The Hit List is a look at our current swing trading positions. Stocks we are already in have “triggered”, while those we are considering for plays have not triggered. Click post title to view print-friendly link.
NEM Target 1 hit, NEM & GDX stops tightened, STP closed
Open Position Notes:
GDX headed lower today after breaking the rising trend line yesterday, showing some nice relative weakness to the market. This one got within 2 cents of Target 1, but stabilized just above that level. I would expect to see that level get taken out very soon, so I’m watching for continuation now that a lower low is in place. Good action so far, and I’ve adjusted my stop loss to reduce my risk in the position while I wait for follow through. If this one happens to show some good weakness tomorrow, I may even close it out entirely due to the sharp nature of this move and the tendency of sharp moves to invite reversals. Therefore, keep an eye on the Twitter stream or your email inbox for a possible alert related to this trade.
NEM continued lower in a nice fashion today as it saw heavy selling pressure. It moved down through Target 1, where I closed 1/2 profits for a quick 3.9% gain. Target 2 came close, but the stock held above it for now. I’ve adjusted my stop for remaining shares tonight while I wait for Target 2 to be reached, but so far, so good for this trade. If this one happens to show some good weakness tomorrow, I may even close it out entirely due to the sharp nature of this move and the tendency of sharp moves to invite reversals. Therefore, keep an eye on the Twitter stream or your email inbox for a possible alert related to this trade.
Closed Positions:
STP tried to turn higher out of a very bullish base, but ultimately just couldn’t get it done. The stock had held up very well in the face of the last market dip, but when the indexes turned back up, this one did not. A few attempts at a rally were thwarted, and despite my patience, I finally had seen enough. So today I sent out an intraday alert via email & Twitter that I was closing the position near breakeven ($0.01 gain) at $10.96, and shortly afterward the stock headed south. When a setup simply isn’t playing out and has been given more than adequate time to do so, an exit near breakeven is the next-best scenario. I took that today and will stand aside from this stock until it starts exhibiting better strength.
Jeff, I know you don’t like to hold into earnings. FYI NEM reports this morning (Wednesday).
Morning Gary!
Yes I just saw that, and for the life of me cannot determine how I missed that. I flip around a few different earnings calendars, and sometimes they just display different dates. Needless to say, it was an accident that I held it into the report.
Fortunately, it’s a lucky hold as the stock is trading lower this morning. There’s still a conference call starting at 9:30 ET, so what I’m going to do is tighten my stop very aggressively for remaining shares on the open to $55.25. That way, if it trades a little lower, Target 2 is close by. If not, I’m out without giving much of anything back.
Anything good on your radar for today?
Jeff