Saturday, November 03, 2012

THHEAVY, TIGER: My Trading Diary

Here is another write up about my recent trade. I am using it for my personal reference of what I have failed and achieved. It will be as a guide for me in future about my plan and execution as well as mistake made during the trade. Here is the story.

THHEAVY Day 1 (Wed) 31/Oct: On the morning I saw headline news that THHEAVY have lift from PN17 status. So I was guessing it would be a good trade, either push up or sell down. I have a quick look at the chart, and a simple plan was set since the time was almost 9am to start the bell. My plan is to buy on the way it move down and buy some at higher price. So I queue at 0.62 and 0.605. I was looking for support at 0.60 but did not set my exit plan! Without notice, by sudden I got my match and the price did push up to 0.63, after a while it weakening and dive lower and hit my another queue at 0.605. Now I was waiting to see if it can go up, but instead go more lower broken the support and hit 0.59 and it bounce up. My feeling of doubt and concern set in, I need to average again my price and looking for exit if possible (here you go, this is my emergency exit plan?) I buy again at 0.595 to make up my average buy price 0.60. Now I was waiting to see if it can breakout from the resistance @ 0.60. I have been waiting for hours but it seem like there is no clear signal it will push up and at the end I exit the trade at 0.595, making a small loss of 0.05cts. The mistake here is no clear plan of what target I want to go, either wanted to earn 2-3cts or hold for higher price.

THHEAVY Day 2 (Thu) 01/Nov: Today I have my trade plan ready! Cut loss @ 0.565 and Profit Target 0.68. Buy lower 0.57/0.58. All my queue was match and another small sell down happen to hit 0.56. I start to look for bounce. It looks like bounce, I set an emergency buy again at 0.565 to average my price now to 0.575. Why I want to average down? As refer from the chart (a) and (b) those are resistance and support line. By buying on average, it will reduce my losses? Nope, I was greed and I know the price will fluctuate between both line and if it goes wrong I can exit just at 0.57 or 0.575 without much loss. If this can't breakout from 0.59, and close a bit higher I will make profit! This are the risk I was taking. Of course, a tight execution and control needed for this kind of trade. Now, I was looking a bounce above 0.58 but too sad to say it did not happen. Suddenly, my attention was attracted to TIGER when I view the top 10 list. TIGER was on the big sell down! My instinct trigger me to enter TIGER @ 0.32. But I told myself, I need to see how the sell down in TIGER, is there any bounce! After a while TIGER did bounce up strongly and this influence me to give up THHEAVY! So I decided to sell THHEAVY immediately at 0.575 before morning session close and ready for TIGER!

THE TIGER SHOW Day 1 (Thu) 01/Nov: I was doing analysis from within my mind, today high at 0.49 and low 0.30. A rebound and close at 0.335. All base on line chart from my mobile. Well, looks good. :-) I see there is high chance it will go trending. Market open and price open at 0.34, I was not entering yet and still looking at how the buying and selling pattern from my mobile! Finally I make a move and buy at 0.345 and later the price shoot till 0.40. It was my excited moment! Time for payback from my failed trade in THHEAVY. Hahahahaha... The price was range bound between 0.40-0.42 make it feel like it will push up higher and I decided not to sell out my holding at market close (since I was riding on my profit) and my trailing stop is set at 0.36. So what to worry? :-) From the closing, I foresee it may hit double top area at 0.49 tomorrow!

THE TIGER SHOW Day 2 (Fri) 02/Nov: Bravo! I have done detail study and now my profit target would set to 0.60. But will lock in my profit at 0.47 1st. This is my plan. Now market open with price 0.415 and high 0.425. After a while, the resistance is strong, big lots was throw down. I was bit fear of my profit squeeze! I make a decision to exit first at price 0.415. Later the price dive and hit 0.36 without notice a while it back up to 0.40. At that time I was so convince again that it will move higher and I was ready to make entry again (buyback). So, I buy in again at price 0.405 and now I set my trailing stop at 0.39/0.40 and queue my sell price at 0.465. Later the price looks stable at this level and I was waiting for shoot up. It take hours to build this base and at 3pm the volume start active and push up the price and I got my price match 0.465 half hour later. That's conclude my 1st trade with profit! I was planning to make a 2nd trade again with the target of 0.60.

Conclusion: The rule! A proper plan, execution and exit strategy. Be flexible to change or revise your plan on any target hit and unforeseen scenario in such volatility price movement. Strict execution! I think that should be it for my case. :-)

Here is summary about both stock direction.

THHEAVY Direction: The only way it will go up is to clear the resistance (b) line! Since it make an attempt few time but did not able to break the 0.58/059. There is high chance that the price will push lower towards the next support at 0.52/0.53, it also might slowly move lower towards 0.50 before any price recovery seen.

TIGER Direction: Here is my plan for next week. I will set my cut loss at 0.44/0.45 (this will be critical support, will try to buy at this level to minimize my loss if happen) If this can hold up well, 0.58/0.60 is reachable. I predict it will move more higher with such strength as of now! If the price can break 0.60 and 0.50 supporting well, I will enter again for my 3rd trade, but this time will hold on to my stock!

Happy Trading and Good Luck!

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