April 15, 2008

Net: $130
LFT: 0
DD: 0
Trades: 32
Shares: 3200
Frame of Mind: Clear, everything’s clear

News about Delta’s Northwest acquisition on Bloomberg today. I didn’t understand it, but the chart says SELL to me.

nwa-041508.png dal-041508.png

Shorted NWA 11.93 quickly as it was going down, didn’t have time to think if I would put in 200sh. It didn’t go against me, it just fell and fell as the bids kept disappearing until there was some sign of support at 11.20, the price of the previous day’s close. Took mine at 11.60 for a $63 gain. I would not make much after this.

To my surprise it kept falling a lot further to 10.60 where I had seen that there was good support because of the daily EMAs converging around that price. I bought at 10.62, then at 10.49,  went to as low as 10.39, I was ready to cut at 10.00.

Fortunately it pulled back to 1EMA21 and bounced right at the resistance. However I took mine way earlier at .61 and .69 because I was scared it would go back down and take away my gains.

azn-041508.png

I lost $10 on AZN as I shorted it at .63 on the way down, it went against me and volume died so I decided to take it out instead of averaging.

jpm-041408.png

I spotted that JPM was pulling back to the 15EMA21 so I shorted at 41.80, but I took it for a quick gain as I saw that it was forming a bullish pattern. FOKd in at 41.89, perfect timing, it shot up to 42.03, I was waiting to get out at 42.05 and didn’t get hit. Finally got out at .05 on the second try, that was the high! how lucky!

It then retraced to .90 where I was waiting to buy, another 200sh at .80, to cut at .75. I was very bullish on it. Fortunately for me there was still some buyers  that brought it up to 42.89, 42.99, 42.10 where I got out. Top was 42.16, I was waiting to short at 42.20 because I figured it wouldn’t go past the high (that’s where I’m willing to get stopped out). At this point I was up $130.

I needed a little bit more to meet my quota (my LFT) so I traded some more BAC. I was patient and waited for a good trade since I’m under no pressure whatsoever.

Good trades for today.

What I did right:

Quick thinking and FOKd in NWA, or else I wouldn’t have gotten the $60 trade.

FOKd in JPM instinctively and that resulted in a respectable $20.

What I did wrong:

Did not wait for NWA to get to 1EMA21 at the least. Too scared to lose my gains. Maybe I was overexposed that’s why.

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