Tuesday, November 29, 2011

CLNE Anatomy of a Small Trade

Some of these trade ideas can slam 6% or 20% in just a few days or weeks, usually if lucky enough to get to 30% it is time to close it out and not be greedy.   Those are rare.  

This one was a buy at support, except on Monday move it gapped up and then consolidated, I bought at 18.80, see the inset on the screen cap.

Volume is pretty OK at 600,000 per day.   I wouldn't worry about doing 2000 or 4000 shares with that daily volume level, if you wanted to make it a "bigger trade" and potential to profit maybe $4000 or $8000.   I took this one as a small trade, 600 shares.  

It is now at 12.2 -- that is about a 3.4% move up in one day, which is fine.   No huge dollar profit on this one, but I already moved up my stop to a small profit, If I get 20% great, but at least the risk has been eliminated from the trade.  Of course it could gap down and take a big hit, but not too likely.