NVAX Trade on Jan 21, 2020 15:35 from Marius: Tradervue User Stock Trades.

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Marius

 

Big Picture
Market opening down from a 3 day weekend. SPY was coming off a new ATH from Friday's close but futures was trading downward in its opening session. SPY recovered into the pre-market to open and tagged highs from the previous session mid-day.

Intraday Fundamentals
There was a recent virus outbreak in China called the Coronavirus that was setting some biotech companies trading higher in the pre-market. NVAX showed the most movement and was a better candidate for a treatment vaccine as the market was reacting to the recent news.

RVOL - 38.61
AVOL - 1.38M
ATR - 0.60
Short Float - 22.28%
Shs Float - 24.35M
Inst Own - 27.10%
Market Cap - 239.12M

Technical Analysis

SPY, 5m
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TICK + ADD, 5m
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NVAX, D
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NVAX, 10m
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NVAX, 1m
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Tape Reading
Had the tape on during my entry to get an initial flow feel of the stock but didn't have enough time to gain any insight. Although there were large bids called out earlier in the workspace when scanning into the EOD. Overall limited use here and something I use more significantly when I'm scalping and on the desk for a longer period of time.

Trade Review / Trade Management
This was a trade entering as a swing in the PM session. I had reviewed the AM notes, got a quick pulse of SPY/TICK/ADD, and reviewed some stocks performances for the day. This stock made the top with the metrics and price action. I saw the sell-off in the morning but a recovery midday into the close. There was momentum with the China news backing the move. This is a chase on momentum into the close and possible swing. My swing trade statistics don't show the greatest strength but it is a trade I have had mixed results in. They are always being worked on and modified like my previous attempted swing trade last week which was closed out in the pre-market of the next day. I also saw other senior traders having a position from the day and into the close although it looks as it was also closed sometime in the after-hours.

I had ranges and levels set because I was going to be away from the desk and making executions on mobile. I responded to a pre-programmed alert and decided to close out the position after reaching a target and momentum slowing. Initially made a mistake not marking EXT on my order. I thought I wasn't getting filled based on liquidity. This cost me almost half of the full exit potential. I didn't know about the 100M share offering until later but that was much later announced on the wire. There were probably participants that may have knew ahead of time looking at the price action.

Grading this overall as a C- because R/R wasn't skewed favorably and if I wasn't prepared with alerts in the after-hours I would be at a much larger than normal loss. I'm a much better trader when trading intraday AM and PM session with these types of stocks and movements in the market. I was only trading this because this was a strategy I made myself available to in place of rest/recovery. I probably would take this trade 500/1000 times to put in perspective as well of which I have backed off of some of these trades in the recent past.


Execution detail:

Date/time Symbol Side Price Position
2020-01-21 15:35:26 NVAX buy $9.835 long
2020-01-21 15:35:26 NVAX buy $9.835 long
2020-01-21 16:25:15 NVAX sell $10.030 long
2020-01-21 16:25:15 NVAX sell $10.030 long
2020-01-21 16:25:15 NVAX sell $10.030 long
2020-01-21 16:25:15 NVAX sell $10.030 0


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