Today I got a nice little run up in the price of BMI. Went from about breakeven to close for $1.42. It popped to $2.00 up and I raised my stop but I happened to be checking my trades when I saw a large drop materialize...so I raised my stop again to $40 and got closed at $39.92...lost the extra 8cents due to the spread and the other 50 cents due to leaving it a chance of recovery.
I missed a nice short by 2 cents as I placed a limit order for GNK at $23.00...$22.98 was the high so far. I almost just market ordered it but decided to stick to my plan. It popped back up to $22.95 later and may yet hit $23 by day's end... but I doubt it as it is liking the $22.65 area.
I have a nice little harem of 7 stocks in action now, only one active trade. I think that I will even that up to ten for now which gives me a nice range of sectors and prices to keep some semblance of diversity. Some of the picks ended up from the signal service I tried but only as a result of being at the right price and point in the current trend.
I was finding many overlaps when I was running a parallel trial earlier and have determined that the service was really only giving signals based on P&F charting patterns. I don't know what criteria they used to keep the number of signals down but it does not matter as the best result should be gained from being familiar with a handful of stocks anyway. This makes it easy and quick to review the charts on a daily basis to determine what the next trade will be ahead of time. I hardly need a signal service to tell me what my basket of stocks are doing at any given time.
Last note about signal services, perhaps I already mentioned this sometime but they must be treated like any other indicator. There is no magic, not that I really expected any, and they must always be traded according to your own rules of entry and loss allowance.
Jeff.
Questrade, My direct access discount broker.
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