JAVA

[David Randolph]

I don't think it is much useful for trading purposes to read the news on these very liquid stocks. The market probably already knows everything that there is to know and that's all reflected on the stock price. It is an efficient stock, so one has nothing to gain from reading the news on these extremely liquid plays.

Technical analysis is the key here.

Technically, SUNW is bullish for as long as it closes above $4, it will turn very bearish if it ever closes below that support level (prior resistance). The stock made a bullish reversal candlestick pattern, which is called the hammer. The stock opened unchanged, then traded lower during the session, but bargain hunters, bottom fishers or whatever made it recover almost all its losses by the end of the day. That will put some doubts on the bears minds and will encourage bulls to buy the stock. A white candle today would confirm the bullish candlestick pattern.

We'll see. My trading plan stays the same:

Making it simple here, I don't think the stock will break $4, and if it does that, it will be dead for a long time. I will hold to sell on two occasions:

1) At my profit target which is $5.40.
2) Whenever the stock is set to close below $4.

[David Randolph]

It feels like my play on the liquid garbage was wrong, so I have to manage my losses, trying to lose small when I'm wrong and win big when I'm right.

SUNW's session was awful and I'm prepared to take a small loss on this trade. But I don't want to be indisciplined, so I need to give the stock (and my trading plan) a chance.

So, for tomorrow, the plan on SUNW stays the same:

1) Sell at the target of $5.40 (further and further away)
2) Sell if the stock is set to close below $4 (closer and closer)

[David Randolph]

The Bear Market isn't giving any chance. My plan on the liquid garbage was totally wrong, and I'm paying the tuition fee (you really need to have strong and specific motives to buy a stock in a Bear Market).

It looked like SUNW was about to close below $4 so I sold it at $3.98 before the closing bell. It ended up closing at $4, but that's not important, this was a bad trade since the beginning (and usually good trades are profitable right from the start).

I took a 9% loss on this one and I'll move on, good luck to those who continue to hold.

[Melf Elf]

I bought SUNW on October 11 at 4.01 (posted on the Stock Picking Board) on the pullback to the top of the Ascending Triangle.  Stop: a close or obvious late day tank below 3.81, the late September low.  Risk: a loss of 5%.

Since my entry, SUNW has been playing Ping-Pong between its 50 and 200 DMAs, which are inverted, but close to making a bullish cross.  The 200 is at 3.94; the 50 is 3.89.  SUNW has held the 50DMA on a closing basis.

Yesterday, SUNW closed at 4.03, back above the top of the Ascending Triangle (4.00-4.01).
I don't want to see it close back below that, and I definitely don't want to see it close below last week's lows (3.88), which also would be a close below the 50DMA, so I'm raising my stop to a close or obvious late day tank below 3.88.  Risk is reduced to a loss of 3.5%.

[Melf Elf]

I bought SUNW on October 11 at 4.01 (posted on the Stock Picking Board) on the pullback to the top of the Ascending Triangle.  

I'm raising my stop to a close or obvious late day tank below 3.88.  Risk is reduced to a loss of 3.5%.

Sold SUNW at 3.87.  Loss: 3.5%

SUNW traded today as low as 3.85 and now is back above my stop.  It's currently  BID 3.88...ASK 3.89.  I don't care. 

I didn't wait for the close because SUNW closed back above the top of the Ascending Triangle on Monday, and now has taken out last week's 3.88 low.  I don't like it.   

Sold.

[Amarens]

I'm still holding. $ 3,84 is my low. Do not have time to update the chart, will try tomorrow.

Amarens

[Melf Elf]

I'm still holding. $ 3,84 is my low. Do not have time to update the chart, will try tomorrow.
Amarens

SUNW ended up closing better than I thought it would, at 3.90, especially in yesterday's nasty market. Possible bullish hammer, and the 50/200 DMAs are close to making a bullish cross.  I probably would have been fine holding onto it with my original stop below 3.81.  I got impatient with the three down days after the close at 4.03 on Monday.

Good luck with this one!

[Amarens]

Horrible market, wasn't it. Everything is in the red (went down) 

Except for CNXT. I did not sell with David. I do have a little more patience and I set my low different and followed my plan. After hours up after great financial results. Will take a small profit today instead of a small loss  Have to look at the positive site! 

Sure hope for a better day today over all.

This is my chart (guess if I look more exact low is at $ 3.82)

Thanks for keeping me updated on your thoughts.

Amarens

[Melf Elf]

Horrible market, wasn't it. Everything is in the red (went down) 

Downright wicked, which influenced my decision to sell SUNW.   

Except for CNXT.  After hours up after great financial results. Will take a small profit today instead of a small loss  Have to look at the positive site! 

Great! It's up 8% in pre-market.  Hope you make some $$$ on CNXT.

This is my chart (guess if I look more exact low is at $ 3.82)

I show the low at 3.81 on September 28.

[setravis]

Changed Ticker Symbol

SUNW is no longer valid. It has changed to JAVA