Re: SQ
I have been trying to emulate Harry’s SQ action with CELG. I’m 6 for 6 over the past week and a half, so I’m due for a loss. I picked CELG because the BMY deal gives it a bit of a bottom. It moves with the IBB which gives it some predictability and I’m very familiar with the IBB movement having observed it closely for about 30 months. There are some traders that need to unwind short positions. I think they are able to create a bit of volatility which is helpful. I picked it up with a limit today at 87.83. I’ve only had one “sleep over” to date and my goal is zero overnight holding. My goal is to make a buck on each trade, but I’ve averaged closer to $0.80. I’ve made the money with well timed buys and left money on the table with early sells. It’s hard to do it while working a job. I stay late to offset the distraction time at work. I plan to stop day trading CELG prior to the April 12 vote (I think the gap between the market value of the deal and the SP will continue to drop and volatility will also drop to the point that it will be difficult to make much).