New Buys and Stocks That I am Watching

New Buys: ARM (in at 4.49), CHIO (in at 2.02), DL (in at 7.79), OMN (in at 3.29), SCLN (Rebuy in at 2.68), TXIC (in at 6.52)

Add To: DDRX, FIT, KONG

Watching: CHLN, CRTX, MHLD

Patience Pays Off

The last few days have been quite turbulent with the markets selling off and struggling to find support. For now, the markets seem to have stabilized a bit, but the next few weeks could hold either a positive or negative turning point. There seem to be a lot of stocks that are forming strong bases and alot others that have formed pivot points. I will be keeping an eye on the markets. I may have a few new trade ideas to share on Sunday evening.

Also, I know posting has been slow, but I have been very busy as of late. I am not a day trader nor a very active trader. Although I do buy a lot of stocks, I do not jump in an out of positions. I tend to have a longer term view for my strategy, so that is why posting has been sporadic. I just haven't been actively buying or selling positions. Still, in the near future, I will have more time to devote to the blog and my trading in general. So far, I have no complaints about 2009 and my performance. Most of my positions have been outperforming the market and I believe that they will continue to do so. I know a lot of people who are still afraid to jump in this market. Unfortunately, these people have missed out on a great number of stocks that could have helped them make back their 2007-2008 losses.

One of my goals for 2009 is to trade in more high quality stocks. Sure, I do enjoy the occasional speculative bio-tech plays, like SIGA, but these type of lower quality stocks are too speculative and risky. Just look at what has happened to STSI just recently. Although I had exited my position before the plunge, I am sure that not everyone was as lucky. In this current environment, it has become increasingly more important to monitor positions and take small losses or gains in these types of stocks as early as possible. Higher quality stocks should be held longer. Stocks with increasing earnings, strong breakouts and stable fundamentals are the real top performers. Just look at DDRX as an example. This stock is high quality and is experiencing a very strong and rare run up to dizzying heights. These are the type of stocks that I love to find and hold. These are the type of stocks that every trader and their mom try to buy and make a killer return on. The trick is to find these types of stocks when they are still relatively low in price. My goal is to find these types of stocks and make them a part of my portfolio...

Pullback or the End of the Mini Rally?

With so many stocks making upside moves, it was only a matter of time before they would get swatted down. This can be either a healthy pullback or a continuation of the down trend. It is too early to know, but I will still continue to watch for any new stocks. If I don't find any, then I would worry. For now, I will simply keep an eye on my positions and be ready to liquidate if I have to. I'll post any new stocks or trade ideas later on.

Be Wary of Fake Outs/Shake Outs

As the market continues to go up and down like a yo-yo, it is important to not lose focus. Institutions are taking advantage of the intra-day dips and snatching up shares. I am curious as to how the market will close today. An above average volume day across the major indexes would be key for a sustained future rally. There are a lot of stocks that have pulled back, but are showing support and lower volume (pull back in orderly fashion-low volume with support at key levels).

New Buys and Stocks That I am Watching

There were actually quite a few trade that I have made today and the past few days. Its just that my schedule is quite hectic and I do not have that much time to post my trades. I will try and post all of my new buys, sells, etc later on tonight (12am eastern or so).


New Buys:ADAT (in at 1.13), ARUN (in at 6.70), CAST (5.74), CMRG (1.92), KOPN (in at 3.99), LTXC (in at 0.67), MED (in at 10.89), MRGE (rebuy, in at 2.85), OGXI (18.69), PARD (in at 5.00), SFLY ( in at 15.03), SYMM (in at 5.50), TNDM (30.88), TUTR (3.35), VIT (11.16)


New Short Sales:

Add To: RT

Sold: FRPT (+118%..will rebuy on dip)

Watching: CATM, CKEC, CYOU, DCTH, ENMD, ETWC, GMTN, GRRF, HWKN, JADE, OPWV, OXGN, STEC, WATG, WAVX (possible rebuy after failed entry in Jan.), WPRT