Breakout Play 1: $WPI

Bought $ANI for 8.50/share on July 3, 2017 as it broke out from its 52-week high. Positioned nearly at the peak which was 8.68/share. The next four trading days, it peaked at 9.05/share and hit a low of 8.28/share. I sold it on the fourth trading day, July 10, 2017, as it almost hit my exit price of 8.20/share.

I sold, but it didn’t hit my stop loss price, which means I’m not cool because anticipating a stock to hit the stop loss price is not equal to honoring a stop loss. Too bad.

It was not the main reason why I sold. Normally, I would just wait for it to hit my exit price, but then I saw $WPI broke out of its 52-week high—I immediately analyzed its fundamentals and according to my standards, it was very good. I then sold all my $ANI shares, calculated the exit price of $WPI, and bought it for 0.99/share.

The calculated exit price of $WPI was 0.94/share. A few minutes after buying it, $ANI went up to a high of 8.92/share, and $WPI almost hit my exit price after I bought it. 

It reminded me of my previous article. Fortunately, lessons were learned—I held. It was very painful, but I learned to trust the process. Lucky for me, it went back up and closed higher. The succeeding trading days were full of green sceneries. 

Screenshot of my portfolio as of July 13, 2017. A whopping 28% growth in just 3 days. My current trailing exit price for $WPI (as of July 13, 2017) is now at 1.17/share.

As for $ANI…

Getting stopped out of a trade doesn’t mean that I don’t like the stock anymore. $ANI is still a great stock, and it is still on my watchlist. I’m just waiting for it to break its resistance of 8.92/share. But if $WPI is showing greater strength in terms of price movement, I’ll hold on to it.

Develop success from failures. Discouragement and failure are two of the surest stepping stones to success.
Read more at: https://www.brainyquote.com/quotes/quotes/d/dalecarneg130712.html

Develop success from failures. Discouragement and failure are two of the surest stepping stones to success.
Read more at: https://www.brainyquote.com/quotes/quotes/d/dalecarneg130712.html