CTL Trade on Jul 29, 2014 09:21 from ravani: Tradervue User Stock Trades.

Thesis: WIN, CTL, VZ and the rest of the telecoms were set to gain by spinning off certain assets and enhancing enterprise value. I didn't fully comprehend the news, but Eduardo said that if the news isn't simple enough that everyone can comprehend, call the bullshit and short the stock. Also, the theme has been to crush these massive gap ups-- in this case north of 20%.
R2Short: I wasn't aware of the above thesis of calling the bullshit until after the fact. But I started shorting the stock in the pre-market as the trend started to settle. The stock was up ~20% and the news was not very clear.
R2Cover: I quickly covered 50% position and got risk off the table. At this point, the thesis was working out and all I had to do was hold on to the position for a bigger retracement. I really had no reason to cover any more, but I did around 44.5 and then the last layer closer to 44 and 43. Overall, a good trade but I left a lot of money on the table.

LESSON:
1. Its interesting to observe how the stock climbs because it might be a reflection on how it rolls back down. And in this case, it was a momentum run down with the stock covering a lot of ground on every 1-min candle.
2. On suggestion on building patience is to continue to move stops based on the highs of the 1-min candle. For example, on this short, the highs of prior candle could be where the stops are set and continue to drop them until the pattern changes.
3. Also, first and last 30 minutes tend to trend more, watch where the price is on the 15 min mark and then on the 30 min mark.

Lastly, have conviction in your thesis, have a plan and when the price action confirms load up because that is the way to make some real money.