maxopedia

This longterm USEG trade is getting to me. I overextended my capital on this trade and should have taken the profits that were available long ago. The lack of volume on the decline indicates holding is not entirely a bad idea, but the longer term charts aren't making me happy anymore. The stock is still fundamentally undervalued.

This HEK trade got botched by the internet being out the morning I intended to exit... I believe I exited the position at around a $5 profit after costs, due to my excellent entry, although I should have been able to make $20+ on the trade, which would have represented a 2.4% gain on invested capital ($830 original position).

It's not good for me to feel proud about this exit. I was holding this stock since 5/08/2008, and at certain points experienced a draw-down of this position close to -$200. A 20:1 risk/reward ratio makes me puke, along with this ungodly amount of time holding the position.

This was just me chasing a trade to lose like $30 or so. The trade could almost be an overnight short from its afternoon fade today, 5 day run-ups like this are hard to sustain without some correction. I probably should have been out of this trade after stopped holding $10.50s (I got out at $10.40). Any morning spike tomorrow that fails to break the $10.60 resistance on significant volume would likely be a good short.

Stay tuned for the monthly update, you're guaranteed some laughs!