There will be many upcoming posts about my challenge for myself this year – starting with a very very small account, and having to deal with (or maybe not?), the PDT rules. There are ways around it, I’m employing 2 of those ways, but the trade sizes then must be kept extremely small. This post is about BPTH, which is an extremely low float/volatile stock – and a great trading stock recently.
Today BPTH was up 160%, with a lot of swings. The charts and discussions of my trading in BPTH are below, along with my charts from the last big surge on 3/1. I did get in a short sale then, as there were shares readily available, but none available (easily) today. But I will stick to the long-side discussions, starting with today’s action. Hopefully you will find there are some things or even just one to help you with your own trading.
Also, I love strong uptrending bko stocks (for long-side), even on a daytrade basis. I employ a tool, which I’ve taught, which is a great filter to know/recognize which stocks to totally focus on, and which to stay away from. Very helpful early in the morning when there often are many stocks flying up and soaring. So which ones to watch, and which ones to reject? Do you have a way to do that? I spent a lot of time, going thru a ton of charts, reading, studying, researching, to come up with this approach. It is invaluable, yet fairly simple. For instance AYTU was also soaring today in premarket, along with BPTH. Yet I completely rejected AYTU within the first 15 minutes of regular hours. Why is that? And focused on BPTH instead. Why? BTW, this approach is also invaluable, along with looking at SEC filings and the quality of the news moving the stock, to choose which stocks to SHORT. AYTU is first, then the BPTH charts.
Today, I watched BPTH thru the pm trading, got my bearings, saw what I needed to see early on, and bought my little position, a spring:
The 8.50 was a big res from a few days ago, up 10%, stuck to rules, sold 1/2, wildly too early:
Sold the rest, again, so so early, but big % gain:
Trend still strongly up, so looking/waiting for next trade, missed it, not the setup I was looking for, needed to BREAK BELOW supp FIRST, so wait:
Then the next area set up, my plan, wait for waves and a spring, BELOW 13.05:
Got it, bought the spring, BOUNCE TRADE ONLY:
Sold too early again, but added more to the till:
Now on 3/1, BPTH was a very strong, uptrending, BKO stock. Notice how “high” it was when I finally got it. I love strength, up to a point, still has to set up, and I dampen my expectations the higher it goes. Also, notice – I HAVE A PLAN. I missed it and missed it:
Drawing in the supp I want to buy off of:
Notice, MY EXACT PLAN, buy below 4.60:
Finally got my spring setup, and bought the dip:
Sold 1/2, rules:
Watching the 60, big res area:
And sold the rest: