Re-Cap for 7.2.018
By Madbash
PED 5, CEI 3.4, GBR 2.1 These Low Priced Energy Tickers had a nice run up when PED announced a huge reduction in their debt. CEI is looking like it wants to find support @ .47, and GBR is holding near it’s highs. If PED gaps up and breaks over 3.00 the other two could get some volatility. I will look for volume and bounce plays off of support. I made two big mistakes in reference to these tickers. First, I gave too much consideration to PED when I should have been focused on the Volume/Price Action leader GBR. Secondly I did not have a plan for gap up and hod breaks. Pulling the trigger on HOD breaks on Low Float stocks is a must. These are the strongest set ups when dealing with a situation like this.
GEMP 8.3 This pharma ticker announced good clinic results and had a massive gap up and some major volume. I would not want to long this because the long term chart is horrible. This could make for a good short as there appears to be a lot of resistance on the intraday chart from Friday. This ticker closed red 18% on the day after gapping down. The bounce off of 9.00 would have been a good opportunity to short in the 9.70s
HMNY 80 This former supernova has been in a major downtrend for eight months since it’s last huge run. This finally found support at .17 then eaked up a penny at a time until a strong b/o @ .22 This is too much of a junker for me to long, and It has far too volatile a history to short. I would plan on a short into resistance @ .45 if I was a gambling man. Longs got burned bad by a 1.2 billion dollar shelf offering this morning. This ticker closed down 25% after a fair amount of volatility. I guess a 10 for 1 reverse split would help tighten up the float and push along the 99% loss bagholders.
CANN 30 I have been shorting the spikes of this low volume OTC weed ticker the past week. I am watching for further crashing to the low 3.00s, but I would welcome a strong day or two to get another position built. The trick is to get a good entry and only add if you get a fade and rebound toward your entry. This ticker had very low volume on it’s second green day. This very well could be a tweezer top on the daily at 3.67 The volume is too low for me to play, but I would love a push toward 3.90 or 4.00.
GEVO 1.12 This recent Low Float Super Nova has been hammered from the mid 20s to the high 3.90s This should likely have a bounce, but there is tremendous selling pressure. This could get very ugly as this is approaching all-time lows. The ultra-low float makes it way too scary to short. This ticker had a slight green day and appears to have found a base around 3.80 This may bounce, but I see lots of overhead resistance to contend with.
I have unlimited trades with IB and a small cash account with Etrade. I need to respect my privilege to trade and avoid overtrading. Alexander Elder said it best with this quote. “If you let the market make you feel high or low, you will lose money” With that in mind I will do my best to follow my plans and not let Elation, Fear, or Greed influence my decisions. I did fairly well controlling my trading today. I did trade all 3 tickers from the low float energy plays, but I had poor entries for the most part. I did take a huge lesson, in that I know better than to overlook the volatility leader.
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The Alexander quote is great. One we could all learn from. It's tough to get past it.
@JeepTrader I feel like it is impossible to fully control your emotions, but you can observe them and learn to act on your plan before your "feelings" get involved. We are all happy when we win, and sad when we lose, but if you keep your risk in check you will avoid the most painful of plays. Be mindful of greed and fear, that is the true objective.
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