I had previously sold LPSN for a profit at the upper trend line of the triangle, and held the remaining through earnings last night. The strangest thing happened which I have never seen before: the after hours trades showed little activity after earnings and it was down a bit. Even the premarket this morning had very thin volume and up approximately 4%. Meanwhile the futures were down for the broad market, and a red gap was a certainty. I didn't see any bid, so I place an order to exit at the upper trend line of the triangle. Oddly, it was filled immediately. Minutes later, the market opened and the price shot up 6% with huge volume. The volume and the rally was nonstop for the next 20 minutes and went as high as 21.92% !!
Needless to say, I felt sick in my stomach. It is also embarrassing. Nevertheless, I post the lesson here any way just for those who can benefit.
Lessons:
- Avoid off-hour trading; spend time with family instead. If you think market can be manipulated, it's even more treacherous during off hours.
- Something divine, a.k.a. jinx, is definitely intervening with my trades. This fluke was a perfect example.
Hi,
ReplyDeleteI love reading your blog and your sense of humor.
Best wishes!
P.S. I'm studying Elliot Waves and it changed my trading career and no more jinx. Much better than Al Brooks.
Hi Btran,
ReplyDeleteThanks for your comments. As far as Elliot Waves, my personal opinion is that it's too flexible to be useful. But that's just my opinion. Have fun and good luck!