The market was down slightly today. Thanks goodness it wasn’t another waterfall day.
Notice that today bar looked like a doji bar; while it was not technically a true doji bar since the open did not equal to the close; it was close enough that I believe the market had come to the point where the force of the bull was able to stop the bear relentless attack. Thus, we may be looking for a possible bounce tomorrow. Did you see how price bounced after the small range bar on March 14th and March 3rd? I’ll wager that the probability is on the upside bounce tomorrow.
After the market opened, $MZOR began to drop and took out yesterday low. Instead of waiting for the price to take out the low of the consolidation range, I decided to cut my losses when there were bids for me to take my sell orders.
Whoa! Was I lucky to cut my losses fast. $MZOR dropped like a rock not long afterward and continued to fall further down into the close. Today is another lesson that it pays to cut your losses fast. Even if I used a hard stop placed below the low of the consolidation range, i would still be able to get out before the price collapse; thus, having a plan (stop loss) to cut your losses is essential to holding on to your money.
After seeing $SEED was struggling to maintain $2.12; I decided to sell my shares as well to cut losses and raise cash.
Because $NUGT opened higher and took out the upper-band of the opening range, I bought a position with a stop below the lower opening range. I was stopped out for losses not too long afterward.
By the end of the day, seeing that the general market wasn’t going to do a waterfall close; I decided to use the available free cash to buy a starter position on $KNDI in the mid $15 level with a stop below $15.00. Luckily, I wasn’t stopped out by day close.
As you can see on the chart, price actually bounced off the upper-band of the old consolidation range. On top of that, the lower Bollinger band also happened to be in the same vicinity. This served as two supports that gave me the confidence to buy back some shares before the close. If price bounces tomorrow and I’ve free cash available from the three-day settlement, i may add more.
While I had to take some losses from $MZOR and $SEED, the bounce from $CARA helped offset the losses and my port was even for the day.
LRAD, SVBL, CARA, KNDI and 49% cash.
From my other account:
The whole cannabis sector was taking a hit from mass sell-off. Some speculated it had to do with $CANN being halted by SEC. I didn’t sell any of my $FITX and $MCIG shares. I’m going to have to take the heat from here. April is around the corner and I believe the fat lady is going to sing pretty soon regarding the faith of $FITX getting the license from Health Canada. Of course my money is betting that they will get it. Why do I think that? ‘Cause Health Canada needs all the large commercial growers they can get to ensure a steady supply to the current and growing medical cannabis patients in order to stabilize the price and get the new law off the ground.
My 2 cents.
Categories: Daily trading Journal