TD 13: 9.4% gain with a lot of sweat

 I found an amazing ticker today.  It was a drug company that had just gotten FDA approval on a new best in class ADHD drug.  I had watched it a bit yesterday because the approval was supposed to come out during market hours, but the FDA announcement was delayed until after hours.

It was the biggest premarket mover with the most volume.  It had a news catalyst.  Perfect pick!

I bought at a price that had good resistance and set a sell a little lower than the previous high.  

Then, I got pulled into the hype.  The company was having a conference call regarding their results that I listened to...what in the world?  Why am I listening to conference calls?  The call was nothing but good news.  Wow!  

The price continued to bump around the support, so I felt confident that I wouldn't lose money.  I increased my sell limit to higher as this seemed like a sure thing.  And, then it took off!  It felt so good to finally have a good runner on one of my picks.  I increased my sell to even higher.  

Then it all petered out.  I got very sad.  I did not follow what I had learned and got greedy.  I really thought this would be a grand slam.  I revised my sell limit down again to the previous high and decided to sit tight until market open.  I saw my gains slip before my eyes.  I was contemplating what my move should be.  I do think this company is a great long game based on their fundamentals, but I'm not supposed to be playing a long game.  

Fortunately, I lucked out and the market did respond to the news in a big way before falling.  Because I had set a sell limit, my trade hit automatically.  I was actually on my way to change my limit to higher again which would have ruined everything.  Thank goodness I had the limit set and it executed before I could get in the way.  Now, the price has fallen again, so it worked out in my favor.  

Lesson learned again.  Stop trying for the grand slam...again.

  Summary:

Ticker:  KMPH

Bought:  $16/share

Sold:  $17.50/share

Gain:  9.4%

In another update, I did a swing trade on RKT yesterday and got a big win which is probably why I kept holding on for a big win today.  RKT continued to go up from where I sold it, but I was glad for my gain.  Keep focusing on small gains.  They add up fast and are somewhat safe.

Ticker:  RKT

Bought:  $23.84/share

Sold:  $30/share

Gain:  25.8%

Total of my $100:  $216.64, 9.0% average daily gain

Feeling good about where I'm at now.  I have some room to take some losses and still stay in the game.