Closed on DRYS and YRCW

I closed out my entire positions in DRYS and YRCW at $4.72 and $0.412 respectively. Both of these positions I bought higher than my sale price, but I went against what the "experts" say and averaged out my costs when these two stocks went to absurd levels of $3.71 and $0.16 respectively.

I was able to reach a point in which I made gains on each stock, which was 5.1% on my entire DRYS trade and 32.9% on my YRCW trade. This set of trades was not an easy road as some of the others I have engaged in. Here is a sneak peak into my timeline:

*Began purchasing DRYS back in Oct 2009 - Dec 2009 timeframe between $5.86 and $6.29
*Bought my last block of shares late Jun 2010 at $3.71.

*Began purchasing YRCW back in May 2010 between $0.43 and $0.47
*Bought my last block of shares late Jun 2010 at $0.162

DryShip Support Levels

I picked up another 500 shares of DryShips INC (DRYS) on Thursday at $3.85. I was looking at the chart pattern of the stock and noticed a support level in the 3.80 range, so based on the technicals decided to pick up additional shares.

Pulled Trigger on BUCY

I closed out my Bucyrus International INC. (BUCY) on January 6th @ $64.39 for a modest 12% gain. However, it looks as if I pulled the trigger a bit early because its closing price on Friday was $67.28.

Going in to this week, I'm keeping my options open for my shares of DryShips (DRYS) and Teva Pharma (TEVA), but if they make a nice upwards run, then I will probably lock in some profits.

New Year 2010

I just entered into a few new stock positions prior to the New Year. They are Wipro LTD (WIT) at $22.41, Bucyrus International (BUCY) at $57.04 and added to my existing stake in DryShips INC (DRYS) at $5.86.

Tomorrow's Trades

I will be trading from home tomorrow and definitley very anxious to see how my play in Adobe (ADBE) and my 2X short positions in SDS, DXD, and QID play out. I'm also keeping an eye out for YRC Worldwide (YRCW) and Dryships (DRYS).

I just read a basic online trading book this weekend from Christopher Farrell "Day Trade Online" 2nd Edition. I enjoy reading trading books and delving into ways other traders view and trade the market. The book is pretty basic but reminds us how important the bid/ask really is and how influential the market makers and NYSE specialists really are, so try to be with them rather than against them when entering/exiting trades.

Anyhow good luck to all and if anyone is reading this blog and wants to comment on stocks they are watching tomorrow or books they would like to hype then please comment.

Recent Close Outs

I closed out my positions in DryShips INC (DRYS) and U.S. Steel Corp (X) at $8.14 and $33.83 respectively. I did miss the 3+ point move on X this week because my limit order hit last Friday. My mistake for not updating and checking my charts over the weekend. My overall profit for these trades were 36.8% for DRYS and 21.4% for X.

DRYS Keeps Rockin' Higher

I took some additional profits on DryShips, INC (DRYS) two days ago by selling some shares at $10.07. Well it looks to have blown through the $10 range and is onwards and upwards. Currently DRYS is trading at $11.42 in pre-market and I'm wondering how long this upward trend is going to continue and where the next possible consolidation point will be....are we talking $15, $17, $20?

How much of this is tied to a "short squeeze" or have we passed that point already. There must be some people out there foaming at the mouth seeing this huge upswing. In my opinion, shorting at this level is not advised until this stock settles and a new base begins to form or one could look to play both sides of the fence with a spread.

A Few Moves

I sold some additional shares of DryShips INC (DRYS) @ $6.97 for a nice 46% gain. I still have a few shares of DRYS lying around in anticipation of next weeks activity. I also closed out my long position within (XLF) via my May $8.00 call. Originally purchased for $1.40 and sold for $3.40. I'll take a move over 100% anytime!

Enough with the DRYS Already!

