Stock Selection Information
Goldman Sachs Reiterates Buy Medivation Ahead of Q1:13 Earnings Report
Benzinga's Top Initiations
Watch List Reason - am vol - it was an idea from the morning sheet. Stock had good volume, greater than it´s normal average, so it was in my list.
Benzinga's Top Initiations
Pre-Market Volume - N/A
Trading Plan - To short the stock if it breaks the counter trend from midday.
Management
Entry Setup used: Counter trend break down - target the VWAP
Trading Comments
Stock made a strong down move in the morning and consolidates (sellers in control). During midday it moves in the opposite direction (the counter trend). When it breaks midday trend line up, look for short position. First it consolidated below the trend line, I got in, but got stopped out. Then a divergence in CCI suggested another entry with good risk / reward. I try adding to the position at 51.30 (no trade was conducted at this price during the consolidation), but my offer did not get taken. When prices fail to continue down close to 51.00 I closed the position.
Evaluation
My worst mistake was not to add to the position. I tried but my offer did not get taken. Also the target was in the VWAP. If I have manage to add to position I would close partially at 51.06 and hold the core position for the final target at 50.70s / 50.60s. Still it was a great trade.
Must keep in mind that the first trade in the stock was an aggressive one. This would be a better choice if the market was weak, but since it was strong a more conservative approach would´ve been better.
Must keep in mind that the first trade in the stock was an aggressive one. This would be a better choice if the market was weak, but since it was strong a more conservative approach would´ve been better.
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