Some Potential Plays But I Also Need Your Help
Woke up to be disappointed by a lack of volume/gap up in my one position, so I sold my 700 shares of CTI Industries Corp. (CTIB) right near the open at $5.02, tough $200ish loss, but not a bad trade overall. Selling so quickly turned out to be right as it quickly tanked to $4.80. Smith & Wesson (SWHC) also bombed, market doesn’t like the low priced gap ups right now.
Do I really need to mention the TIM Lesson: Cut your losses quickly when the price action doesn’t go EXACTLY how you planned.
What I did right: Waited for an intraday breakout on volume, cut my losses somewhat quickly
What I did wrong: Bought into a stock not making a new high, did not close my position before the market close at $5.15 when it proved itself to be a fakeout breakout
Lessons: Only buy new high breakouts, all these crap multi-day, intraday breakouts are riskier because their patterns aren’t perfect
Tons of potential plays today, none of them ideal. This post is for you guys because I’m DEFINITELY not playing any of them, considering I gotta fine tune my speech for the Trader’s Expo (speaking about microcaps next Monday from 1:15-2:15pm, come!)
And more importantly, I’m filming with CBS News tomorrow morning for a segment to air this coming Sunday, should be interesting….
Potential buys:
Thanks to First Solar’s (FSLR) great quarter, all the solars are hot. Take a look at my Solar’s Eleven article to get acquainted to them again. Yingli Green Energy (YGE), JA Solar (JASO) and Canadian Solar (CSIQ) look the strongest—remember though, I’ve tried buying Solar Fun (SOLF) several times on breakouts, but each time its failed. Maybe the eighty-eighth time is the trick!
Converted Organics (COIN) might never hold its intraday gains, but its daily chart is beginning to look awfully strong.
Titan Machinery (TITN) is breaking out of a multi-day base nicely, but on low volume and it’s not an all-time high breakout…yet
Yucheng Technologies (YTEC) is hanging around key breakout price $18, odds favor a breakout, one of these days
Potential Shorts:
Vision-Sciences Corp (VSCI) is up 50% in the past few days, but it’s a medical device play (can surge foreverrrrrrr) and the chart is a storng breakout. Coulda woulda shoulda bought the breakout at $3 and held (good example of what kind of breakout to buy)
Spacehab (SPAB) what a total POS company, as reflected by its chart, up 80% off its lows on some funding news, potential NASA contract news, scary to short here at $1.80, but probly the right thing to do, cover at $150-$1.60 tomorrow.
So, that’s all I see, I’d love to hear ideas from you guys, maybe stocks getting close to breaking out—those are always tough to screen for.
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| Date | Stock | Buy | Sell | Net |
|---|---|---|---|---|
| July 23 | MKTY | $4.73 | $5.40 | $187 |
| July 22 | MKTY | $4.10 | $4.28 | $240 |
| July 21 | ZYXI | $3.03 | $3.18 | $130 |
| July 15 | MNLU | $6.37 | $6.73 | $340 |
| July 11 | IDAE | $2.27 | $2.49 | $630 |
| July 8 | ERII | $11.29 | $11.00 | $162 |
| July 3 | TGC | $2.14 | $2.39 | $471 |
| July 2 | HYGS | $2.15 | $2.29 | $260 |
| July 2 | TGC | $3.44 | $3.49 | $80 |
Total: $22,457 (
81%)
1Frank Tudor
February 13th, 2008 at 1:55 pm
happy with COIN today…Also nice surprise from ACUS…NYNY was/is not running as strong as I had hoped but it is inching up. and I got my ass handed to my earlier on SPAB (twice on the wrong side of that bitch). Hopefully things will get more exciting by closing.
2Tony Ellis
February 13th, 2008 at 2:00 pm
What do you think about XIDE?
3be-the-ball
February 13th, 2008 at 2:14 pm
tim TITN is up on speculation that it will be added to IBD100 this weekend. Apparently if it is added it will be in top 20 as it has good IBD #s, whatever the hell that means.