Sold another 150 shares of DryShips INC (DRYS) when it crossed the $6.00 threshold. I'm running out of cheap shares, but I still like this play very much. The wild activity and heavy volume has me convinced that DRYS will keep moving higher. The big question....What will be the next waypoint?

Lighten Up

I decided to sell a few hundred shares of my DryShips INC (DRYS) at $5.74 an increase of approximately 20% since my entry point. I believe this stock is poised to move higher, but locking in some profit keeps me disciplined and on track.

Finally Profitable

Right now I am finally profitable (paper only) on DryShips INC (DRYS) thanks to their recent announcement. I'm shifting my thinking and looking to hold this company longer. If I do decide to sell, I may do it in chunks vice liquidating all my shares at once.

On an administrative note, thanks to AJ for bringing FINVIZ.com to my attention. I have played with it a bit and it consolidates information to one site. I have added it as a link to my page, so check it out and tell me what you think. If there is something better that you like to use, I would be interested in hearing about it.

Scalping Stocks

Yesterday, I tried to scalp the market using DryShips Inc (DRYS) as my conduit. I established a large position at $4.77 and was hoping to exit my position at $4.90, thus making a couple hundred dollars. Well that was the plan, however the stock traded in a very tight range and really did not make a move in either direction. I maintained my position going into the weekend and I am hoping the stock has some nice upward momentum on the Tuesday open.

Pure Value Play

I took advantage of this drop today by doubling-down on my investment within Proctor & Gamble (PG) at $51.76. They are trading just above their 52-week low, so I think this is a great entry point into a solid company.

In addition, I tried to make two other moves, but set my entry point too low. Those stocks were DryShips Inc (DRYS) and General Electric (GE). I missed getting into DRYS by 0.03, which was a bit frustrating because I would have had a nice little gain towards the end of the day. I guess we will see what the market will look like tomorrow after investors get a chance to digest the Senate version of the "Stimulus Plan" and the complete vagueness of Tim Geithner.

On a lighter note...has anyone else become completely immune or disgusted with the continued overuse of the term "Transparency?"

The First for 2009

I was a behind the powercurve coming into 2009 with my post. I blame all my holiday travel....yeah that's the excuse. Anyhow, I'm going to hit it hard for the rest of 2009. My carry-over from 2008 was my January put on DRYS, which looks like it will expire worthless as they have had a nice run-up. Their move was primarily based on the Baltic Dry Index. Obviously, as rates increase (which they have) the more a company increases their profits, plus traders realized just how crazy it was to see DRYS in that low of a range.

Going forward....I'm still negative on the retailers in general and positive on the metal and miners. On the macro-level, the big 800-lb gorilla in the room remains the looming stimulus plan and how that will be pushed forward as Obama's team takes office.

Put on DRYS

DryShips INC (DRYS) has made a nice run, so I've decided good or bad to take the opposite side of this trade. I bought a Jan 2009 $12.50 put (OOCMV.X) for $3.80. I'm looking to take advantage of the slowing market as we head into the holidays and as investors begin to close out their positions.

Today's Action

Just wanted to send out a quick note that I established two new long positions today. I Finally got into RIO at $31.30 and SLT at $23.82. I chose these positions as overseas plays on basic materials/metals play. In addition, the SLT gives me exposure into India, while RIO latches me into the Brazilian market. The charts are courtesy of StockCharts.com

On a quick side note....did everyone catch a glimpse of the 14% down shift in DRYS? Like my post yesterday mentioned, I thought the carriers were headed to lower territory, however I did not expect this type of sell-off so quickly.

Christmas Sell-Off?

I think the market will be down at the end of this week. The factors that play into my thought process are year end taxable events, market still recovering from only a 0.25 rate cut, and people closing out positions to lock in year-end gains for themselves and/or stakeholders. There are a few sectors, which I think will be weaker in the near future, so I will keep an eye out for some weakness on Diana Shipping (DSX) and Dryships INC (DRYS). I will also look to short or pick up some puts on Transdigm Group (TDG).