Friday, December 21, 2012

Trades of the day, RIMM and HLF!!!

       The first great trade of the day was RIMM. I did two round trip trades on this stock. First trade I went long 1000 shares at 11.65 when it formed a candlestick dragonfly doji 10 minutes after it open on the 5-minute daily chart. Yesterday everybody and their mother starting shorting RIMM before their earnings came out, and when I saw the huge gap down this morning, I knew some of them wanted to start covering their positions as soon as possible. I ended up selling it at 12.20 when it started forming a shooting star candlestick bar on the 5-minute daily bar chart for a .55 point gain.
         The second trade of RIMM today was when it formed a hammer with a lot of volume to match, signaling another possible bounce. Bought 1000 shares at 11.25 and sold it at 11.30 for just a .05 point gain. It was pretty much a total of $600 in profits on both trades with RIMM.
Now the picture below is my second great trade of the day with HLF. If big money man Bill Ackman was really short 20 million shares, I thought another sell-off of HLF would have some short covering from somewhere.  Went long 300 shares at 26.65 when it started to fall apart again today and when hit a 3 year support level around 26. It also formed a reversal candlestick hammer, with the highest volume yet prior to that candle on the 5-minute daily bar chart to convince me it was time to buy. I was only looking for a bounce back to at least 28, but sold it at 28.09 for a 1.44 point gain.
If you want to see what I might be trading during market hours and interact with me during my trading days, just follow me on stocktwits or twitter @tradermike9.

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