09/25 – being smoked on AMRN

Started my day trading career with Tim Sykes and when I wanted to learn more, I joined Investors Underground. The DVD’s that helped me the most were Tim Grittani’s Trading Tickers and Nate Michaud’s Tandem Trader.  Software that has helped me in my early years was: Trade Ideas software. Now I use FINVIZ ELITE. Click on the highlighted links for more details. For my main page, please click here: Day trading for beginners


 

Generally speaking, I was watching CRON and AMRN today. I though AMRN would have gotten smoked today. Yet she is holding strong. TLRY and NBEV were keeping up too, so naturally their little bitch, CRON, kept pace. Just crapping a bit, but holding up her pants non the less.

I had a big watch list today and lets just say I missed my TRXC / GERN, basic strategy plan. You can read about it in previous blog posts here: Home page.

Today was not a good trading day and I will keep this blog short (no pun intended!). So basically I was trading AMRN a few times. My first short was when USD 13.05 / 13.00 was rejected. I wanted to cover at USD 12.85ish, but didn’t because I wanted to follow my plan. Which was a total gamble anyway because I do not see any edge, other then looking for lower highs, double tops and what ever basic pattern I could see. Never was I long biased on this piggy and I should have known the pattern because it is a basic, up on good result, catalyst play. Long ago I would have gone long on a break out of USD 12.50. I should have, could have, might have and any hindsight bullshit you can imagine, gone long when VWAP and the 20SMA held (obviously!). But I am so short biased these days I do not see these setups. They seem long forgotten. These were my bread and butter!

Anyway, so today was not the day to trade this. Tomorrow she will fit my strategy. I should have been, would have been or could have been looking at ASNA but I didn’t.

So in conclusion, and this is the lesson I guess, is that it is okay to be wrong sometimes. Admittedly, this is not my pattern. Not even close. If it was my pattern, I would have shorted at the bottom. Contra-trading the current mass shorting of big runners. This is, because of the stop losses that are triggered there. This piggy, AMRN, did not even get close. I think she might be going higher.

I did manage a quick long trade yesterday on AMRN near close. My thesis was that she will have a nice gap if USD 12.00 held. I got in at a lucky 11.88, risking 11.60. My goal was triggered at 12.15 so I sold my position. Not a large gain, but enough.

In the past, swings like these smoked my account so you should have a cautious approach. At the marker offerings are just around the corner, as well as discount offerings. Reasons I wanted to swing this were mainly the catalyst and the high resistance levels. Volume, as always, plays a big part in this too!

 

SERVICES THAT CAN HELP YOU

Trading large and mid caps is hot business. Tandem Trader offers some insight on how to trade them.

Kindly click the following link here for more info on Tandem Trader:

Tandem Trader DVD

Also, if you are interested in short selling, you should check out Trading Tickers, which contains two important strategies 1). shorting parabolic moves and 2). buying breakouts. You can find it by clicking the following link:

Trading Tickers

I hope you enjoyed this blog entry! As always, feel free to share this post!


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