A few scenarios get me SUPER excited about the trading day…
One of them is a large, juicy biotech gapper.
Specifically, a biotech stock trading higher on a fresh catalyst.
By now, many of you probably know that I love to trade penny stocks.
However, as my Biotech Breakouts members know very well, I hold a special place in my heart for small-cap biotech stocks.
Unlike other stocks, I view biotech stocks as having an element of predictability to them.
That’s because biotech stocks often have upcoming catalysts.
These upcoming catalysts allow me to prepare for various outcomes and scenarios ahead of time and pull the trigger if one plays out.
That’s precisely what happened last week, and my members were informed of my thoughts and game plan each step of the way!
Let me explain:
In the beginning, I mentioned there are a few things that get me excited about the trading day.
Want to know another?
I love sharing my thoughts and game plans with my members.
As I do daily, I shared my watchlist with my members and let them know that LGVN would be on my radar for a potential entry after they reported strong data.
I shared my trade plan and shortly after acted on that plan and made a successful trade in the stock.
My average entry price was $13.75, and my average exit price so far has been $15.70.
I continue to hold a small position long for a $17 target, from $13.75.
I also pointed out that the key here is what the data is for (Alzheimer’s and Dementia) and that it might be significant, and the market could react accordingly.
By putting the bigger picture together, by understanding the significance of the news and the history of LGVN’s performance (looking back in time on the daily chart), I was able to trade this stock successfully and share my thoughts and game plan along with the way with my members.