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Message: spikes up

Scone, you are most welcome. I believe that several minds are better than one, and even though I've been trading a long time, I'm always learning new things - often from this hub.

Spiking stocks are a major challenge. There's no way to tell how high they will go before they fall. It's easier to sell into strength, so I usually sell them off in bits on the way up. I sold 20% of my PZG yesterday. I also expect it to go a lot higher, but I like to take a little off the table in case I'm wrong. My basic rule for exiting completely is a break of the accelerated trend line (daily or hourly depending on the pace of the spike).

I have one more rule for selling spiking stocks, but it doesn't apply to all of them. If a stock has 2 consecutive big up days, and gaps up the next morning, I sell at the open. An example is ABR.v. I sold bits of it on the way up on Thursday, and the remainder yesterday morning. My system isn't foolproof, but I'm comfortable with it, and it generally works for me.

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