Saturday, September 15, 2018

The two IRC play!

September 3, screen for stocks RSI: 60 above and ADX 25 above.
September 4 I literally bought my 1st tranche on top at 1.91 high is 1.93 and expecting for 1.90 to hold as support. This is not a goo thing to do for beginners and should not be done. The only conviction for this trade is the existing catalysts.

September 5 IRC open at 1.94 an intraday gap. The momentum we’re not sustained and stock shows some weakness during the day. I set a GTC for my 2nd tranch at 1.84. I tried to set my buy and sell and unconventional numbers since nnuebrs like 1.85 or 1.80 are psychloigical numbers. Many will sell or buy on this numbers. 1.84 got fill, my average now is at 1.86.  since I’m fuly allocated with this stock I closely monitoring it’s move.  Next 2 days the stock went down as low as 1.81 nearly hit my cut loss at 1.80. an  increase in volu me on Friday EOD is a good sign for the stock ..

The Exit, Monday was a busy day because of my job. the stock open at 1.95 a gap up and today the momentum we’re sustained. I usually sell using trail stop but I cannot monitor this stock I set a GTC at 2.10 and 2.15. sold everything with 13% profit.

Re-entry, what I sold I literally buy them back immediately. The only difference is this time the trade has more conviction. Whip will never happen on this play. The stock high is at 2.42 but closes at 2.34. The next day it was a roller coaster ride for IRC. The stock goes down as low as 2.12 (luckily I didn't see I was busy , If you don't want to whip do not check) I always joke around. Don’t take it seriously because it’s wrong.  The only difference was my conviction for this trade was at the highest. The stock rally at EOD and closed at 2.34. Now IRC is forming it’s DNA. Based on observations and notes the stock tend to rally at EOD. It is important for traders to know the DNA of the stock they trade. You are not obliged to know what their industry and what’s their business.   

The exit. September 12, set 3 tranches of selling and end up with an average of 2.63. sold all shares at 20.31% profits.  The learning on this play is it will never be wrong to take profits and as other great trader say don’t be afraid to buy back at higher prices.

I re-entry for the third time, now the basis is more on fundamental. We’ll see if it will come to 3’s.  follow this blog for the update on the 3rd IRC play. Godspeed everyone!!!

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