Today we caught $bvsn for a 1.40 cent move. This stock is complete garbage and an obvious pump that ran up from 8 bucks to 56 in just 2 months. Obviosuly the stock will come back down hard eventually, however on its way down there will be pops in the stock that are playable. Below, I have outline the way that we caught this stock today. Here is what I saw in the trade and how we caught the reversal in the stock
The stock had dropped 20 bucks in the last 6 days. So, when you see a chart that has been down for six days in a row and almost cut in half in those six days, you automatically start thinking about when the stock is going to bounce. What I noticed this morning was that right when the market opened, the stock had buyers. That was something that the stock had not seen in a week right? So I let the stock open and put in an initial high. The stock then pulls back, but the kicker is that the stock doesn’t sell off on the pullback. Buyers step back in and buy the stock up again. We buy the stock on the intraday break of that intial high and the stock rockets up from there! Pretty simple, but a great profit
Here is a look at the intraday chart and how we pinpointed our entry on the reversal:
