03-25-2015 Journal- $LRAD, $CERS, $AMRN, $SWIR

Apparently, the market spent too much time looking at the mirror watching itself gavotting that it tripped over a banana peel.  It wasn’t pretty.

DJ-30 daily

Price stopped at the 89 XMA line but that support needs to hold if the bull is to win back momentum.  If it doesn’t hold, then the next support is the intermediate term uptrend line below.

When the DOW took out the low of last Thursday, I knew the overall stock market climate was having a serious cough.  From the market cough perspective, I started to unload my large holding in $AMRN, $CERS, and $SWIR.  Giving my swinging for the fences style of trading, I’d to act fast to protect profit and quick draw-down if the overall market climate took a tumble.  From my experience, if the weather is bad, it is prudent to pack up and stay indoor for safety.

$SWIR was stopped out ’cause it took out the low of the consolidation range of $33.80.

SWIR_daily

The chart no longer looks like it is forming a double-bottom; instead, it looks like the down-leg momentum is resuming. So, in a way, I’m glad I was stopped out for small losses.

For the same reason due to a tumbling DOW, I unloaded a big chunk of $AMRN to protect my previous gain.  As the risk of missing another run to the upside, I must adhere to the market rules I created for myself and one of them is that the general market strong mood dictates the direction of all stocks (ok, not all but most).  Today was a strong mood swing to the downside coming from the DOW.  Not that I don’t believe we can get a fair decision from the judge ruling over the five years NCE agreement, I’m more concern with the forced margin liquidation when the bear momentum continues on tomorrow.  Not that it will fall further tomorrow; but I must protect myself in the event that it may fall further giving today red flag warning.  Thus, I’m only giving way to major market movement and look to buy back $AMRN at lower price if I can.  If the bear momentum does not continue on after today action, then I’ll look to buy back $AMRN sooner than later.

AMRN_daily

I was expecting another green bar today to confirm yesterday bounce; but instead I got a red bar. While price is still hugging the upper Andrew Pitchfork line, there is a 50/50 chance price may drop below it tomorrow.  I had a sell stop below $2.40 to sell the remaining $AMRN shares and it was triggered.  Now, I’m flat on $AMRN.

While sitting on a larger losses on $CERS than others, it was the easiest to sell since the chart looked very bearish.  I was expecting a bounce and today market big dump definitely would not support any bounce.  So I also unloaded a big chunk earlier in the day to take losses.  I sold the remaining shares when price took out the 4.00 support.

CERS_daily

Today big red bar told me that the bear is fully in charge so there is no point in fighting for my belief against a market trend.  However, I will look for a place to buy back shares before any announcement of further blood-bank sign-up if I’m lucky.

$LRAD did not drop as much which I believe was due to prices already taken a beating in March.  Thus, $LRAD is the only stock I’m still holding in case the market roars back upward.  This way, I’m still participating in the market; just not fully loaded.

LRAD_daily

Considered the DOW dropped almost 300 points. $LRAD did a good job holding its ground.

As expected for a day like today and the fact that I wanted to take the “cut losses” pill now (than risk taking an even more bitter pill later), my port gave back 3.2% for the day.  YTD gain is now at 16.2%.

Current holdings:

LRAD and 67% cash.

My 2 cents.



Categories: Daily trading Journal

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