Our timely emails on actionable stocks put you in control of these treacherous QE-manipulated markets. All it takes is one or two buys to make a difference to your portfolio which can pay for the low subscription price many times over. 

CYBR email sent out 11/13/14 when CYBR was trading at 39.5. Current price: 42.92 [+8.6%]

 SWIR email sent out 11/7/14 when SWIR was trading at 33.74. Current price: 38.96 [+15.5%]

ALXN email sent out 10/23/14 when ALXN was trading at 180.1. Current price: 193.59 [+7.5%]

BABA email sent out 10/21/14 when BABA was trading at 91.1. Current price: 114.84 [+26.1%]

But just as importantly, you can improve your skills as an investor through our frequent discussions on handling a position, the importance of stops, knowing your risk tolerance levels, and understanding your investment psychology. 

And what about when a stock doesn’t work out? On 11/6/14, an email on a pocket pivot in LOCO was sent out, but the next day, the stock fell. Members were apprised of such possible action in the report we sent out a few days earlier.

And then most recently in today's trade, we published the following after the buyable gap up and pocket pivot action in RWLK failed later in the trading day:

PPR - RWLK - Another Good Lesson
Published : November 13 2014 at 16:10 ET

Here's another good lesson in handling stocks that sell off after a buy is made.

Bioinformatics company RWLK that develops exoskeletons for the treatment of wheelchair bound individuals had a buyable gap up after a strong earnings report. The gap up nearly closed minutes after the market opened but then rebounded. RWLK subsequently traded enough volume for a pocket pivot. Unfortunately, selling pressure renewed later in the day.

So while RWLK looked great earlier in the day with strong buying pressure, stronger selling pressure knocked the stock lower and lower until it traded lower than its prior day's close, then ended up closing near the low of its trading range.

One had a few chances to sell during the day:

1) After selling pressure increased at which point it was trading in the lower half of its trading range

2) After it traded below its prior day's close

3) Near the close (if the whole position had not already been sold earlier)

Earnings reports can generate a tug-o-war between bulls and bears, thus expect increased levels of volatility on such days. Usually, but not always, the bulls or the bears dominate the day. But once in a while, such as in the case of RWLK, the bulls look as if they have the strong upper hand, but then the bears win out. Or vice versa.

Thus it is always essential to respect your sell rules when handling any position because assume anything can happen. And as the saying goes, the first sell is the easiest, meaning that if you let a loss get out of hand, it becomes psychologically harder and harder to sell your position. Type in 'sell stops' into the keyword search bar here https://www.virtueofselfishinvesting.com/faqs for a refresher on the importance of developing appropriate selling strategies. 

 

At The Virtue of Selfish Investing, we do our best to educate our members as to the pitfalls, both tactical and psychological, that lie ahead, especially in these highly manipulated quantitative easing driven markets that have been with us off-and-on since 2009. And our ample Investor Education section that includes the frequently updated FAQ section is always open to all. Feel free to email us with any investment related questions.