So far I’ve closed 3 trades this year (not a lot of activity compared to last year since my day job required more of my time). I’ve had to make adjustments particularly in my trading time frame. I’ve extended it so I wouldn’t have to be actively managing as much.
The losing trades:
GERI was one of the laggards I was looking at. It had a good base and was looking to start ripping to the upside. Unfortunately that didn’t happen. I waited for the bounce at the 50-day but that didn’t happen as well.
What I could do better: if 50-day is flat and price is weak compared to the EMA then I will close out the trade.
LCB had a nice run up in November. I wanted to enter without chasing so when it was consolidating in late December, I decided to pick up some. The stock ran up to new highs in early January but momentum quickly waned and the stock succumbed to selling.
What I could do better: Although I was able to get out exactly at my stop loss and right before the down move towards 1.60. I felt that I gave up too much profits in that move. The stock was moving into new highs. The ideal situation is that the late buyers would be buying it up but that didn’t happen. Price quickly went below the EMA and wasn’t able to recover. I should have gotten out by then.
This is the big winner that I was able to catch this year. Nice buy point after getting out of a nice basing pattern. Quickly ran up over 50% and then retraced. I closed out the trade when it failed to capture the EMA.
What I could do better: this is one of those trades wherein I wanted to hold on because it looked so good on my portfolio. However after those 2 huge down days I decided that I wanted to close it out for fear that I would be giving up profits again as in the case with LCB. In this case, I don’t have an idea on what I could do to exit earlier without pre-empting the move. The shooting star candle was a warning sign…followed by a nice confirming down move. Maybe that’s where I could’ve sold and saved a couple of cents. Not complaining though. This was a nice swing :)