Journal 001: My first trade -- JFC

Position trading: EOD
Stock: JFC
Entry: 250
Exit: 322.6
Holding Period: 8 Months
Result: Win

As part of my shift to become a stock market trader from being an investor, I started looking at my current stock positions. The first I look into consideration was JFC (Jollibee). I bought the stock in July 2018 with the mindset of an investor. I decided to invest my hard earn money at JFC considering the criteria that it is a blue chip stock and that's it. I'm optimistic that it will grow over time.

Well, it just happened that I bought JFC at the time that it was near its bottom price. Honestly, that was pure luck because, at that time, I really don't have any idea about any indicators of a reversal. Reversal is the shift from one trend to the other. I didn't study anything yet about technical analysis let alone how to read a chart.

So, my entry at JFC was really pure luck and based on one criterion that the stock is a blue chip.

I bought JFC and forget about it.

Luckily, JFC was on the brink of reversal and the price started to go up the following day I bought it and skyrocketed from 250 to as high as 292 on 3 August 2018.

Pure luck. I just got lucky.

However, on 8 October 2018, the price plummeted to as low as 242.89. But I don't care. Naaaaa! I'm an investor yah! It was 4% down from the price I purchased it at 250 per share. Well, it really bounced back and went up to 324 on 4 January 2019. I'm a very happy investor.

All percentages I mentioned are the net percentage as I used a COL Financial buy and sell Android application that includes the brokerage commission on buy and sell.

In February 2019, I started my focus on learning about chart reading. At that time, I am not decided yet to become a stock trader. I'm curious about chart patterns and then, later on, learned that there are certain chart patterns that could signal a shift in trend. Eventually, on 1 March 2019 I decided that I will try stock trading.

So I tried to examine JFC price action using what I learned from my reading. Jan and Feb JFC price went sideways. It is consolidating and I'm observing the chart pattern taking into consideration what I just learned. I'm looking for a pattern that will tell me that the stock will breakdown or breakout.

Well, as far as my learning is concern, a chart pattern showed that the price will possibly go down trending. So I sold it at 322.6 on 11 April 2019. A 22% upside.

But by reading further, told me that I should wait for confirmation at least one more trading day if indeed the price will go down. I told to myself what if the price will go up even higher tomorrow?

However, the price indeed went down the following day. Till this writing, the price was going down and the price closed today at 302.20.

My takeaways in this trade:

• I know, I was lucky at the entry. I should read more about the correct entry.
• My strategy is not yet developed. 
• The exit was not correct also. I need to have confirmation if indeed it is a sell signal or not. 
• Need to check my time frame as a trader. 22% percent upside in 8 months? Is it okay?

Madami pang kakaining bigas.
I purchased my first book related to stocks trading titled -- "Think & Trade Like a Champion" by Mark Minervini. You will learn a lot and will change your perception about the dangers of stock trading.