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.
EBIX & SFLY closed, RCL triggered, FCX added
Open Position Notes:
RCL triggered a buy this morning as it gapped through my intended trigger price of $28.15 to clear the trend line and start a new leg up. The initial strength didn’t hold, and the gap was subsequently filled. From there, I was encouraged to see buyers step in and defend the stock, producing a lift into the afternoon. The stagnant market may have contributed to a lack of follow through in this one, so I’ll be watching it closely in the coming days to see if it’s able to build on recent strength. I’ve tightened my stop tonight in order to reduce risk in the trade after having to chase the entry, and will otherwise watch for some follow through.
Closed Positions:
EBIX hit Target 1 last week and was closing in on Target 2, so I tightened my stop over the weekend. Today the stock saw some profit-taking kick in, bringing the stock down to hit my adjusted stop for a 4.6% profit on the 2nd half of my trade. On the net trade, I closed out a 4.8% gain, and will now watch for a new setup to emerge in the chart before considering another entry.
SFLY pulled back today to stop me out for a 0.8% loss, which is minimal and therefore easy to accept – especially for a trade which never panned out as expected. I had anticipated this one to trigger and then accelerate higher in a short-squeeze type of move, but it just couldn’t create the emotional move necessary for that and instead just hovered near the trigger price for the past few days. As a result, I tightened my stop aggressively and consistently, reducing my risk in the trade while waiting for some attempt at follow through, but the stock apparently isn’t ready to go and today I was taken out for a very small hit. I’ll leave it on the radar in case it sets up again, but for now it seems to be stuck in a range down here for now.
