New Position, futher understanding the opening range

Key rule that I live by in trading is the idea of accumulation of a stock.  Your entire position should not be bought at one price.  If your looking to speculate and create a position you first place a portion of what you will be considering an entire position on the particular security.

I have no idea why housing stocks particularly Len moved today but they did and they did in a way that had to be institutional buying.  Not only was it a strong move but it sliced through last months defined resistance zone (blue band calculated from prior months price action).

I also picked up some of this stock being that I feel it is a good risk reward and I know where I will be getting out if it does not go my way.

  

"People don't seem to grasp easily the fundamentals of stock

trading. I have often said that to buy on a rising market is the

most comfortable way of buying stocks. Now, the point is not so

much to buy as cheap as possible or go short at top prices, but

to buy or sell at the right time. When I am bearish and I sell a

stock, each sale must be at a lower level than the previous

sale. When I am buying, the reverse is true. I must buy on a

rising scale. I don't buy long stock on a scale down, I buy on a

scale up."

-Reminiscences

I don't have a lot of risk on either of these trades, but I will be willing to add to them if they move in my direction.  This way you never really get hurt.