Yes, here goes Phil talking about CHK again. Nah, I just wanted to make an official first post and disclose my intentions of the 10k shares I own and spoke about yesterday (via email to the 10gm).
I was going to cash out yesterday for a .25 gain ($2.5k profit, selling @ $15.10) as the market was closing but decided not to leave (so much) money on the table as I have a habit of doing; not in a greedy sense but just as dangerous, out of fear. The fear we all experience when a trade is going with us or against us. Most of the time, my little voice is saying, "Sell here! Take your profit! What if it starts going down from here?!". I decided the technicals are too textbook to jump now and with the stock so heavily shorted I can easily get another $1k.
Glad to see it's up pre-market. My plan is to sell between $15.25-15.35~ this morning. If CHK fails to show the strength I expect to see I may end up selling 100 of the weekly Apr $15 calls in order to get a little cash, insure I'm called out tomorrow for a .15 profit ($1.5k) and hedge against the stock getting smashed in the next few days for some unknown reason. Personally, I see CHK hitting $15.30 within the first 15 minutes of trading. If the Nat Gas report is positive this morning (less inventory) CHK will go bang it's head around the 100-Day MA for a bit. That said, I don't feel the risk/reward is worth sticking around to watch that happen. I think CHK is going to have a hard time with it's next hurdle, the 100-Day MA should be key resistance until Monday's earnings announcement. CHK may slice through the 100-Day today/tomorrow if we continue to see this (temporary?) strength in crude (currently up 1%).
I will update this post when I close the position.
Phil
Phil
I was going to cash out yesterday for a .25 gain ($2.5k profit, selling @ $15.10) as the market was closing but decided not to leave (so much) money on the table as I have a habit of doing; not in a greedy sense but just as dangerous, out of fear. The fear we all experience when a trade is going with us or against us. Most of the time, my little voice is saying, "Sell here! Take your profit! What if it starts going down from here?!". I decided the technicals are too textbook to jump now and with the stock so heavily shorted I can easily get another $1k.
Glad to see it's up pre-market. My plan is to sell between $15.25-15.35~ this morning. If CHK fails to show the strength I expect to see I may end up selling 100 of the weekly Apr $15 calls in order to get a little cash, insure I'm called out tomorrow for a .15 profit ($1.5k) and hedge against the stock getting smashed in the next few days for some unknown reason. Personally, I see CHK hitting $15.30 within the first 15 minutes of trading. If the Nat Gas report is positive this morning (less inventory) CHK will go bang it's head around the 100-Day MA for a bit. That said, I don't feel the risk/reward is worth sticking around to watch that happen. I think CHK is going to have a hard time with it's next hurdle, the 100-Day MA should be key resistance until Monday's earnings announcement. CHK may slice through the 100-Day today/tomorrow if we continue to see this (temporary?) strength in crude (currently up 1%).
I will update this post when I close the position.
Phil
Phil