tradersams blog

well, as documented yesterday I had to make a decision about KZL.  I exited part way through the day at a 19% loss, based on the great fall yesterday.  19% loss hurts when I’m working my current plan.  Some of this may be recovered if I take up the offer for the share placement..whatever happens, this has brought out a flaw in my trading plan… my plan says exit when I fall through a stop loss, however my stop loss does not have a rule to move it based on a fall based on what amounts to a ‘return of capital’ which this share placement appears to reflect in essence.  I’ll think about this some more over time, but don’t want to make a rash decision.. some study is in order.

The other action today was a pyramiding entry into ROC.  ROC passed through resistance two days ago and is travelling on strong volume over the last month, and next resistance level is at ~$1.10.

Gold – I commented yesterday on a potential h&s formation on the hourly chart.  Further analysis looks positive today, but then flicking to a daily chart, it is not obvious that there is a ‘defined’ right shoulder – as one would want for a positive trade.