I exited CRDC yesterday and took a hefty loss. It was actually during a midday boom. Though I commented on the sinusoidal pattern and could have guessed that it would eventually collapse, I was following my mental stop that I set at 7.30. As it approached my mental stop it was picking up vol and was looking bullish. I want to follow my rules so I took the exit even if its for a loss.
Its strange, however, this loss has given me confidence. Today, CRDC gapped down and never met 7$ again. More than ever, I am understanding price and volume movements, and really using sector stocks, DJI, and moving averages. One thing I noticed from reading blogs like Yng and DV, is that while i've learned these general skills that I can use on all kinds of stocks, I haven't really been picking up on single stock patterns. You know, things like how ABK(one of my most talked about tickers) reacts after gapping up, or what failed 10/60 crosses do for it. Yng recently made an awesome gap up play with TMA. Definitely what I call easy money. Its these kinds of patterns i'm going to try to start noticing.
FRZ is my short watch tommorw. Volume is there, and its been hovering in this price range since early Oct. Just bouncing up and down in the 1-3$ range. Of course, if this run isn't over, I'll go long too.
NKTR- has a lovely multiday run and check out today chart. Solid "sideways action"
