12-06-2013 Trading Journal

Market opened with a bang and was able to stay up this time. A strong day overall.

Meanwhile, I added to $TINY and $CUR to round up my position size with the available cash released from the 3-days cash settlement.

But $CUR was short-lived since price began to collapse after I added.  When price penetrated the daily 5 MA line to the downside, I was stopped out not long after that.

cur_daily

One look at the chart above and I’m glad I sold. Since the losses were small, I didn’t even think twice about it.  I immediately looked to allocate half of the proceeds (the other half still locked in 3 days settlement) to $KNDI which was doing the opposite of $CUR.

At first I sold $AMRN to cut losses when price traded below $1.80.  Seeing that $KNDI was spiking up, I wanted to add to my already large position on $KNDI.  So, with $AMRN heading down and $KNDI heading up, the decision was easy.

kndi_5m

.As you could see, price made a big spike up not long after the open.  By the time I sold $AMRN to get the cash, price already traded over $7.30 and was on the way back down to $7.18 area.  I didn’t care, I just bought at market ’cause the momentum was very strong.

And that was not over yet.  After my $PXD position was stopped out at breakeven (from my GTC hard stop), I added more $KNDI to round up my position size.  Literally, I almost doubled my position size on $KNDI today.  It is now the 2nd largest position in my portfolio after $LRAD.

Why am i so bullish on $KNDI?  The way I see this, today news item from $KNDI regarding Geely’s remark to electrify the London black cabs is of major significance.

Kandi partner Geely to develop electric cabs, China Daily says
Zhejiang Geely, the new Chinese owner of the iconic London taxi brand, announced during British PM David Cameron’s trade visit to China that the company plans to develop a fully-electric version of the car within five years, according to China Daily. Note that Geely and Kandi Technology announced this March a partnership to research, develop, and produce electric vehicles. Kandi shares are up 6% to $7.25 in morning trading.

Basically, the remark put $KNDI as a significant partner from Geely’s perspective.  Furthermore, it also reflects the commitment Geely has on the EV market.  It may as well be the beginning of the unstoppable trend of phasing into EV automobiles in the future.  Tesla practically kicked off this EV market with a big bang and is now unstoppable.

Moreover, within five years, the electric black cabs will be just one of the many EV product lines available; by then, the improved battery technology will have created stronger demand for  EV in China as well.  And guess who is in the forefront of this EV industry in China?  You guess it, the Geely-Kandi joint-venture.  What tickled me the most is that Geely is the owner of the London taxi brand.  If Geely-Kandi can pull this off, we are talking about major marketing exposure in a global scale.

Now you know my reason for getting aggressive in buying as much $KNDI I could get my hand on today giving available cash.  I need to remind myself that this is a long-term investment and not get too trigger-happy to lock in short-term profits.or losses .

After getting out of $CUR and $AMRN, I’m down to eight hi-beta positions with $LRAD and $KNDI represents 53% of the portfolio.

Thus, with a nice rally from $LRAD and $KNDI today, my portfolio pretty made up for lost ground yesterday despite losses today from $AMRN, $CUR and $XONE.

Before I forget, I also bought a small starter position on $WG simply because I expect price to bounce off the lower band of the Andrew Fork in the weekly chart.

WG_weekly

However, if price penetrates this line, I will cut my losses.

Current holdings:

LRAD, KNDI, CERS, KGJI, XONE, GALE, TINY, WG and 5% cash.

My 2 cents.



Categories: Daily trading Journal

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