hi, I am just back at the PC and admittedly I was quite wrong on this one today - would have shorted more at $1.66 but Interactive Brokers currently finds no stock to borrow against.
still short the original position but stop buy will be triggered if the stock manages to cross $1.85 - stock has been strong all the day on the heels of another (though rather small) long term credit agreement while most peers this time are down.
Bottom line: was very wrong today on the stock but as this bump was news driven I am not ready to pull the trigger yet. Good luck to all.
You'd be surprised how much technicals play a part. If you are trading news releases and not following simple moving averages, macd's & RSI indicators you are trading blind. I set my chart to 1yr interval and the technicals are extremely helpful.
I'll admit I took my eye off the charts lately as I just kinda figured I'm in for the long-haul, but after seeing a 50% drop I realize that it's pretty stupid of me not to play the swings.
We were sitting on the 200-day SMA yesterday, this is a HUGE technical level and all pro traders are watching it like hawks.