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Showing posts from June, 2017

$LXRX Buy positive news off of solid support, Trade idea

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$LXRX was trading at around 15.3$ when pre-market this news came out (1) https://seekingalpha.com/news/3272571-lexicon-pharmas-sotagliflozin-successful-third-late-stage-diabetes-study It immediately spiked to around 17.5 pre-market (2). I came back to to original price and spike again , only to come down again for the second time. A good buy point was at (3), the previous closing price or support level. Actually there was washout even lower than prior close (overexcited early buyers trying to cut losses) So that emotional washout below the previous close with positive news was excellent entry. And of-course as market opened it spiked back up of > dollar a share to 16.5 range. It bulled back , made a double bottom and was a buy again (4)

$DRWI, buying off of solid support (of multiple time frames) is rewarding

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$DRWI basically a tech stock was trading around just under 70 cent when this new came out https://seekingalpha.com/pr/16854552-dragonwave-awarded-product-services-contract-smartsky-networks Look at screenshot , arrow 1 After market it spikes but consolidates around 1 dollar level (so that's the resistance), arrow 2 Early Premarket (7:30ish AM) I spotted it on scanner as it went upto 1.10 (arrow 3), I didnt buy it as I didnt want to chase it. It then came down to 1 dollar level that was the previous night resistance and held it as support. So a solid entry there. I bought it and sold it at 1.07$. but I went upto 1.22 (arrow 4), sold too soon as I had multiple positions. Anyway the real predictable trade was yesterday. All day it held support around 1 dollar again.  After market and Premarket it spiked upto 1.4 to 1.5 isch. So a buy at solid 1 dollar level support could have yielded around 40% gain selling after and pre-market.  As...