I have been having good trades lately because I am playing large morning spikes, or supernovas, on the second day as long as it hold strength in the afternoon on the first day.

I have been really losing when I try to chase the initial spike, so I have to resist doing that anymore.

So what I look for:

1. First day 50%+ spike in the morning
2. Past spikes on 100 day or 1 & 5 year charts that last more than 1 day
3. Find out why it's spiking, earnings and contracts are gold
4. The price holds above 50% of the spike most of the day, and at the EOD especially

These type of stocks show a lot of volatility in the morning, so it should the next morning. Holding at least 1/2 the spike, tells me there is still interest in it and should still tomorrow.

So I start my analysis to define my risk and reward. My risk, I normally set it for a 5% loss. My reward I set for 80% of the initial spike. If there is at least 20% per share of reward I keep going and buy in the afternoon to hold overnight.

Keeping an eye on after hours and premarket help to tell me what might happen at open. At 9:20am I am looking at level II and getting my sell order ready at my 5% loss, just in case it drops at open. I make sure I can pull the trigger quick if I need to, seconds matter sometimes. Most of the time however, if I have done my homework right, it starts to spike. The second day spike usually doesn't last long, so I have the sell order ready and just keep adjusting the price figure as it spikes. If I reach my reward figure, I sell it and play it safe. If it starts showing weakness, I dump it for what I can get.

If you look at a 3 day chart on BGI (6/5/16 to 6/6/16) you can see this very clearly.

Hope this help some of you!!