CAR was just sold, for egregious gains north of 12%.
Another beautiful Power Dip trade. The arrow shows the entry on the open of the bar.
This sale leaves room in the portfolio for one more stock. PII has been added on today’s open.
This system is designed to be traded by the working stiff who needs an edge, but can’t babysit positions while at work. On Tuesday, VIT was sold for a gain of over 15%. Yesterday, VM was sold for an 8% gain.
Keep in mind that I am using percent-risk position sizing on these trades. For example, If I am trading 100K, and I want to risk 1%, then I buy 10K worth of shares, and use a 10% stop. In fact that is exactly how I trade this system. This limits risk, during a worst case scenario, to 8% of total equity. To lose 8%, all 8 positions would have to stop out.
I am traveling this weekend, but as soon as I have time, I will post a spreadsheet updating the Power Dip trades for June.
Current portfolio: AEO, CAKE, CNK, EQIX, HRL, NKTR, PII, and VRX.
Got some CAKE with you yesterday
Eating good right now
Thanks
Good stuff Wood – strikes me that options would be another great way to control risk here. Buy a near-dated option since the trades are relatively short in duration.
Hello Woodshedder,
I was looking for description of this system in your blog but couldn’t find it. I understand your stop exit strategy, but what are the triggers to enter and exit? What stock screener do you use for this strategy?
Slav, the entry and exit are proprietary.
I will post the signals, entries and exits, for likely another month or so. If I continue to get good feedback and interest on the system, then it will be offered for subscription only.
I use AmiBroker to screen for the setups.
Good stuff munching! Glad it is working out for you.
Damian, I care barely keep up with everything as it is, let alone add options. Although that is something that I would really like someone else to work on…If there was sufficient liquidity, it might work well.
lol…today i bought CAR…..
Ring, one’s man’s trash…no seriously, CAR did well today.
This system does not try to get greedy. It is a hit and run type system, for sure.