Just wanted to share an example of one of my nightly updates sent to members. Both CJ and myself send out a nightly recap with our thoughts on the day’s action, trades we made, and updated portfolio tracking. Feel free to reach out with any questions or stop by TTP Trading for more info. Thanks and have a good one!
It was nice to be able to take some gains today. Partial profits were booked in 3 positions. CNC – 16%, POOL – 3%, and TPIC – 9%. Trending shares remain in each position. As I type, futures are down quite a bit. It’s a long time till the market opens tomorrow but this development is worth watching. We’d need to get some pretty substantial momentum to the downside to cause me to be concerned. Earnings season is also starting up so that’s something to be mindful of. Big banks start later this week and I have a close eye on that group. They look pretty vulnerable in my opinion but strong positive reactions to the reports can get me leaning more bullish on the group. As a note to newer members, I will hold positions through earnings under certain conditions. For one, the position has to be profitable. Two, I prefer to book gains before the announcement if they are there to help with the P&L and reduce my position size to likely half (about 3.5% of my portfolio). And lastly and corresponding with 2, I like for the shares to have a decent unrealized gain / cushion. As such, it is the trending portion of shares I will hold through the announcement. Really, the idea behind the trending shares is to hold for as long as the trend is intact and that means you need to hold through quarterly reports if you want to capture the big gains. My longest held position in the TTP portfolio is TDOC and we’ve had to hold through some reports. Some profits have been booked along the way but we are sitting on gains of over 60% in the original shares. These big winners go a LONG way in helping performance and we need to hold through earnings releases to be in this position.
So let me talk about why I booked profits today in these three positions. CNC has been a good one for us. It’s rallied hard over the last week but looks a little extended at this point. A good time to book some gains in my opinion. Chart still looks great / strong but it’s nice to take some off while still maintaining exposure. Here’s a look at the chart.
Next up is POOL. I came really close to getting stopped out of this one as price opened below my stop area. I used some discretion as price quickly recovered. Now it’s trading back above the 156-157 area which acted as the ceiling or resistance during the past month. I have no idea if price breaks above this level but this is a good area to book gains in case it doesn’t. Again, chart still looks good here overall but I’m more comfortable feeding my P&L with price hitting this level and letting the rest work with the trend. Chart below:
Last sale was TPIC. I entered this about 2 weeks ago and it really woke up today with a big 7.5% up move as it broke out of a brief consolidation above the 30 level. Like the others, chart looks strong so I’m maintaining exposure with the trending shares. Just a little less exposure. Chart below:
We’ll see what tomorrow brings. As things look right now looks like we might have a little excitement. Have a good night and feel free to reach out with any questions. Open positions tracking sheet below.