SNAP! But the mouse ($DDD) got away from the trap…

It was a trap alright, as predicted by The Fly, and I was stopped out early in the morning; however, being stopped out is only a rest stop for me to take a break, so I watched for a floor to form in the 3m chart and it did.  Without hesitation, I jumped right back in with stop below today intra-day low.  After some struggling with the bear, the bull finally won over later in the day.

The daily chart does look incredible promising for a possible rally to the upside.  Look how the green bar has already penetrated the downtrend line.  $DDD is one of those animals that, when spook, will run three miles in a New York minute (up or down).  I’m expecting to see $DDD make a mad dash to the upside next week if the general market is done with the correction already.

Below is the weekly chart:

Look at the solid green bar being formed this week.  They even have a name in the candlestick library to identify the pattern of today green bar versus yesterday bar.  It is called the bullish piercing pattern.

I added more $DDD so I now hold more than I’ve held yesterday.

My 2 cents.

 

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I’m a big fan of jumping beans.  They are just curious fellows and it is always a delight to watch them jump all over the place.

So when I looked at the $GLOG chart, I couldn’t help but remember the jumping beans.  There was this one bean that jumped so high it went over the box…  and I think this $GLOG will do just that.

Take a look at the daily chart:

Did you see the resemblance of the jumping beans in the price actions for the last month?

After falling off from the uptrend line, $GLOG has been consolidating for about a month; I think it will soon resume it bounciness to jump much higher.

Take a look at the weekly chart below:

There is a solid base and support around $12.17 area. The overall trend (blue line) is still up.

Once the general market brush off this consolidation and head higher, $GLOG will jump much faster is my take.

I bought starter position on $GLOG today.

My 2 cents.

 

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Well, today is one of those day where I’m missing the boat because I cut my loss quickly.  $BBRY gapped up at the open and I decided not to chase it.  This is one of those case where I’ve to accept the inevitable of missing some gap up by taking loss earlier.  It is the price we all have to pay once in a while.  It is a fair price considering the larger losses I may have taken if I’ve not taken loss earlier.

Did I kick myself?  Well, I did utter the word “Darn!” when I saw the price.  Do that count?

Afterward, I’ve completely forgotten about the “missed” trade and have been busy with my other stuffs.

Anyway, $PACB went higher and I bought a bit more.  $AAPL was not behaving in a up market so I decided to sell it at breakeven.  Then I had to be away from my computers for awhile; and when I came back I was surprised to see $PACB printing below yesterday close after a strong opening.  Immediately, I sold 2/3 of my position to lock in profit.  Unfortunately, there were no buyers to bid the price back up and the price continued to trend lower; so I sold the rest of my $PACB.  Because I bought some more in the morning, I had to give back some profit from yesterday gain.  But overall, I still came out nicely.

I checked $DDD and saw that it was trying to come back.  Using yesterday low as a stop, I consider it a low risk trade so I bought a starter position using a GTC (good till cancel) stop.

I also like $XONE action so I bought a small starter position as well.

After getting out of $PACB, I took a look at $DCTH and was impressed with its late day rally.  It was down all morning but interest seemed to come back.  So, without thinking too much, I bought back my $DCTH to see if this bounce would kick off the rally I was waiting for.  Remember, just because I’ve gotten out of a stock to cut loss doesn’t mean I’m not interested in it.  Far from it, I’m even more interested watching it as a bystander waiting for the moment to jump back in. Think about it, your mind is much clearer looking at price action when you are not carrying the losses from your prior entry.  Your mind is free and clear and you can look at it like a new trade with profit possibility instead of looking at it like a stock you need to get back to breakeven.

I also added to my $TINY position to build it up to the size I wanted to hold for a longer term position play.

Today, I’m taking heat from $AMRN and $SZYM but the impact is being offset by gain on $LRAD.

Basically, it is a non-eventful day so far.

Current positions:

LRAD, AMRN, SZYM, TINY, DDD, DCTH, CUR, CDXS, XONE and 35% cash.

My 2 cents.

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I like to say it can.