4timsykes
February 13th, 2008 at 2:26 pm
XIDE–i like the clear breakout but the chart is soooo messy, i don’t do well with messy, i like cleannnnnn
titn–yeah, people love speculating about ibd top 100 plays, usually good for a few points, no more
5be-the-ball
February 13th, 2008 at 2:31 pm
tim,
few points is all I need :-)
6Joey
February 13th, 2008 at 2:38 pm
Tim, had a look at FRPT? What do you think?
7timsykes
February 13th, 2008 at 2:40 pm
FRPT is going nowhere fast. literally. don’t believe the hype, play volatile stocks!
8timsykes
February 13th, 2008 at 2:47 pm
Shorted some SPAB at $2.10, will average up on this one, considering i’ll be filming all mroning long, this was not the smartest decision, but ideally i can hold onto it for a few days
9sonid
February 13th, 2008 at 2:48 pm
looking for a short in spab now at 2.19 looks good what do you think ?
10S Adams
February 13th, 2008 at 2:55 pm
I’m watching OFG, it looks like it wants to break 20. CHNR is still on its uptrend.
11timsykes
February 13th, 2008 at 3:21 pm
Covered SPAB for nice quick gains, too much to do to risk it longer, makes up for CTIB loss and a little more
12Aclap
February 13th, 2008 at 3:41 pm
check out DISK today or tommorow- DISK was goign to be bought out for $4.40 ps. A couple weeks ago they terminated the agreement, and feel entitled to $4.2mil. They are now at $1.20 a share. I think there should be new talks about a deal at tommorow nights CC. interesting point- since they cancelled the deal, a new firm has been buying shares every day….
13timsykes
February 13th, 2008 at 3:58 pm
bought some COIN into the close here, too strong not to
14Mike
February 13th, 2008 at 4:35 pm
wouldn’t you rather short coin? and wait for a while? you can’t find any shares because hedge fund opened their positions long and short simutaneously. however they are heavily manipulating this stock, even though the intrinsic value of this stock is little over $1.
15timsykes
February 13th, 2008 at 4:38 pm
COIN is not a perfect breakout, but it’s a nice multi-day one. it’s been trying to breakout the past few days, failing every time. this was the first time it spiked into the close. if it doesnt gap up, i’ll sell for a 10-20 cent loss, but the upside is 50 cents-$1
16Steven
February 13th, 2008 at 4:48 pm
16:44 COIN Converted Organics files for a 750k share common stock offering by selling shareholders (10.75 +0.79)
17Steven
February 13th, 2008 at 4:49 pm
Tim
Like your site, your energy. Good luck.
COIN will likely be weak tomm.
Steven
18Raman
February 13th, 2008 at 4:56 pm
wassup tim, i like your talks on breakouts, but it just seems too risky to me in this environment. i shorted COIN right at the close, i was surprised you said you bought it. could you explain your reasoning for a breakout a little more clearly? or if you’ve already explained it before, its coo, i can just poke around on this site to find it. it just seems to me that COIN seems to want to go to 11, but always gets slammed back in the process. (its down to 10 in AH)
also, i shorted some Ruger (RGR) today at the close. dont think the dow’s uptrend will last, and RGR has no reason being up. any thoughts?
anyways, got u on facebook, you join their fantasy stock exchange? i did it for a minute but i keep forgetting to update my picks.
peace
19timsykes
February 13th, 2008 at 4:59 pm
sold my coin at 9.92. nasty lsos, chart was ripe for a breakout but can’t predict filing news. the probability of a decent gap up was on my side, i’d do it all over again…more in a detailed post later
20Dan
February 13th, 2008 at 5:00 pm
LNN
21Mike
February 13th, 2008 at 5:00 pm
wow, coin plunged after hours to 9.85
22timsykes
February 13th, 2008 at 5:03 pm
9.25 x 9.50 right now, this is why i cut my losses quickly, probly an overreaction but why risk it
23JohnD
February 13th, 2008 at 5:10 pm
Nice, Tim…way to go…teach your lemmings something that you have no clue in - trading…or hyping….whatever you want to call it….
buying into stock with no money, with a chance to have financing done any day and holding it overnight …brilliant….
got any other awesome ideas how to go from 12k to 0 fast?
