Yesterday we mentioned Wyndham Worldwide (WYN) had broken out of a range, but I had reservations because this was not an organic breakout, but due to an analyst upgrade.
As with almost any sale or reluctance to add to a position nowadays, that was the wrong idea. Rather than thinking like a pragmatic human, I must remember to do what led to success in 2009; think like a technical robot who mimics HAL9000. If I did, I would of loaded up on Wyndham on the breakout yesterday, perhaps doubling or tripling our position size, and today would of enjoyed the fruits of said machinations (I mean machinations, literally).
Who knew hotels were such a sexy investing theme... but I suppose to machines the underlying business is irrelevant, as long as the chart formation is pure.
If this move continues, I'll be looking to take profits very soon as the stock is now nowhere near the 20 day moving average... as for that gap fill? Only after the melt up in the market ends.
Long Wyndham Worldwide in fund; no personal position