Update 9/18/16…

The markets seem to be on the verge of doing something.  I wish I knew what it was!  I haven’t changed my holdings at all, so everything is the same with Ford, NUGT and TA.  I have come to the realization I am going to have to average down both Ford and NUGT to ever get ahead.  I have no plans of doing that in the near term and will patiently wait for a comfortable time to pull the trigger.

There are some other stocks I’ve been keeping an eye on, and will keep you posted of any new additions.

Have a great week!

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Update…

I’ve been out of the loop for the last few weeks, so I have to catch you up on what’s been going on.

First, I closed out my GILD position on 8/26, selling the shares for $79.86.  It was a small profit, and not the return I had in mind.  I sold the position due to Mylan (the maker of Epipen) being front and center in the weekly news cycle.  I anticipated a pull back in most of the Biotechs, including GILD.  As of this writing, GILD is currently trading at $76.97.  I think there is some longer term upside to this stock and will continue to monitor for a decent entry point.

I also added a new positon on 9/01, purchasing 1000 shares of Travel Centers of America (TA).  TA operates and franchises travel centers and convenience stores.  I purchased the shares for $6.81 per share.  This is a stock I have traded in the past, buying it at the same range and selling north of $8.  I am targeting a 15% return on this trade, but we may have to be patient.

The big news was the purchase of my NUGT position from two Fridays ago.  Since the purchase NUGT went through a 5-1 split, making my position 500 shares at a price of $30.18.  The stock is currently trading at $21.54, so clearly not the move we anticipated.

But, that’s the danger in trading the 3x ETFs.  When they move in your favor, you can make a killing.  If it moves against you, you can get killed quickly.  In this case I have three options.

  1.  Do nothing.  Keep the stock and ride the wave until the trade becomes profitable.
  2. Add to my position, bringing down my average price.  Then holding until the trade becomes profitable.
  3. Sell at a loss.

I am choosing to sit tight.  I’m uncomfortable adding to my position at this time and I don’t see a reason to sell at a loss, either.  We’ll hang tight and see what happens.

Have a great holiday weekend and happy trading…

Closing NUGT…

Sold the 100 shares of NUGT this morning for $165.08 for a quick gain.  The shares dropped below $161 for a shorty time this morning and I held off re-buying to see how the stock reacted in the afternoon hours.  It may be one I purchase just before the close tonight.

Monday trade…

this afternoon I purchased 100 shares of Direxion Daily Gold Miners Bull 3x shares (NUGT) for $162.87.  This is a really volatile stock and not for the faint of heart.  I’ve been trading this stock off and on since it hit $40, and it’s been on a strong upward trend for most of the year.  We’ll have to see if it continues…

Weekly Results – July 29, 2016…

The end of week number one has come and gone.  I ended the week up $905 (1.16%) in my e-Trade IRA account.   A couple of decent trades to start, nothing too fancy.

I am starting week number two mostly on the sidelines.  I still have my 500 shares of Ford (F). Unfortunately, it looks like I’ll have those for a while.  The good news is that Ford has a decent Dividend Yield of 4.74%, which I have set up to roll into new shares automatically, so not all is lost.

There are some new Bearish calls out there today, with several analysts and banks calling for a pullback on all equities.  I’ll be playing it conservative with my trades until I see something that looks oversold.

Cheers