It was a tricky week with the bull gaining ground at the beginning of the week only to give back all gain plus more by end of the week.
Price is now sitting on support at the 79 MA as well as the 12/31/2015 closing (yellow line). There is a 50/50 market may bounce on Monday.
Again, I sensed a storm coming on Thursday and decided to liquidate most of my positions except for $IBIO and $ARTH to protect my capital. Furthermore, I also loaded up on ETFs to short the market using $QID, $SPXU, $TZA, $SKF on Thursday expecting a red opening on Friday. Again, the market did not conform to my expectation and kicked off Friday with a strong upward momentum from pre-market action. Instead of a deep red opening, I was faced with a bullish rally; needless to day, I closed all my ETFs for small losses. But then, the market began to give way later in the day and ended Friday down 185 points on the DOW.
Again, my timing sucked but I’m fully aware that I’m trying to short the market in the bull territory; hence my quick run to cover Friday morning instead of holding on to my ETF shorts even though I turned out to be “right” by end of the day. Sometimes, it is not about being “right” at the end, it is about protecting capital when my expectation of a deep red opening did not materialized. In summary, while my timing sucks, I did not regret closing out for small losses.
$AMRN closed the week slightly higher from last week down bar
I also sold out my position on Thursday when I sensed the storm coming. But then the weekly script on Friday reached new high at 15,850 so I decided to buy back some shares. I will look to add back shares to build back my position. Although Amarin is facing a tough headwind due to the fact that price is below the major resistances of the weekly 79 & 89 MA lines, I take comfort that price is still above the downtrend line for the time being.
$ARTH is holding steady with a week up slightly.
There is a strong support while waiting for the result of the human trial to be released this summer. Arch Therapeutics is one stock I will not trade in & out no matter how I feel about the general market. I’m holding this one all the way. There is no telling how high this one can spike if the news of the human trial is positive all the way. Holding long and strong.
I entered into a new position this week- $DUST. I bought $DUST on Thursday but sold out Friday morning. Later I decided to stay with my conviction that the technical divergence b/w the oscillator and price action on the $GLD chart may foretell a correction in gold is coming; thus I bought back $DUST on Friday before the market close.
Below is the $GLD weekly chart showing the technical divergence I mentioned:
Due to the volatility of the gold market, this is purely a “gambling” bet despite my own interpretation of the chart. Sometimes, I took a “tough” play that bothered on “gambling” just to exercise my resolve to execute a “difficult” trade based on technical signal despite an overwhelming opposite sentiment.
Meanwhile, $DUST bounced slightly off the bottom from last week bar even though it was slightly down for the week. If I’m wrong, I lose money on $DUST but I gain mental strength in taking difficult trade regardless. My mental stop is below the current low of $1.27.
$IBIO showed strength by gaining slightly this week.
By not having a down week, last week doji bar is confirmed as a pausing bar. I’m still a big believer in iBIO’s CFB03 for treatment of fibrosis diseases:
$IBIO and $ARTH are two stocks I will not sell despite my negative sentiment on the general market.
$MTCH has a great week. After some delayed bullish action the week before, price opened strong and continued to rally four days straight and peaked out on Thursday morning.
However, due to my negative sentiment of the general market, I decided to take my profit and run when price traded back down to the $14.95 resistance after breaking out of $15 at the open on Thursday. I did not buy back shares on Friday ’cause I want to see how the market react to the Lockup expiration on May 17th next Tuesday. I may start to buy back shares if price drops further on Monday. Overall, I’m still bullish on Match Group but I want to protect my gain at the same time.
Due to gain on $MTCH, my port has another strong week. As of now, I’m back to being a “stone throw” away from gaining back my 2015 losses.
Main port (no margin) : IBIO, AMRN, DUST and 66% cash (up 29% YTD).
Trading port (with margin): ARTH (up 54%)
From my camera: