Saturday, February 27, 2016

New Positions

I've been position trading over the past few months and it has been going well. You could also call it swing trading. I like position trading. I think it is working well because I am mostly using stop orders. This removes any hesitation I could have if I were watching the screens intraday. It also removes any excitement I could have that would make me get into a trade to early or one that I shouldn't be in in the first place. I don't have the hesitation I used to but the stop orders are always placed at a breakout or breakdown level. Take today Friday the 26th for instance. On Thursday night I put a stop buy order out for ATHX at 2.01 or 2.02. That was just above the 2.00 and a clean breakout. It was also a round number which often in low priced stocks is a key battle ground. The stock never broke 2.00 and failed the 2.00s. It then tanked something close to 10%. I never got in that trade thank god. Because I was so disciplined with the stop level.

I did have a stop buy order out for SYN which filled perfectly on the technical breakout off the high flag. I filled at 1.62. The stock ran huge up to 1.86 high of day. I could have taken some profit if I were watching during the day. With most stocks a spike day like that will hold up though. It settled to close at 1.71. Nice volume to. I'll just put a stop sell order for just below the close for Monday. I also shorted PLNT the other day as a hedge to my long-term long position in it. Earnings come out the 3rd and it looks like I should cover for a .60 a share loss based on the hammer it printed Friday.

No comments:

Post a Comment