As mentioned in yesterday's post I thought that ELD was poised to breakout. It broke through it's 50 DMA on 11 July so I decided on strong volume to buy some today. Even with gold trading lower ELD is moving up.
Now I have lost money with ELD before. I have bought it higher and even sold for a loss at $1.52 a few months ago. I'm hoping that this is not a case of getting whip sawed once again with this stock.
If I do then I can put this stock in the category of never working out for me. It can sit in the penalty box along with all the Canadian health care stocks that have cost me a small fortune.
I'm calling this post the one stock gamble because depending on the trading action for ELD, I plan on selling it on Friday. Yes, I'm timing the market. This is NOT investing. This is GAMBLING.
It is what I do to help generate some capital gains for my account. I'm not going to get rich quick doing this one stock at a time, I'm just looking for a few percentage points.
Bought 3000 ELD @ $1.43
Cost of the trade = $4,299.99
Cash in account = $710.00
I might play this like that guy from the little red paper clip. In other words just keep buying and selling with my $5K starter position and see where it ends up at the end of the year.
Using a one stock at a time, buy on Monday and sell on Friday strategy. This will allow me to plan out on the weekend for the trading week ahead.
Other Gold Stock Trades Worth a Punt
PVG, OSK, MUX, GSV, NVO and AKG
I will be closely watching and waiting to switch in and out of positions as market conditions and investor sentiment changes. Put simply just following the money. It's not more complicated than that.
If you have more capital to put to work I believe you could start building a gold stock portfolio with any of these names.
Other Stocks on the Watchlist
IVN, ALO, PONY and ACB
Related Post: Trades and Portfolio Updates
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