The One That Got Away

$CRCT

A confession..

CRCT 0.00%↑ is a name I stumbled upon from a momentum screen I ran in early April. It was a small position that steadily crept up in value over the past few weeks. Not knowing enough about the company, I decided to close out the position in front of earnings. Big mistake I guess..

But the lesson here is related to position sizing. This was a small position, and in reality, a disastrous result wouldn’t have impacted my portfolio. Still, I booked the gain and moved on. Nothing wrong with that. But when position sizing is done correctly, we should be more apt to “let it ride”. That’s something I need to continue to be more mindful of.

But you’re not here for that. What to do with CRCT 0.00%↑ now? I’m watching to see what it does near this 200 day moving average. If it acts well here and is continuing what appears to be a nice basing formation, the upside potential is sizable.