I love my clever title for this post. Today, we are going back into the retail sector again to look to make some money. Yesterday, retail was good to us with a pick up of Rue21 Inc. (RUE). Our Buy Pick of the Day was good for 3% as we got in at the beginning of the day at 33.30. The stock quickly picked up momentum as investors got into RUE, hoping that the company would repeat performance like competitors Aeropostale (ARO) and Forever 21 (privately held) were able to turn out this past quarter. Today, the company reported a 68% increase in profit and beat EPS estimates by 20%. We got out at 34.57. Our Short Sale of the Day was in Hovnanian Enterprises Inc. (HOV). We set a short sale range of 4.55 – 4.65. The stock didn’t hit our range until right at the end of the day, and we did not play it. It was unfortunate because it hit a high prior to that around lunchtime at 4.53 and came all the way back to 4.41, which was close to 3% movement. Hopefully some of you were able to get in at the lower entry and make some money.
Overnight Trade of the Day: New York & Co. Inc. (NWY)
Analysis: In Progress
Entry: We are looking to get involved with NWY by 2:00 PM today. The ideal entry range is 4.30 – 4.35.
Exit: We will be selling NWY at the open tomorrow, within first two minutes of open. You can set a market sell overnight to sell right at the open or be ready to sell within minutes of market open. This is subject to change, though, and I will give an update if I want to change our exit.
Read more on Rue21, inc., HOVNANIAN ENTERPRISES at Wikinvest