Take a look at the daily $DDD chart below:

It has a higher high and high low yesterday even though the bar was a red bar (close below open).  Today is an inside bar but a green bar nevertheless.  We have a divergence from the momentum indicator favoring an upside possibility.  I bought a starter position with a stop below yesterday low just in case.  I consider this a low risk trade.

Below weekly chart shows a current green weekly bar near the 61% Fib retracement support level.  Let’s see if the support hold.

My 2 cents.

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The daily $SPY chart below shows that price action is bouncing off the Giant Wall 1 but still below the resilient Giant Wall 2.

The weekly chart below shows that a solid uptrend is still intact.  I like the fact that we have a green weekly bar in mid-week.  If this is a red bar with price below the GW1, I would be worry; however, current green bar provides positive bias to the upside.  My bet is that by end of week, $SPY will attempt to breach GW2 once again.

My 2 cents.

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Today was a busy day as well as a productive day.  I was able to readjust my portfolio down to nine stocks (inside the ten I wanted to keep under).

The day started off with my buying $CCJ in the morning simply because the market opened up.  I also added to $BBRY expecting the price to hit $16 today.

I also like $CDXS bounce and was able to buy back some.

$PACB looked solid in the morning so I added more; meanwhile $DCTH was on the defense all morning and I didn’t want it to take too much of my attention, so I sold 50% of the position first and later the rest for small losses.

Then the DOW began to trek down to the even line and $AAPL was doing the same in the waterfall style on a 3 min chart.  I don’t like waterfall falling prices, so I automatically reached for my mouse and sold my $AAPL to lock in profit before I gave back too much.

Even though $CCJ was still struggling to hold, I moved my stop to breakeven just in case.  It was later stopped out.

$IMUC did not look good and it had been down the last two days; so I made the decision to sell now for small loss and maybe buy back later at lower price.

$AAPL looked like it was stabilizing so I bought it back with a tight stop below intra-day low.  It was also stopped out later.

Before I knew it, $BBRY was also stopped out for small loss.

Since $PACB was acting strong all morning despite the DOW downdraft, I continued to add more which turned out to be a good decision.  $PACB closed today up 16%!  Yay!

I also took the opportunity to buy back the $SZYM I sold yesterday with the expressed purpose of buying them back cheap.  I’m now back to full position on $SZYM.

$TINY, unfortunately, was going through some correction; since I’m considering this one at a position trade, I’m not going to jump in-and-out on this one especially when volume and liquidity is low.

By end of day, with the solid performance of the Bull making a valiant effort to bring the price action back to the Giant Wall One level, I decided to buy back the $AAPL shares I sold today.

Although my portfolio did not move much today with bad ($AMRN & $TINY) against good ($PACB); overall, I’m satisfied with today effort which was all about following the process correctly- cutting losses and adding to winner.

Current holding:

LRAD, AMRN, SZYM, TINY, AAPL, PACB, DNN, CUR, CDXS and 31% cash.

My 2 cents.

 

 

 

 

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Breaking news from ZENews!  Sally Comegetme is on location reporting…

“Zen, we have a fierce battle going on here but I can see the Bull is putting a strong defense.  From where I stand, I can see the Bull is still fighting in the proximity of the Giant Wall 1 and the Bear could not move the bull away from the wall.”

Without warning, an arrow zipped right through b/w Sally and the cameraman and almost threw the cameraman off balance to the ground.  The camera was accidentally pointed to the sky for a brief seconds during the tumble and we could see a dragon flying its way down to the bear camp with fire shooting from its mouth.

“Whoa! Is that a dragon I just saw?”

“Yes, but they are friendly to to the Bull, Zen.  Wow!  Did you see that Zen, the Bear camp just light up like a Christmas tree!   Way to go, dragon-bull!”

Without warning, the connection was cut and we lost the picture of Sally.

Well, look like the Bull may be able to come back on this one.  If you look at the SPY weekly chart below, we are forming a doji bar right at the Giant Wall 1 support.  In other words, the support is holding.

