The Bioventus, Inc. (BVS) trade produced a bit of drama in yesterday’s session, let’s take a closer look, writes Ian Murphy of

Working with a $20k account, and risking the maximum of 2%, let’s say the entry on July fifth was at the closing price of $7.45.

I know some of you entered at a lower price, but let’s work with the worst-case scenario.


Click the chart to enlarge

The initial protective stop was at $6.56, meaning the trade size would have been 450 shares. Half the position was sold at T1 ($7.92), and the lowest price yesterday was exactly where the trailing stop was at $6.80.

If you were filled in full, (some were, some were not) this gives a loss of $40 or 1.2% on the position and 0.2% on the $20k account. If you are still in, the stop has flatlined at $6.80.

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