IRBT Trade on Apr 24, 2019 09:38 from MarcoG: Tradervue User Stock Trades.

Consolidation Squeeze Play below pm low! Short Float >40% and 100 (Psycho Level) Negative Magnet on ER beats!!

Requirements:

RVOL: Possibly >1.5
pmVOL: Possibly >50 K
avg Vol: > 1M
Vol @ Day: > 1 M
Gap: If possible but not strictly needed
Long Term Chart: Possible Pocket, trend already defined and strength.
Float: > 20 M
Short Float: Possibly >40%
Institutional Ownership: Possibly > 100%
History of Gap Follower: Neutral
History of former runner: Possibly YES
Major ETF movement and strength: Possibly Trending with strength

Company Description

Sector: Technology
Industry: Consumer Electronics

iRobot Corporation designs, builds, and sells robots for the consumer market worldwide. It offers Roomba floor vacuuming robots; Braava family of automatic floor mopping robots; and Mirra Pool Cleaning Robot to clean residential pools and removes debris as small as two microns from pool floors, walls, and stairs. The company sells its robots through various distribution channels, including chain stores and other national retailers, as well as through online stores, and value-added distributors and resellers. iRobot Corporation was founded in 1990 and is headquartered in Bedford, Massachusetts.

Trade Scenario

Given our Q1 results and our outlook for the rest of the year, we are reaffirming our 2019 full-year revenue and operating income expectations. We are increasing our full-year expectations for earnings per share to reflect the $0.14 favorable tax impact we recorded in Q1 that was previously un-forecasted. We anticipate full-year 2019 revenue of $1.28 to $1.31 billion, which is year-over-year growth of 17-20%, operating income of $108 to $118 million, and EPS of $3.15 to $3.40

Trade Variables

Symbol: IRBT
Gap: 15%
RVOL: 7.80
pmVOL: >50 K
avg Vol: 1 M
Float: 27 M
Short Float: 46.21%
pmPATTERN: Bear Flag (opens at breakdown)
Catalyst: ER Beats

Technical Levels

Support: 100 98
Resistance: 128 133
Inflection: 117

Trade Plan

Price dropped 15% with ER beats. The short float is above 40% perhaps a shares refreshment will occur or simply further selling or positions unwind will grant a further move down!

Set-up: Consolidation Squeeze Play at pm low
Side: Short
Size: 5 (Should have been 18)
Entry: 107.080
Takes: 105.84 / 105.01 / 103.76 / 102.93 / 102.10
Exit: 107.91

Comments:

I am a robot. I execute and I trade with automatism as I was a computer. For as much as I love this and I have worked sooo hard to get like a machine with no feelings and personal involvement this issue now is really annoying me. Again, I have traded the wrong old size. Risking 4$ instead of 10/15$. This has absolutely to change. I have created a desktop wallpaper stating that my risk is 15$. Looking at it all the time my next trade will be affected by that. Jesus, I have to remember. I have also asked a dear close person to call me prior to the market opening to remind me about my risk of 15$. I have to do this; I think it is my last step to finally get a living out of trading. This month I have opened 6 positions, 5 wins and 1 loss. My accuracy is at 83.33% and the pnl lowered to 1.68:1 due to the wrong size, it should have been 3.1:1.
Apart from those considerations I have shown just a bit of hesitation in entering the trade. It could have been anticipated by, let's say, 50 cents. I have got to profit target 1 and 2 but I wanted desperately to add shares to adjust my mistake. This attitude obviously leads to a wrong approach, indeed I have ruined my average and obliged to stop break even to don't ruin my trade. Consequent to a mistake there could be others coming out. I have loved that I have controlled my frustration and FOMO not entering in any other trade or just chasing IRBT. I wanted so bad to short T for the breakdown of the 31 level, short SNAP, Long SAP, but I have told myself that those trades would not have existed if I was trading the right size thus, I didn't enter!!! I still have time to learn, I have the opportunity to be kind with me. I have been trading for 6 months now and I have changed my approach and attitude incredibly and this makes me really really satisfied and proud of myself. If I go back reading my old trades I see immediately where the mistake was and why I made the mistake. Now after only 6 months I have traded only 6 names in the entire month, for me this is a result. It has to improve obviously cause perhaps I have left some good opportunities on the table and I am still stuck on my old size but I WILL CHANGE THIS IN FEW WEEKS TIME, hopefully :D

IRBT was a gap down in pre-market. Rejected beautifully the 13ema and formed a descending triangle that needed just to be broken. This is the reason why I entered at 107.08 and not before because I wanted to see how the price would have reacted to the bottom. It worked perfectly :) Gave a nice move up to 3:1 pnl.
Sitting tight and holding like a tiger waiting for next setup to form and attack!!
Let's go!!

BTW best exit for this trade was 11.56 times my risk! :O What a lesson today!! It reminds me of December when I shorted Facebook almost at the same way but for other mistakes, I didn't spot 20 times my risk best exit. Today what happened didn't have to occur so maximum focus here. SIZE has to be correct!!

29/07/2019
As well as SBUX last Friday (going to 100) IRBT got pulled to the 100 after a big drop from the 130 level! No significant level of support where there to slow the move down.

14/08/2019
I was such a pathetic idiot!! Jesus the review it's trash! I wrote I am a robot and bla bla bla this is just bullshit, a moment of ego pump here... Pathetic!! Thanks god I write down my feelings for me to review them! The robot actually crashed just the month next! It didn't work anymore. Just no execution in months, blocked in front of the monitors for hours!! The robot fucked it up!
It took me around 3 months to actively open trades again. I started with a higher size but pulled back a bit.
I hope I will never fall in this shit attitude like I did April 24th 2019 and keep a humble, constructive attitude!