The daily chart below doesn’t look too bad either.  I like the longer tail at the bottom; this signify the bull is making a valiant fight back.

Zen out.

My 2 cents.

 

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Yesterday, I saw the doji formation on $PACB above the 79 & 89 moving averages; so without hesitation, I bought back $PACB.  I did not hesitate simply because when you have a doji formation at the bottom of a downtrend near a support area, the odd (or probability) of a turnaround is high.  No, it is not 100% but the odd is in your favor.  So, like a blackjack card-counter who sees that the undistributed cards are stacked with 10s, Jacks, Queens, and Kings, he starts to bet big.  In my case, I simply bought back my position.

I also added more in the early morning because of the upward bias.

Look at the beauty below:

Notice that I’ve been cutting losses on $PACB during the previous downtrend to cut loss and yet here I am back on the saddle riding the rally up.  If this doesn’t convince you the value of cutting loss fast and the fact that cutting loss earlier doesn’t mean you will miss the boat (not all the times; but some of the times), I don’t know what will?

My 2 cents.

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At the open, SP500 was down only -14 when the night before it was -22+; therefore, it was actually a bullish open if you compared to last night. Nevertheless, after watching for a few minutes, I decided to sell the uranium based stocks first because these are usually the most susceptible during an international crisis.

Then I sold $HW simply because I believed the odd of profit-taking was high on this one during a general market correction.

Next, I put a protective stop on $BBRY under the Friday low but it got stopped out in no time.

$CGEN had been weak since I bought so I didn’t want to hold this one any longer especially in a market correction; thus, I just placed my sell order in pieces to sell the rest but was surprised I got some good fills as opposed to tanking the price.

Figuring that since I sold $CGEN, I might as well lighten up my biotech holding by selling $PACB as well.

I also felt I was over-weighted on $SYZM, carrying $CDXS seemed excessive so out it went.

$SZYM rallied first and I was impressed; then later it began to sell off back to even for the day. I decided it was time to lighten up so I could buy it back cheap later; so I sold 38% of my position.

Slowly the market began to turn.

Seeing that there was no 200 pts drop and that the SPY was actually moving up, I decided to buy back my $DNN for a price below my sales price this morning.

Then I saw the bounce on $DCTH and thought it was a good time to jump back in. There is only about a month and a half before FDA result, so I figured that this bounce could be the start of the next rally.

$CUR also looked good on the chart so I bought.

$IMUC was struggling but it still looked solid; so I leave it alone.

$BBRY went over $15 after I was stopped out so I bought back starter position after it came back to low $15.

I was half expecting $PACB to collapse but it didn’t; so I bought it back since it was forming a doji bar. A doji bar on top of the 79 & 89 ma looks like a possible turning point to me.

I read up some documents over the weekend on $TINY and I’m convinced that this may be the year for $TINY to shine. Thus, I increased my position size by 62%. Basically, the money I salvaged from my sales of $USU was piled into $TINY.

$AAPL is the only shining stock in my portfolio today.

Today down market is not a good day for my two large position trades ($LRAD & $AMRN); thus, my portfolio is now taking heat. However, I usually don’t pay much attention to my portfolio balance when it is the position trades that drag it down since I consider it as an expected draw-down.

However, I’ll have major issue if my portfolio is dragged down by my swing trades position. If this is the case, that means I’m not cutting loss when I should be. Since I don’t have any expectation of my swing trades making killer move, so I don’t try to hold it when I’m losing.

On the other hand, I expect that when my position trades make the big move, it will more than cover all the paper loss and more.

With the Dow closing less than 100 points today, I think we have a healthy correction. so, let’s get on with taking out the Giant Wall 2 please.

Currently holding $LRAD, $AMRN, $AAPL, $TINY,$SZYM, $DCTH, $DNN, $IMUC, $CUR, $PACB, $BBRY and 25% cash.

My 2 cents.

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Below is the thesis from Harris & Harris Group, Inc. ($TINY).

***Notice that it was published in Spring of 2009.

 

Source: http://www.hhvc.com/docs/press-center/why-invest-in-nanotechnology-.pdf

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