We hold 200 shares with a profit-adjusted cost basis of 26.46. For now, use a generous stop-loss at 26.44, which is where the hourly chart would turn nasty. At the same time, continue to offer 100 shares (or half the original position) to close at 30.17. _______ UPDATE (10:02 p.m. EDT): For now, raise the stop-loss to 27.12. Also, instead of closing out another piece of the position, let’s try to sell calls against the stock if and when SLW gets within 15 cents of a Hidden Pivot target at 29.90 (daily chart, A=25.12 on 5/30). For each round lot of stock still held, short one July 30 call. I estimate that they’ll be trading for around 1.25-1.30 with the underlying at 29.80. ______ UPDATE (June 20, 3:47 p.m. EDT): In the wake of yesterday’s gratuitous spasms, I’ll recommend raising the stop-loss on our position to 27.39 today. That’s where the hourly chart would turn impulsively bearish. _______ UPDATE (9:52 a.m. EDT): For the umpteenth time, we have made a timely and profitable exit from this dog when it disappointed us. The stock gapped down to 27.84 on the opening, trading as low thereafter as $27.28, presumably on its way to Hell. The fact that SLW has generated a bearish impulse leg on the hourly chart wthout having achieved its most recent rally target is telling me it’s time to give up on the stock and move on to other stocks that show more promise.
