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.
NG Target 1 hit & stop raised, F & MOS closed (last week)
Open Position Notes:
NG triggered a buy on Friday as it cleared the upper trend line of the large bull pennant I’ve been watching, and showed excellent continuation today. The stock ran right through Target 1 this afternoon where I closed 1/2 my position for more than a 9% gain. I’ve tightened my stop for remaining shares to just beneath afternoon intraday support so as to book a big winner should this one happen to pull back before reaching Target 2. This move has been big and fast, so I have no interest in giving much of it back if the stock happens to take a breather. With the S&P still in a trading range, it remains important to stick and move.
Closed Positions:
MOS bounced on Friday to hit my adjusted stop to take me out for breakeven. That was a disappointing outcome given the fact this stock had been performing very well as a short sale in the face of a strengthening market, but with Target 1 not getting hit I just couldn’t allow the decent winner to turn into a loss. I was patient with the trade, adjusted my stop along the way and still allowed it room to fluctuate, but the result was a flatted trade. Whenever that happens and a stock reverses, getting out at breakeven is the next-best thing. In a bull market, the short side just becomes more tricky.
F hit Target 1 on Thursday and I adjusted my stop for remaining shares and that was hit on Friday to take me out of the trade for a 2.2% gain on the 2nd half. The net for the trade was a 2.9% gain, which is nice for a mega-cap stock. It looks like it needs rest for now, but I’ll keep it on the radar in case it sets up again.
