I had read about the quarterly financial report, as you can see at the bottom of the chart, a purple icon indicating the conference call and the report release. I was expecting the value of the stock to rise. I was so positive about it, that, as soon as the market was going down, I was increasing my positions.
In previous days, the stock was already preparing itself positively for good quarterly results and, the market going down was probably a prudential correction of the previous rise.
Indeed, the value went up during the following days, re-testing the same limit three times in the following 7 days, that was not enough signal for me to get out profitably of those positions. Because… I thought it could touch previous limits…
At some point in time, watching videos about trading or in some of the books I am reading, it was described this situation, when you get stuck in between the support and resistance area
The problem being there is that, since I did not start in a support area, I should not expect the profits of a long journey. Nevertheless, I did expect a bigger rise and I did not get those re-test signals right
Now, those positions, profitable at some point, are now a source of risk, on the derive, consuming interest per night.
I have extended stops and with that my potential risk. The stock is being repurchased and the quarter was good, that is why I am tolerating it.
I expect the stock to rise enough as for paying the commissions and interest. I will be happy if I can eliminate the risk.
Note: That is an ADR stock, that is why there are so many gaps.