Currently, 94% of my portfolio vascillates in 9 swingtrade long positions. Barring any overnight gaps in the opposite direction, they pretty much stay in until either 1) Something triggers a stop or 2) I locate something better and take some profits to fund the new position.
Most of the group knows I follow familiar symbols that hit the 52 week high list. Whether its momentum based, screen based, or IBD based, it's boils down to finding any pattern that has proven reliable at least in terms of my own personal trades. It also helps that many of the companies are either old picks from traders who are no longer with us, (we saw your LSS get bought out today), to cherry picking variations of sector trends.
FLIR popped up on the scanners tonight. If the March 18 higher low was for real, then on a technical basis, a potential target is around the old high of 36.40. A stop would probably be placed around 34.68 which would be a bit below Wednesday's high. Essentially, I'm risking $.60/share in an attempt to make $1.20/share or a 2:1 risk/reward ratio.
EEP has been chatted about with Barrons over the past 15 months. This is both momentum and dividend based. I figure if any of my swing longs decide to not keep up with its energy sector brethren, this might be a candidate to establish a probe position. Given the size of my portfolio, a probe is anywhere from 5k to 10k depending on the price of the stock and how much confidence I feel in the trade.
One thing I have to watch out for is being aware of earnings dates for current and potential positions. The last thing you want to do is to be caught on the wrong end of a trade when you could have hedged your position.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment