Trade Review April 6th, 2015

Trades for April 6th, 2015

(click on charts to enlarge entries and exits)

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Only took one trade today in the morning. Trade was wrong on a macro level and a micro level. Had warnings from bigger players but still wen't the wrong way. Also learned a couple tidbits about order entry, which contributed to my loss today. 

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CYTX Long

Entry: 1.41 Exit: 1.37

Tried to long CYTX this morning. My though process was that it would go higher after the initial pre market gains. I was wrong on this trade in both ways, mostly fundamentally but could have don't better on my entry as well. What I didn't realize that CYTX had a filing in early march that it was offering 40 million shares to dump at some crappy price. If we would've known this, this completely changes our viewpoint on trying to long this. After that fact, it is foolish longing this thing, even on a first day high volume day.

On a second note, I also did this trade wrong on a more minute level. Always ANTICIPATE the trade, I am always seemingly chasing the trade. I think I do this because I don't like being upside down at all, even for less than a minute. I need to work on conviction like mentioned before.

Lessons:

• Fundamentals: Keep an eye on the big picture trade. CYTX had a lot of shares to dump into every and any push. I need to learn to read news and be aware of the big picture situation.
• Entries: Stop chasing and ANTICIPATE the move. Dont short after the drop and long after the pop. Anticipate, anticipate, anticipate. Trading is all about using the left to predict the right. 
• Keep it simple. I need to get away from the chopfest that is the open and work on simpler trades that are later into the open. Late day faders and higher low R/G moves.