has some high volume today, already at almost 500% relative
volume, one to watch for a trade, intra day it may be setting up a
bull flag via a 5 min chart
VLNC was definitely the star today. Here's an updated
chart, objectively the pattern measures to $1.85 - $2.0
on the high end if that is an inverse H&S breakout
pattern.
The wife is still home today so I did some things with her and
am just getting back, that's why I have not posted since this
morning when I mentioned VLNC.
however I see that
VLNC worked out
nicely! I hope you caught it, I just sold the majority
of my stake, I'll keep some for a runner
As I said this morning, volume was an impressive 500% and
generally when that's the case, your odds are a lot higher,
especially on days like this when a lot of the 'pros' are gone.
Currently vol% is now 1200%.
frtaylor- after a
move like that I always sell at least 1/2 automatically like
an autonomic response reflex. If volume is nice,
then I keep a runner and give it some room, and sell at those
targets or if I see something negative on say a 15 or 30 min
chart.
You have to figure out what works for you and is comfortable
with your style. It's different for every trader. Here
area few guidelines about what someone could have done with
VLNC:
1. If you are
day trader, then
today was good enough for a very profitable 1 day trade. Typically
day traders go much heaver in their position size relative to their
total portfolio then swing traders because obviously they are
selling out quickly.
Money Management;
figure out based on your account size, what your average position
size would be for your trades, generally no more then 5% - 10% of
your money into one trade for swing trades. Now a Day Trader
can go much heavier because he/she is selling sometimes min or
couple hrs etc.
2.Swing trader, I
make it a practice to sell 1/2 automatically after a 10% move,
especially when it occurs in one day. For swing trades I
might sell 1/2 - 2/3 and keep the rest for a swing trade for
days to weeks. Again, follow a rule of about 5% - 10% into
one position.
3.Hybrid Day Trade Swing
Trader and money management: This is a category that I
fall into many times, especially if the volume % is
especially high like 500% and greater early in the day. For
stocks like these with a very high volume percentage, instead
placing 5% of my portfolio money into the trade, I go a lot heavier
maybe buying 3 - 5 times or more what I would normally buy as a
swing trade, then I sell out 80% - 90% during the day, and the 10%
- 20% that I keep as a runner ends up being a nice size anyway, on
the 80% - 90% that I sold for a day trade ends up making as much
money as the average position size that I would have bought for a
swing trade.
Those are some thoughts, again there is no one right way to do
it, play around and figure it out on your own, what works for you,
Steve and I are not perfect, so explore on your own.
Posted by frtaylor on 27th of Dec 2010 at 08:54 pm
Thank you so much Matt. I held a small position and went ahead
and sold at 1.66, though I may watch for a re-entry - there's a
clean uptrend line to use as a buy on a pullback w/a tight stop. I
haven't had the nerve to put up more than 10% even as a day trade,
but as I gain experience that may change. Your descriptions of
swing, hybrid etc. are extremely helpful. In short, you're AWESOME!
thanks!
VLNC
Posted by matt on 27th of Dec 2010 at 10:31 am
VLNC chart
has some high volume today, already at almost 500% relative volume, one to watch for a trade, intra day it may be setting up a bull flag via a 5 min chart
VLNC was definitely the star
Posted by matt on 27th of Dec 2010 at 06:39 pm
VLNC was definitely the star today. Here's an updated chart, objectively the pattern measures to $1.85 - $2.0 on the high end if that is an inverse H&S breakout pattern.
VLNC chart
The wife is still home
Posted by matt on 27th of Dec 2010 at 02:21 pm
The wife is still home today so I did some things with her and am just getting back, that's why I have not posted since this morning when I mentioned VLNC.
however I see that VLNC worked out nicely! I hope you caught it, I just sold the majority of my stake, I'll keep some for a runner
As I said this morning, volume was an impressive 500% and generally when that's the case, your odds are a lot higher, especially on days like this when a lot of the 'pros' are gone. Currently vol% is now 1200%.
VLNC
Posted by oldtrader on 27th of Dec 2010 at 01:28 pm
13 percent of the float of the stock is short with a 19 day cover, should keep a floor under the stock
what do you suggest for
Posted by frtaylor on 27th of Dec 2010 at 12:25 pm
what do you suggest for a stop? Today's low?
thoughts on money management, trading style, etc
Posted by matt on 27th of Dec 2010 at 07:08 pm
frtaylor- after a move like that I always sell at least 1/2 automatically like an autonomic response reflex. If volume is nice, then I keep a runner and give it some room, and sell at those targets or if I see something negative on say a 15 or 30 min chart.
You have to figure out what works for you and is comfortable with your style. It's different for every trader. Here area few guidelines about what someone could have done with VLNC:
1. If you are day trader, then today was good enough for a very profitable 1 day trade. Typically day traders go much heaver in their position size relative to their total portfolio then swing traders because obviously they are selling out quickly.
Money Management; figure out based on your account size, what your average position size would be for your trades, generally no more then 5% - 10% of your money into one trade for swing trades. Now a Day Trader can go much heavier because he/she is selling sometimes min or couple hrs etc.
2. Swing trader, I make it a practice to sell 1/2 automatically after a 10% move, especially when it occurs in one day. For swing trades I might sell 1/2 - 2/3 and keep the rest for a swing trade for days to weeks. Again, follow a rule of about 5% - 10% into one position.
3. Hybrid Day Trade Swing Trader and money management: This is a category that I fall into many times, especially if the volume % is especially high like 500% and greater early in the day. For stocks like these with a very high volume percentage, instead placing 5% of my portfolio money into the trade, I go a lot heavier maybe buying 3 - 5 times or more what I would normally buy as a swing trade, then I sell out 80% - 90% during the day, and the 10% - 20% that I keep as a runner ends up being a nice size anyway, on the 80% - 90% that I sold for a day trade ends up making as much money as the average position size that I would have bought for a swing trade.
Those are some thoughts, again there is no one right way to do it, play around and figure it out on your own, what works for you, Steve and I are not perfect, so explore on your own.
Thank you so much Matt.
Posted by frtaylor on 27th of Dec 2010 at 08:54 pm
Thank you so much Matt. I held a small position and went ahead and sold at 1.66, though I may watch for a re-entry - there's a clean uptrend line to use as a buy on a pullback w/a tight stop. I haven't had the nerve to put up more than 10% even as a day trade, but as I gain experience that may change. Your descriptions of swing, hybrid etc. are extremely helpful. In short, you're AWESOME! thanks!
thx!!
Posted by law6 on 27th of Dec 2010 at 07:31 pm