RLYB Trade on Apr 11, 2024 10:00 from Rad_Trader: Tradervue User Stock Trades.

Trade Review

Play: gap and crap reversal on day 1 gapper with biotech w/news

Big Picture:

• Had after hour news the day prior in after hours Rallybio Announces Collaboration to Advance Therapeutic Solutions for Pregnant Individuals at Risk of Fetal and Neonatal Alloimmune Thrombocytopenia (FNAIT)
• It ran to a high of $2.40 in after hours then pulled back down around the low $2s and consolidated into the close
• Right at 4:00 am it gapped up into the $2.30s and just a grind to a high of $3.47 in premarket
• It traded 22 million shares in premarket, never rotating float as it was a bigger float
• On the daily it really never had run before in the past two years

Scanner:

• SPY gapped down yet again, but has been trying to grind back up to green
• Top percent gainer is PXMD a low float healthcare stock
• Second is BENF which is a bottom bouncer.

Technical Analysis:

• Float: 35.3 mil
• Support: $3.13 and $2.77
• Resistance: $3.47
• Dilution: a $100 mil ATM and $300 mil shelf with no restriction

Intraday Chart:

Thesis for the trade:

It had set a nice support level at $2.77 in premarket and was resistance earlier in premarket. Was looking for it to hold, but was just a little early it ended up setting a higher low off the major trend line and had a nice little reversal. Just needed to be more patient

Trade Management:

Managed the trade well, cut my loss when it went against me, doesn't matter if I was early

Price Target(s): $3.10 and $3.47

Stop: $2.72

What Do I Need to Improve:

Waiting for the bigger picture to setup, the major trend line is crucial to catching the bigger move of the stock

Did I stick to my plan/risk or move my risk mid trade: Yes I stuck to my original plan