4/20/20 CODX Breakout

CODX was a stock in play gapping up on high volume. It had a strong opening drive and tested the whole number $15.00, rejected, and fell back to vwap.

As you can see, after the stock fell below vwap, it got bid back up near the high of the day on decent volume. After this price held, I entered my initial position with a stop loss below the previous 1-minute low. After volume rushed in and I saw the large offers on $15.00 start to deteriorate, I doubled my position. The risk/reward on this addition was very poor but the probability of profit was very high.

Once high of day at $15.00 broke, the stock jumped all the way to 15.20 and I took off 1/2 of my position. After the stock approached my next profit target of $15.50, the stock fell hard and formed a bearish engulfing candlestick. I thought the stock may have found a top so I took the rest off.