Well, one can never tell but only see if the probability will play out the way one sees it.  One thing I don’t like is having the market open against my layout plan.  I expected the market to go up and instead it opened with bad economic news.  Retail numbers are down.  This is not good news.

Talking about ill-timing, DDD news flash on secondary offering right after  bought; but that the way it is.  You never know what is going to transpire but I still have 100% control of what I can do with the stock.  Needless to say, I sold DDD at the open and got a small bite on my ass.  Ouch!

SSYS- with bad economic news and DDD dilution, I expect this will also go down in sympathy.  Out at the market with a smaller Ouch.

CCJ- Out at almost breakeven.  No Ouch.

LNG- Out with a little Ouch.

MCP- Out at almost breakeven.  No Ouch.

SZYM- This one was down against me at the close yesterday; so the Ouch is as loud as the DDD.

YELP- If there is no bad economic news, I may give YELP a little longer time with my 38% stop loss; but with bad economic news, everything has to go.  Due to horrible spread, this Ouch is the same as DDD and SZYM.

Overall, the damage is not as bad as I thought.  I may as well got out at the bottom and market may turn back up at this point due to higher probability of QE3 being implemented.  Frankly, I don’t care at this point.  Safety comes first before my ego and the need to be right.  I’m hoping to buy back at lower prices.

Back to 73% cash.

Such is another day at the stock market.

Good Hunting!

 

 

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Take a look at the Dow Jones weekly chart below.  Notice that this week bar still has an upward bias due to a higher high and a higher low with the low still at the upper range of last week green bullish engulfment bar (my version- not counting candlestick tails).  If today was another big down day; we would have a red weekly bar with a low that fell into the bottom range of last week bar which would exhibit a downward bias.  But we didn’t have a big down day to continue the pattern of yesterday bearish engulfment bar.

To me, a failure to continue on the path of the engulfment bar is as much a loud message as a continuing trend bar.  Since engulfment bar has a high probability of continuing; its failure to continue the trend in the next day means that there is a very strong opposite force come into the play.   This opposite force cannot be discount and can possibly change the direction of the trend.  In our weekly perspective; I believe we are still on track for our price action to head to the area (B).  I expect we may see some resistance at the 13,136 area; if price action could not penetrate this resistance, a downward trend may begin to complete wave C of this correction wave.

Since it looks like we are heading to point B to complete wave B, I’m feeling positive about moving 35% of my cash into equities today.  I’m always about 20%-25% invested in the visionary portfolio that I don’t trade with; thus, my 35% additional investment today.

Good Hunting!

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Although yesterday down bar was quite a monster engulfment bar; its failure to continue was quite disappointing.  After reaching a new high, TZA could not maintain its momentum and instead gave me a red candlestick bar instead.  Luckily, I got out with a profit because my trading plan demanded that I do not turn a profit into a loss.

Lo and Behold, right after I got out of both SKF and TZA with profit, the wind suddenly blew even harder against the tide of TZA.  Meaning the market wanted to go up.  Despite the bear pulling their supersonic wind blower to counter this festive wind, it could not turn the TZA red bar into a green bar.   So, what should a guy like me do?

Since I like to be happy and festive more than being sad and despair, it is a no brainer for me to start buying up some party favors for the coming sail.  Ok, I’m betting that there will be a sail.

Currently, I loaded up on AMRN, CCJ, DDD, LNG, MCP, SSYS, SZYM, and YELP and still have 40% cash.

What about the Euro-Zone nightmare?  Geez, since there is no follow-up on TZA or SKF, I assume the general consensus think the market is overplaying the fear factor in the Euro crisis.  Like the Fly said, why would the global G men wants another 2008 again?

Of course, all bet made in the stock market comes with risk.  Therefore, if I’m wrong “again!”, my stop losses will take care of me.  Yeah, I may give back a few percentage points in my YTD gain; but on the other hand, I may even gain a few more percentages as well.  It is all about your willing to accept risk and return based on your personal risk tolerance.

Good Hunting!

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With AAPL in bed with YELP (or is it the other way around?); there have to be something to it.

I also like the fact that there is a bullish engulfment bar (as of now and based on my version which rely only on solid bar and ignoring the candlestick tails).  The chart is showing resiliency since it bottomed out on 6/4.

