$TSNP - Bought this due to it looking similar to $ABML on the daily. It was a former runner that was bouncing again and already broke over prior resistance of $.225 and spiked nicely. I bought on the red day into the close cuz it had history recently of having a red day after a spike to then gap and run again. Since it was close to the breakout level and $ABML was breaking out, I figured it would be a good odds play. I was commenting on the play A/Hs on my Profit.ly post that reflecting on the trade, it seemed like a good idea but I felt 50/50 on the outcome.
Pros: Good volume, held higher lows midday, rebounded R/G into the close, and history of gap up reversals.
Cons: Finished off the highs, under VWAP, wasn't closing near the highs or strong compared to other OTCs, wasn't a sector play.
I had plans to sell the stock first thing in the morning on any gap up, which I got. I saw it was gapping up near $.3280s with a bid at $.3268, so I placed an order before the market open just under the best bid. I ended up getting executed at that price when and helped to take most size off since it didn't hold up well. I sold the last 500 shares at $.3165 when it was starting to take out the bids. Did get a bounce back up to the highs but I was comfortable taking it all off right away based on the feelings after I got in.
$OPTI - Had alerts on this when it broke past $.12 resistance cuz that was a clear resistance the stock had. Missed the alert by 15 minutes but kept it on radar. Bought on a dip into the close after the stock reclaimed VWAP and consolidated above it. I should have taken the reclaim of VWAP and consolidation as strength but I wasn't sure if the stock could hold up since the spread was wide and thought it would flush again. After it held and spiked past that consolidation, I bought after it pulled back from a HOD test with a risk of consolidation lows. I was busy at the market open which was good for my patience because I came back and sold after the bounce. If I was watching at the open, I would have tried selling at the open again and all out when previous day highs of $.1425 looked weak. It most likely would have been a scratch of a trade. Glad it was a profit but I could have come back to it in the $.11s and went against me. Will be watching my schedule for taking trades like that in the future so that I can monitor it better or place orders at bid.
Plans for Week 4:
- Trading in Fidelity more than E*Trade because I found that I have spent more than I needed to in fees from OTCs. The fees aren't necessarily the issue but the thought of them is influencing my trading and causing me to sell all at once so I don't have to pay the fee multiple times. With Fidelity, I can sell or add in chunks and not take away all profits.
- Focusing on OTC stocks only, I want to zone in on specific patterns. Since I can trade towards the end of the day, I want to focus on those EOD B/O plays when the stock is consolidating right above VWAP and has HODs it can test. I have seen many of those plays spike right up in PH and close near or over, making NHOD. Stick to one or two patterns on OTC and making sure to track.