Wednesday, March 09, 2005


MAX out

Well, my call on MAX was (almost) right on the money. The stock was up nearly 30 percent on Tuesday and I was pretty optimistic it would continue its run today. But what do I see when I power up my computer this morning? None of other than a big stinkbomb in the form of a PR release from the company saying that management was considering delisting the stock. Most likely management got spooked by the big price jump and wanted to let the cat out of the bag as soon as possible to ensure that the company didn't have to spend too much to pay off the small shareholders. I suppose in the long run delisting will be in best interest of MAX shareholders since the company will now be able to avoid the high expenses associated with Sorbanes-Oxley. Still, I bought the stock as a way of getting a piece of the recent action in energy companies, not as a long-term hold. I sold half my shares this morning in pre-market on Instinet for $4. I'll hold on to the remaining share in the hope that the share price will recover somewhat. I figure I have little to lose: as a holder of only 2500 shares, I will probably get the $3.75 to $4.25 that the company is offering, which is more than the price at which the shares closed today.

In other news, I dumped my shares of ISRL yesterday. The shares were up over 100 percent over the past week on the mistaken belief that the company stands to profit greatly from higher energy prices. In reality, the company's main business is running a cruise ship, hardly the sort of thing that would benefit from the sky-rocketing price of crude.

Holy crap.. hit a home run with NGPS. I woke up this morning 10:30 AM EST and looked at the screen and thought I was seeing things. By the time it registered that my NGPS shares were up $800 and I set the order, the profit was dropping like crazy. So I sold and made about $700.

Wish I had more shares but oh well. I had bought even more yesterday when it was going down and that's not bad. I hope I sold at the right time THIS time.

I totally screwed up with FRO. When I bought it Monday, I was up $330 in 1 day. I got greedy and didnt sell. Today, I am down $300... It is such a bargain I feel. But such volatility.. I bought some more at this lower price. I dont know why it dropped like a rock yet again this morning. Damn..

Hmm.. my loser stocks are dragging me every day through rough patches of nails. Stocks like CREAF, LUV, LU, TWX, FRX, NFLX, KRB, and MGAM. I bought these when I started trading a few months ago and they are all down quite a bit... sucks. I really ought to sell them but it is hard to drop. I guess I am hoping for them to go up. I am going to wait til the end of year. If it doesnt do well, I most likely will sell them.

Bought some DVN today when it dropped. And Got back into NGPS when it dropped slightly. And added some FRO. Hoping for another decent day.
A huge ouch... I sold SINA and shorted and covered today. Did okay on that.

But what sent me flying freefall down from the clouds was NVT. Man.. I shorted it thinking its P/E was way too high and next thing I know, they came out with a big announcement. Maybe I should have saw it in the charts because for the longest time, it was around 44-45. Then it start creeping up last few days. I guess someone knew about the deal or something. Damn.. should have know better. Anyways, shorted it and now sitting on a $400 loss. All in 1 day.

Trailing stop orders.. what a freaking joke. NVT started dropping, so I put in a trailing stop order. The freaking thing sold my shares at $48.10 while the share price displayed was still $47.90. I am so pissed..

Anyways, lost $200. Better than $400 I guess. I bet it'll continue to drop down by end of day. Damn.. last time I am using trailing stops.
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