In a way, this is a thinly traded stock with ridiculously spread, I’m putting a generous stop loss (below 38% retracement from recent high to 6/4 low) to give it room to fluctuate.

My position size is relatively small compared to what I usually traded with; so I’m not going to sweat over this if it takes out my stop.  Nevertheless, I may add if momentum continues upward per The Fly’s precognition… (grin).

Good Hunting!

 

 

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Now that I’m out of my TZA and SKF, it is time to go long!  And what better choice than to go back to the future?

DDD and SSYS have always been my favorite; and since Research Donkey latest news flash reminded me of the 3D printer, it is time for me to jump back in.

Bought 1/2 position of DDD and SSYS.

And as a antithesis, I bought TNA as well!

“What?  Nahh, TZA and SKF are no friends of mine; they are just drinking buddies when I’m feeling down.  For some reason, I’m feeling quite exuberant right now!”

Good Hunting!

 

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Take a look at the daily TZA chart below.  What did you see?  Well, I saw two up trucks sandwiching the down bar.  To me, that is good enough for me to buy TZA today.  I bought starter position.  I will add if Friday high is taken out. Stop will be at today low for now

Also, did you see the dashed line below today bar?  That is the 50 ma which show good support to me.

Update:

Whoa!  We got the Bad Ass Bullish Engulfment bar today!  Double signals (2 trucks and bullish engulfment)!  What more can I ask for???

This is not an advice; but merely my daily trading journal.

Good Hunting!

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I’ve a sudden urge to test Newton’s law of gravity; so I drop an AAPL to see if the gravity does apply to AAPL as well.  Lo and behold, it falls like every object.  However, since this is supposed to be a magical AAPL, I’m putting a trailing stop just in case it bounces in mid-air and knock me out silly.

Good Hunting!

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Yeah, we had a little fight last Friday but I’m over it.  After watching the boring and low-budgeted Spanish movie over the weekend together, SKF and I decided it makes sense to get back together.  I think we can make a good team.

SKF told me secretly last night that she thinks she may do some running this week.  Now, that really get my blood going.  What else can I do but to be enraptured by this delightful encounter?

Needless to day, I bought SKF this morning with a stop at today intra-day low.

Be careful though, SKF is known to be very feisty and can bring out the guillotine that everyone seemed to mention around here at iBank these day.  Naah, no worry, I watched Braveheart last night and I’m all “Psyche up” for the challenge (Shhhh… don’t tell SKF, but I get really queasy about the ending in Braveheart…).

Good Hunting!

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With market sentimental change overnight, again, we are re-entering the dark zone.  What else can one do but to join the dark force to make a few penny.  Without fanfare, I am moving back into my other home where my SKF lives; together, we will go hunting for slim picking.  Along the way, we met our old friend SDS!  What’s a nice surprise!  The more the merrier!

Bought starter position in SKF and SDS this morning.  Reason for the trade: breakout of yesterday high.  I’m looking for higher high and a higher low for today bar.

As usual, while I don’t mind hanging out with my mistresses, I don’t trust them; for they are famous for stealing when I’m not looking.  Therefore, my stops are below the midpoint of yesterday bar.

Good Hunting!

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Hey, I got stopped out of my SKF today and I’m feeling really good about it!  Why?  Take a look at the Bad Ass bearish engulfment bar below (at least the full body red bar contained the full body green bar from yesterday).

That look like a great force coming to stop this SKF from going further up.  It could mean the SKF run is over.  Meaning that there may not be a financial meltdown some of us are afraid of.  Meaning that the Euro-zone is going to find a solution instead of letting thing fall apart like some of us are postulating.  Enough of my wishful thinking and meaningless conjecture, let’s move on.

Well, when I see a bad ass bar telling me my run with SKF is over, it is naturally for me to start looking for something to go long.  As usual, I only trade my personal favorite.   I’m now long DDD, SSYS, EMAN, WPRT and some other exotic animals you probably don’t want to touch.

Basically, I’m now 40% cash.

Yes, you are correct, I’m crazy.  But in case you forget, this is just my “catching the falling knife play“; therefore, I have all my fail-safe protection in place in case I’m “wrong” which, again, happen all the times!  Hey, I was wrong on my SKF play from yesterday, remember?

Now I can my watch my monitors with renewed vigorousness.  It sure beats learning to catch a fly with my chopsticks! 🙂

Good Hunting!

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