Short Term Trading Week Starting: 18 Feb, page-64

Damn most painful game in the world to learn this is. 
Stunning announcement today, but very little in the land of specys has moved on announcements in the last 12 months.

I'll go back to the strategies in Louise Bedford's book that I mentioned to you before. One of the strategies she focuses on is Moving Averages crossing. PM8 is getting there, and I expect very soon for a buy signal to appear, but not just yet.



Another strategy is not to buy approaching a resistance level. In fact it is often better to trade after a back test is made, rather than on the initial breakout - aka VMY where I'm waiting on 6 cents to get back tested. Resistance levels at 2.0, 2.3 and 3.0 stand out on the chart. I thought today's announcement might have been strong enough to drive the SP up to 3.0 cents. I was wrong.



Personally, I'm trying to get away from trading announcements, but if I get tempted (like I was this morning), I have a look at where the SP sits in the Bollinger Bands, and if it's sitting too high, it gives me a little warning to be cautious.



Sorry you had a bad experience today, but it's all part of the learning curve, and it happens to all of us.