Monday, April 09, 2007

Dummy Trade of the Day - Dendreon Corporation (Public, NASDAQ:DNDN)

DNDN gapped up and presented two low risk entries: break of third bar high; and my entry which was similar to last Thursday - NR base & break pattern with support of the rising 5 period ema. I took a partial as price tagged the 38% Fibonacci extension. This bar produced a huge volume spike and I felt that the move was almost over. I figured it would carve out a lower high and this would be my cue to exit the balance. But it slowly made its way up to 50% extension and I exited as price tagged $24.00.

2 comments:

Prospectus said...

Can I come to your house and watch you trade someday?

Every day I am amazed. I wish I could absorb more of what you share.

Jamie said...

Thanks for the compliment Prospectus,

I keep these story stocks on my watch list until they die. When a stock is hot, it can setup several trades per week. These NR base and break patterns, are the easiest and least risky to trade in my opinion.