Trading update for Sunday 31st May 2009.Lonmin (LMI.L) is up nearly 9% since I was filled on 27th May. (See AtticFund details here) Technically it still looks very strong. I've tightened my stop but will continue to give the trade some room.
I'm still waiting to get filled on my buy order for Spice Holdings (SPI.L). The stock continues to edge up, but I need a small drop to value for my Buy Limit to get filled.
My scan revealed a couple of potential shorting opportunities. The one that caught the eye is Talvivaar Mining Co (TALV.L). The RSI indicates that the stock is overbought and when coupled with reducing momentum and the last daily candle with a long wick, I'm expecting to see this stock retrace on Monday's trading. Given the overall market conditions are bullish, this is a small experimental short position.
My order details;
Sell Stop @ 332p (Below current close price)
Stop - 342p (If it's not going down, I'll know pretty quickly - hence a tight stop)
Target - 328p (Expect a small retracement to around this level in early trading)
Position size - £7/point. (£7 * 10pts = £70)
Max risk - £70 (0.06% of The AtticFund)
