Category: Daily Recap & Strategy
We’ve missed putting out the day’s trade update for the last couple sessions. To recap, the total comes to just under $1800 made principally in $VALV. Trades in both $SYNM and $USAT resulted in a small loss. Many people are doing well in the smallcap space but, make no mistake…this is a relatively easy market to be long in right now.
We sold the $TVIX position for a small loss today. Shares were added long in $WZE once more based on a couple upcoming events. First and foremost being the upcoming FAB acquisition which is billed as the fastest growing, comprehensive outlet for media in China covering all the popular outlets for reaching consumers. FAB’s unaudited results for 2011 are $70.9 million in revenue with $15.3 million in earnings. A second catalyst for $WZE is found in the upcoming FaceBook IPO. We note that Wizzard recently integrated their Libsyn Publishing Platform with Facebook.
We made some substantial changes in strategy today. Losses totaling $440 were taken on both $WZE and $TELK to clear the books. A quick trade for $260 profit was made in $MSHL due to interest in lower float biotechs. We have taken a 300 share position in the Double Volatility Index $TVIX in anticipation of some wider mkt swings. Time will tell if this proves to be wise.
At the conclusion of an interview with Avalon Rare Metals CEO by the Fast Money panel, Guy Adami commented that the stock was “worth a look”. Much of the conversation focused on potential impacts of technologies currently under development which do not utilize rare-earth materials. The CEO rightly responded that these technologies are in fact several years away and do not pose a significant decrease in the overall need for rare-earths even if implemented. Discussion surrounding the current price per share of $AVL stock was summed up as being oversold to the downside in the recent sector drop leading to speculation that it may belong somewhere in the middle of previous highs and its present levels. We are most interested in the multiple support levels the stock is presently showing but, this added attention by Fast …
A quick trade was taken in $SAPX today based on momentum generated by a well known newsletter. We will continue to watch this stock as the general interest in this price point is growing across all sectors.