"Biotech Bounce anyone? Don't mind if I do. . .thank you very much"
Intraday Investments Trading Summary for Tuesday, June 12, 2001
When we were doing our research last night for today's stalk list, we identified the likelyhood that the Biotechs would rally today, or at least attempt to put in a reversal bar on the daily. This is due to the fact that the (BTK/BBH) sector had sold off down to the lower channel of the uptrend line that started in April, as well as coming into support of all its major moving averages on the daily. So, when the Biotechs gapped down this morning, we were well prepared to fade that sector on the long side, per yesterday's Stalk Sheet. By being able to step in and buy the dip in the Biotechs, we profited nicely today.
Our most profitable and downright exciting trade was the long entry of some BTK calls early in the morning, in anticipation of the reversal. We bought the June 600 call at $3 and sold it a few hours later for $6, handsomely doubling our money with a 3 point profit in a few short hours. Several of our clients stayed in the trade even longer and netted over 6 points, which equates to a 200% gain!
Other long intraday trades in the Biotech sector consisted of: CELG + 1.60, PDLI + 1.22, GENZ + 0.52, SEPR + 0.96, MEDI + 0.90 (sum of two entries), CRA + 0.52 on half position (other half stopped out breakeven), AMGN (two attempts, which netted a scratch), MLNM - 0.38 (net result of two entries), and GILD - 0.34. We also traded the following tech stocks in the morning session and kept each of the losses tight: INTC long - 0.20, JNPR long - 0.40, NVDA short - 0.14. The sum of the profits from our intraday trading today (including the BTK call daytrade) was just over 7 points.
We closed the following overnight positions: covered remaining KKD (donut) calls at $1.20, yielding a gain of + 3.9, covered rest of CAT short + 1.55, covered BKS + 0.83. The sum of the profits from all overnight plays closed today was 6.25 points. We took the following new positions overnight: CRUS and INTU long. Also still holding THQI short and ATVI short (from June 8), and June 920 BKX call short (from May 30 and are now almost worthless).
We had another bang-up profitable day today, netting over 13 points total from our intraday and overnight trades. In addition, the mini-seminar conducted after the close went really well and we received a lot of positive feedback from our clients.
More fun tomorrow. . .and a hearty welcome to our four new monthly members from today.
Deron, Steve, and Ed
General Partners
intradayinvestments.com |
