As of closing 7/24/11, our position is in profit $7,001.26, which is +70% since entry on January 13, 2011.
Analysis assists to make decisions to adjust the trading plan.
Technical analysis: CROX made a double top, which is resistance, and it may pullback.
Fundamental analysis: CROX reports earnings on 7/27. Calculations on the 5 previous earnings reports show that CROX averages a 6.8% move up and down the day following the announcement. Also, on 8/2/11 is the deadline for the Federal debt ceiling problem.
Adjustments:
1) For 302 shares, tighten stop loss from 21 to 26 to lock in profits +56%. Price of 26 is the new previous low swing is shown in red and at the 200 day moving average shown in yellow.
2) For the remaining 300 shares, tighten stop loss from 21 to 24.70 to lock in profits +48%. Price of 24.70 is greater than the possible earnings gap of 6.8% and at the Fibonacci 50% retracement line of the previous major upswing as shown in blue. I hope to remain long at least these 300 shares to catch further rally beyond the double top.
3) My near-term target price remains at the price range between 30 to 33, shown in green, which is the 127% of the Fibonacci pull of the previous major upswing. I set an alert at 30 using ThinkorSwim platform, the triggered alert is an immediate text message to my cellphone.
No comments:
Post a Comment