24timsykes
February 13th, 2008 at 5:18 pm
John D, you miss the point. my COIN trade was a chart-based trade and it was a good one. No way of me knowing the financing news would come during my little slice of ownership time. 6-8 times out of 10, i would’ve made mo0ney so the key is just repeating these trades over and over and cutting losses quickly, which i did.
i’m so sick of idiots like you who don’t understand how to trade smallcaps. not saying my strategy is the best but its always worked for me and i think it’ll work for others too, especially if they can learn from my mistakes.
as for going form 12k to 0 fast—uhhhhh after 3 months of doing this, i’m up 25%, what don’t u understand about cutting losses quickly?
25JohnD
February 13th, 2008 at 5:24 pm
Aha..soon there will be nothing left for you to cut your losses. Like I’ve been saying - you could have only done it during the bubble. It won’t happen again. Unfortunately, you are doing all this just to make money from all your advertisements, book, DVD, and other stuff, but you keep on saying you are teaching others.
You don’t give a crap about people who will actually follow you and lose all their money “learning from your mistakes”.
Even calling COIN a breakout was funny. At least learn how to read a chart.
26timsykes
February 13th, 2008 at 5:29 pm
Done what during the bubble? Do you not realize I made my second million in 2001, 2002, 2003, 2004 and 2005 with this exact strategy? You haters have really gotta learn to do some research, you just shoot yourselves in the foot with your assumptions. And of course I’m doing all this to make money, but the best way for me to make money is if my readers do well. And its incredibly fun to rip idiots like you apart and cut through all the BS out there
As for reading a chart, you’ve proven yourself to be blind and dumb, this was COIN’s 6th attempt to break $10.50–it was the only one that held. Solid chart to buy into.
27Evan
February 13th, 2008 at 6:14 pm
“SICK BURN!!”…
…would be the comment of a 13 year old boy after reading Tim’s retorts.
I just hope John D sticks around if and when you reach your goal- it’s easy to jeer at the beginning of something great.
28StockRake
February 13th, 2008 at 6:21 pm
Got into COIN today as well. Still hung on regardless of AH action. However, I posted a chart and want to know how you don’t think today displayed a breakout on the daily chart JohnD. What didn’t qualify for a breakout?
Chart posted here:
http://www.stockrake.com/what-.....08~02.html
29leo00o83
February 13th, 2008 at 6:32 pm
I know this is way out of your price range, but PBR is at the price of a triple top or a breakout over 120. They’re reporting on the 29th this month. I’m bearish pre-earnings.
30Brian D
February 13th, 2008 at 6:38 pm
Lovin’ the gap ups TSTR, and JDSU have been smittin’ with me big time and I’m actually starting to blush like a 12 year old school girl.
31stan
February 13th, 2008 at 6:50 pm
heres what i learned from tim about cutting losses early. people trade smallcaps because they hope on huge gains (whether it be a long or short sell). they ae so volitile that you should leave at the first sign of things going wrong because its a waste of time to wait (sometimes days if not ever) for things to get back to par when you could be doing better thngs with your money. ive tried it and you just miss out on opportunities to hit the home runs. bailing out on small losses is worth it when u finally score big.
last Jan i did petty well, but I only had 3 or 4 awesome trades compared to about 8 or so duds. let me tell you im glad i bailed out on those bad trades or else id still be holding onto them to break even. but i gave up on them and went up huge on my sucessful picks.
32S Adams
February 13th, 2008 at 8:22 pm
I think that coin filing is a reiteration of the one that had on Jan 28th. Old news. I bet it zips back to 10.75 in no time. It fell to 9.35 ah but closed at 10. I wanted to buy some but it is not marginable at fargan Schwab.
33Jonathan Pliszka
February 15th, 2008 at 4:01 pm
Hi Tim,
What do you think of OXFD? Time to short…even though you can’t short under 3, what would you do?
34laki kawatan
March 25th, 2008 at 4:32 pm
Heres a 300%er for you I played this a few times for some serious change/// 20 mil in sales to be delivered next 9 months and lots of adds on sports channels also qvc // next 10Q on or about your b/d // spng.ob deep deep in .02 land
congrats for being a bull so am i ] :