Lot of people are buying the dip
Retail is buying the dip in chip stocks on leverage:
The 3x leveraged long US semiconductor ETF, $SOXL, attracted +$5.1 billion in inflows last week, its 2nd-largest weekly intake on record.
This was only exceeded by the +$6.1 billion recorded in the week ending October 16th.
This comes despite $SOXL falling -40% over the same period.
Over the last 4 weeks, the fund has attracted +$13.4 billion in inflows.
Subsequently, $SOXL prices surged +22% on Monday.
Meanwhile, the Nasdaq 100 ETF, $QQQ, attracted +$3.7 billion last week and +$5.7 billion the week before, marking its largest 2-week inflow since August.
Retail investors are aggressively buying the dip.
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$SOXL - Trade management
My Entry - 47.91
Initial Risk - 47.35
50% trim at 54
Added 50% back at 52.65
Trimmed 50% at 56
At the current price of 59.5
+21.95% portfolio gain; this includes both trims and the remaining half valued at $59.50.
$10.515 profit per original share ÷ $47.91 entry price = 21.95%, or +18.78R.
I don't know if this is a swing or DT, but it pays
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The fastest horses today
When stocks are correlated, stock selection makes no sense unless you are building an LT solution.
When MA guys start to take positions, that is when you stock-select.
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Monis retweeted
I don't short. Moves can begin anywhere on the chart (learned from @PradeepBonde and @mmonis)
$SOXL - Trade management
My Entry - 47.91
Initial Risk - 47.35
50% trim at 54 - 12.71%.
The remaining 50% is at 20.1%
Realized gain: On the half that was sold:
Gain per share = $6.09
Percentage gain = +12.71%
Unrealized gain: On the half that is held
Gain per share = $9.79
Percentage gain = +20.43%
Account growth so far, combining both halves (cash from the sale + current value of the remaining shares):
Total gain on the original position = $7.94 per original share
Overall account growth = +16.57%
Risk Analysis
Entry: 47.91
Stop (initial risk): 47.35
1R = 47.91 − 47.35 = $0.56 per share
Sold 50% at 54 @ 10.88R
Open 50% (now) - 17.48R
Overall so far - 14.18R
Monis retweeted
Current state of fin X:
Post a ticker that goes up:
“Pumper!”
Post a ticker that goes down:
“Idiot!”
Don’t post a ticker:
“No transparency!”
Post gains:
“AI/Photoshop!”
Don’t post gains:
“No transparency!”
Post a thesis that ends up working:
“You got lucky!”
Post a thesis that fails:
“Idiot misleading people!”
Don’t share your thesis:
“No transparency!”
Stock pick round-trips:
“If you were smart you’d have sold the top!”
Stock pick keeps compounding:
“This was obvious, if you were smart you’d have kept buying!”
All these comments of course come from people who provide zero of their own insights, and despite apparently having all the right answers, have nothing but anger to show for it. People with genuine financial success do not act this way.
If X trolls are upset that the best finance content is all behind paywalls now, they only have themselves to blame 😆
$APP - Extreme imbalance going into earnings
Result - Price catching up
The move happened below the MA. 75% in 5 days and still counting, putting it back in Topd
My only recommendation, based on over 20 years of trading the market: The best moves can happen anywhere in the chart.
Before joining @PradeepBonde, I used 20, 50, and 200 SMA/EMA - got a lot of clarity studying the 4% breakout and how the swing starts
