INVN: To catch a falling knife.

The market has been choppy lately and I thought I would take a mean reversion (a/k/a capitulation) trade with INVN after it fell 25% after revising guidance lower on earnings.   I took the position at $12.68  with a stop at 12.   On friday,  there was a blow out bottom down to $12.15 and then a quick rally up to $12.92.    On monday the world markets were significantly lower on Euro news and I became a nervous nellie and sold my stock off for  a small profit.  

TRIAGE: Had I stuck to the plan with my original stop I would have had a very nice profit.  However, there were a few things in my mind which prevented me from doing that.  First, I'd prefer to trend trades and this type of trade is dangerous in any market but even more so in this type of market where there is no continuation on any moves.  Second, I got burn the last time I tried this type of move in this stock where I could have sold for small profit and took a loss when I didn't.  Third, I feared that the world macro events would spur a global sell off. 

 Although the sellers appear to be out for the time being this chart is showing a head and shoulders and a short position can be attempted if it trades into the gap.    I have played this stock solely on the long side to date.

INVN: Back In after bounce at support.

Successfully tested 14.70, where it previously found support.  I'm not betting on a V shaped recovery but I think there's a decent shot at making a charge at 16.50.  This stock can get pretty wild. 

And stopped out:  The market was brutal today,  But I had a nice gap up and got greedy.   Rode it all the way down to my stop.   In a choppy market sell the gap on a stock that has been brutalized as of late. I took a $250 loss on what I could have and  should have had a gain.

INVN, shakout

The MMs jumped right over my stop and sank the stock.  It rallied after hitting the 26 ema, which also marks the highs from the past rally.  I added another 100 at 19.67


Update:  So that didn't work well.  They sank this one and I'm out for a loss at 18.90.  loss of $258 on the position, which sucks after being up over 2 points.  

Lesson: I don't mind the loss on adding at the 26 ema. I do mind that my initial stop didn't get filled.  More attention to the type of order in fast moving stocks is necessary!

One of those days

REE moved with the other Rare earths.  Huge volume but again  it couldn't close over the 6.50.  I sold another Apr 6. put for .35, to generate some cash.  If it falls below 6, It will effectively let me purchase my short stock back at 5.65.

INVN:  As I noted yesterday, there was a good chance of it making a pull back as reflected by the doji candle and close below the open.  It pulled back today hard.  5.03%.  That's the problem with Momo stocks.  I should have considered selling into the big move.  Anyway, my stop is still in place and the 10 EMA  has held.   Over the past month that EMA has been the  floor of this stock.

WFM:
A Small pull back after a big reversal move.  No worries yet.

CORN:  Today wasn't all bad.  My Corn short, which is my largest position kept falling and closed at the low.  It took out the bottom at looks to fall to at least $38.5 before next support level.

Since CORN tracks the commodity, the chart of the actual Corn futures also closed at a low.  But is more in the range of support than the ETF.  I like that the Force and the MACD are dropping like stones.  I would have liked greater volume.

BA:  This is becoming a long term short as it won't break out to stop me out.   There is huge divergence and despite Market in Rally mode, BA has been stuck.  EMAs are flat.   Eventually, it has to go one way or the other.

INVN: Bears making a stand?

INVN has been a nice trade so far.  Today, the stock closed below its open, which may be a bear sign. I moved my stop up to an itm position.  I'd like to think this will still run but I can't let a profitable trade turn negative.

Update: INVN

INVN, Interesting Day.  There was a large gap up this morning pre-market which hit my sell order at 21.73  This was the HOD.

It then sold off and picked up my pull back order at 19.79  before jumping ahead a bit.   

INVN

What could have been.  I just missed the stock on the low.  I had a break out order to buy at 20.97 .  That got filled.  I would have hoped that It would have consolidated first, getting hit near the HOD was probably not a great trade because the move already happened.  Anyway, I remain bullish on this.  I just would have liked a full position to be on much lower.