweekend great thread!)
In Stock Splits we can use both. Playing stock splits can be very profitable, but it takes know-how.

We have 3 types of plays:
1) Pre-announcement - Forecast an upcoming split prior to the company making the announcement (check the news for ex).
2) Pre-split - Days leading up to the actual split day.
3) Post-split plays - After the actual stock split (where the stock is showing continued or renewed strength).

Trading tecnics:
2) Pre-splits
- Stocks can run right before their splits even with poor technical indicators the best play is a very short term trading.
- Pre-splits mentality in that we will be ready to get out fast if the momentum fades.
3) Post-splits
- There are times when a hot stock splits and investors pile in to get in while the stock is 'cheaper.' We play those, in a short-term as we would pre-splits .
- But we usually are looking at stocks from more of a longer term, ask your self this: "would I buy this stock at this juncture?".
- So we play the trend using options (for 2 or more months), let the trend carry us along if there is one. But take profits if the technical pattern degenerates (e.g., breaks a trendline).

Notes:
- Remember, everything we do has to pass muster with the market that day ... don't fight the market on these plays.
- This week a good play is ALXN (Alexion Pharmaceuticals--$38.43; -0.75; optionable).
- We can just play in the Pre-splits using daytrade or flipping tecnics
- We can just play in the Post-splits using options.