Hey everyone! Another poweful day in the market with some massive movers. We had a 50% drop on $MGT, dropping from a high of 5.60 to a low of 2.65. Just an incredible range! I said early on this morning that I wouldn’t be trading $MGT because it was simply too risky.
Instead I went for the fresh gapper. $APPY was gapping up this morning on news that $MGT took a 5% stake. This was a big of an unusual news piece! I haven’t seen a massive runner like $MGT (see DGLY AQXP KBIO, etc), take a stake in another company during the run. Unfortunately for $APPY, the headline came out on the same day that $MGT took a nose dive.
This morning I took a Gap and Go trade on $APPY with a long at 6.00 and exit through the spike to 6.60s. I then took a second entry at 5.34 on the pullback and curl, and rode that on the move back to 5.50. Overall I net +$1766 on 2 trades. Not bad for a trade straight off the watch list and Gap Scanners!