First I bought WWEI near the open.
I had been watching it to break 18.5 cents. It had been consolidating in the 16 - 18 cent range. It broke it, and I put in an order for 5000 shares. Waiting, waiting, waiting....those damn OTCBB stock orders take FOREVER to fill. I didn't do more than 5000 shares because I would've paid a $20 commission. Plus, I don't like taking large positions on those low, low-priced pennies....too risky. Finally got my order filled at 18.84 cents.
Within 20 minutes, stock had climbed to almost 21 cents. That's where I should've sold, because it was nearing the 2-year resistance level of 22.9 cents. But I held, only to see the stock come tumbling down. I figured I'd hold as long as it stayed above 18 cents. But it briefly broke below that, and I had to sell....had to take my loss quickly like a good trader. But it sucked to see it bounce back into the mid 18's!!!!!! I basically had about an $80 profit turn into an $80 loss. $80 isn't much for my account...I prefer playing stocks with more profit potential....but I had to play the breakout on this one....chart pattern looked too good.
LESSON LEARNED: Always exit a stock when it's near resistance to lock in your profit.
Next came SDTH.
SDTH had been a Superman pick that I had missed the previous day. It was a low-floater (not a lot of shares available for trading), so it had the capability of moving quickly (low supply, high demand can make the price skyrocket). It was nearing $10, so I figured if it broke that it was a buy. I got in at 200 shares at $10.1555, but it failed to stay above $10. I jumped out at $9.9205 for a $57 loss after commissions.
SDTH was a mistake to get into. First, there was no news to sustain the breakout. I probably didn't have a lot of potential for profit on it anyway. Also, some of Superman's picks tend not to carry through to the next day. Bad, bad trade!!!!!
Then there was LMRA.
LMRA was a late market "pre-hit", meaning that there was a sudden surge in price and trading volume right before the market opened. Some of these prehits can run big during the day, particularly when combined with news. Well, LMRA had some news of merger talks. LMRA opened at 91 cents. But, I hesitated to jump in since $1.00 can be a natural resistance point. I figured I'd jump in if it broke $1.00. Finally, it did, and I jumped in for 2000 shares at $1.02. Around $1.10 was the next resistance point. Within 30 minutes, the price climbed quickly to over $1.10. I kept holding....now $1.14, but suddenly see it go red for a bit so I decided to jump out. Sold at $1.11 for a $160 profit after commissions. But after I sold, I saw the price go all the way to $1.19!!!!!!! AAARRRGGGH! It really sucks when you end up leaving money on the table. Too bad I didn't get in at the open below $1. Neverthless, a pretty good trade for me that more than wiped out my two bad trades, putting me about $25 up on the day (when I should've been up more). Also, LMRA closed at $1.05 so I was smart to take the profit and not wait too long.
I was done trading for the morning, and it was time to go to work. However, the last hour of trading, which is also my lunch hour (12 - 1 PM PST), is also a good time for trades. My old friend, WWEI, was back, sitting just above the breakout point. I figured it was time to give it another shot. Got filled at 5000 shares at 18.8 cents. The price quickly jumped to 0.192 going into the close, and it was looking good....but then somebody sold some right before the close....closing price was 18.6 cents. Still, only down $5 on my position, and it's still above the breakout point. Also, the company had a conference call at 1 PM PST, and it looks like the news was good, which means it should run higher tomorrow.
My final buy today was PDO, a low float oil stock.
I bought it in the last 15 minutes of trading. It had broken $35, and being a low floater, that means this baby can run (and it has a history of running big). Let's hope it does another MXC and goes over $50 (althought that's unlikely).
I tried to get PDO in the low $36's. First was going to go 50 shares but thought I'd do 75. But then 75 exceeded my buying power, so I changed to 60. By the time I did that, the price was in the mid 36's. I got my fill, 60 shares at $36.49. The stock surged to $37.99 and closed there. Right now, as I write this, it's at $37.90 after hours. I'm looking for this to gap up in the morning, hopefully cross $40 where I'll sell...but that's going to depend on how oil is doing tomorrow morning.
So that I have more capital, I decided to sell $2400 worth of my WWNPX mutual fund and put in $2000 more into my trading account. That will help me get better absolute gains, and I'm doing a better job trading than my mutual fund was doing anyway (it was down 4%).
STATS FOR FAR:
Account on June 10th: $2823.46
Account yesterday: $3182.88
Account today: $3268.66
Up $86 from yesterday (although I should've been up almost $200 more if I hadn't made those bad trades), a 2.7% return for the day and a 15.8% return since June 10th. In fact, since June 10th, I've only had 3 red days on my account, where it finished lower than the previous day.
My % return since June 10th: 15.8%
S&P 500 % return since June 10th: -3%
POSITIONS TRADED FOR A GAIN:
LMRA ($160.10)
POSITIONS TRADED FOR A LOSS:
SDTH ($-57) (a bad trade!!!!!!!)
WWEI ($-81.90) (a bad exit!!!!!!)
POSITIONS BEING HELD OVERNIGHT:
WWEI
PDO
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