Wednesday, June 3, 2009

Bookkeeping: Adding to Illumina (ILMN) on Breakout

I am going to make a purchase here in Illumina (ILMN) utilizing a style preferred for bull markets ... but I guess at this point we can call this a bull market since corrections are hours at most. Plus the fact I sold a lot of long exposure earlier today... I want to have some other names to make up for it.

Illumina is having a great day in a down tape... I don't see any news but it seems hot money has rotated into healthcare today after abandoning commodities. Maybe that changes in 2 days since hot money has no memory from day to day on what thesis it wants to buy.

Technically Illumina has a breakout over $39... For a momentum trader this is what they chase... and since momentum is what works nowadays I'll give it a spin and see if it works. I'd rather do this purchase at 3:55 PM to make sure the close is over $39 rather than intraday but being cautious has been for geezers for 3 months now. So I'll increase the position size from 1.2% to 2.0% here in the $39.30s and them monitor it from there. Buying breakouts has been a losers gambit for most of the past year, but the past 2 months its been the way to go... I've been slow to adjust back to the old ways of doing things.

I don't see any news to drive Illumina, but it's been strong the past 2 days and I said if it broke $39 I'd play.

Illumina is a leading developer, manufacturer, and marketer of next-generation life science tools and integrated systems for the large scale analysis of genetic variation and biological function. We provide a comprehensive line of proprietary products and services that currently serve the sequencing, genotyping, and gene expression markets, and we expect to enter the market for molecular diagnostics. Our customers include leading genomic research centers, academic institutions, agriculture and livestock companies, pharmaceutical companies, clinical research organizations and biotechnology companies

[Apr 21, 2009: Illumina - Solid Growth; as Always Difficult P&L]
[Feb 4, 2009: Illumina Continues to Execute]
[Oct 22, 2008: Restarting Illumina on Earnings Confusion]
[Jul 22, 2008: Healthcare Companies that Start with Letter "I" Outperform]
[Apr 23, 2008: Two Healthcare Stocks Report]
[Feb 4, 2008: Illumina Keeps Performing]
[Dec 20, 2007: Nice Writeup on Illumina]

Long Illumina in fund; no personal position

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