First, a poll:
USCN (OTC BB) – Potential short, absolute crap financials and it has been pumped endlessly. This should be a great short on green/red action although there likely won’t be any shares available to short when the time comes.
VHC – they did not win a patent ruling, only got a preliminary ruling that increases the odds of them winning. The fade after the brief spike following the news last Friday indicates that this will likely fall more, and it closed the day up about 100% so there is plenty of room for a 20% fade. I would look to short on green/red action. It may also be a decent buy if it shows strength but considering I got burned buying it Friday I will not play it that way. Friday it was shortable at IB.
INO – after PIPE financing news Thursday it fell 50% (from the insane price of $3.40 it closed at Wednesday from $0.80 on Tuesday). That move was overdone and it bounced Friday. I am not looking to play this as its next moves will be less predictable.
I am perfectly happy to give my thoughts on stocks my readers mention. Keep in mind that I give only my opinion and what I write is never personalized investment advice and should not be taken as advice to buy or sell particular securities. Preston mentioned a few in a comment on my last post. He said:
I know your not a fan of these but here is my watchlist.
I like AEM after Cramer pumped them and they had decent news, short above 58 and cover under 55.
MCD, long under 55 and sell over 58.
I also like ACH for a long term play on CHina but would like to see a pullback first, I bought this first around 12 and sold at 16 and of course it flew after that.
AEM & MCD just do not interest me. Their charts are too choppy and I have no insight into their fundamentals or why people would want to buy or sell them. ACH has a great chart and might be a buy over $30, but its average daily range (ADR) is very low. I am not a swing-trader so it doesn’t interest me.
One point I will make over and over again is that stock trading is like baseball with no called strikes. If you choose to not make a trade you cannot lose. So the best traders only trade when they have a clear edge. Stock trading is one of the few ‘jobs’ when you can show up drunk for a week and do nothing and you won’t get fired or suffer any harm (as long as you avoid trading). If you ask me my opinion on 99% of stocks I will say that I have no opinion. I can make plenty of money only if I have an edge in trading a few stocks on any given day.
Disclosure: No positions. I have a disclosure policy.