Its been a little over a month since my last post, mostly because the market was entering into a down trend. When the market starts trending down like it did in early-mid May, I will become much more selective and conservative in my investing approach. While there are opportunities, the risk/reward tends to be out of favor. Don't chase breakouts, use tight stops, pick only the best setups. I do my best to protect capital.
Some big stocks that are typically dormant have been moving well. See Wal-Mart and AT&T's Charts. I'm not sure what to make of this. Is it a flight to safety? Dividends?
DNKN, which I sold for a small gain as it hit my 50 day ma stop price, ended up hitting my $35 target on Friday.
I'm still holding Sutter Gold Mining, inc (SGMNF) and took a new starter position in Liquidmetal Technologies (LQMT) @ 0.31. These stocks are highly volatile and can move 10% in a day. LQMT will be a longer term hold for me, with a target of around .60 or roughly 100% gain. I like the story that I'm hearing through the press releases. There was speculation of a deal with Apple, which the CEO confirmed in an investor video message. This seemed to setup an opportunity for them to offer shares to investors....which may impact the price short term. My stop price will be around the recent low and 200 day ma of .21. I'm giving up over 30% to gain a potential 100%....we'll see what happens. Either way, I have a very small position.
The activity in Greece this weekend should have an impact on the markets next week. I'll be keeping my eye on what happens there and in the US in the form of additional stimulus.
I continue to remain cautious for now.
Stay out of trouble and enjoy the summer.
~JP
No comments:
Post a Comment