AMGN was a news gap. The first bar was a bit weird but the following bars tested the pivot point and managed to stay above the 5EMA on closing basis. 9/5 was a very nice bullish bar and although it wasn’t a dummy entry, I was confident this would push the price higher. The next bar scared me since it tested the ORH and retraced back, but the following one (11/5) carry the price well above the ORH. AMGN continued slowly moving higher, and although this was not an orderly rally, it was clear to me that price could reach the intraday PP at $45.00. At took a partial at that point, and exited when price retraced back to the R1 PP.
I had two RIMM trades today. RIMM gapped up at the open and made a few attempts to rally during the first 45minutes of the session, but ended up moving towards the ORL. I waited for price to test that line (ORL) and once the bars were close enough to the EMA (pushing them down), I entered short. Price hit the S1 line within 15 minutes and I took a partial there. I was hoping for price to reach the swing low of the previous day. But I exited following a strong green bar that formed a bullish engulfing pattern very close to the swing low line.
RIMM rallied to the 20EMA, and then tested again the swing low of the previous day. I entered on the break of the 1:25pm bar. Price dropped to the $93.70 area, and at that point it was clear (looking at the 1min chart) that price would stall around that area. I placed my at $94 and was stopped out around 3:30pm.
6 comments:
Can you talk about why you didn't enter when RIMM broke the swing low the first time? Nice trades as you go out while the stock was going up and got back in when it was going back down so you didn't leave much profit on the table.
Thanks chartguy!
Why did I not enter on the first break of the swing low?:
1. I exited the trade at 11:45am because I felt that buyers were defending the swing low PP, so although the 12pm bar was a good entry bar on the low side, it was clear to me (particularly looking at the 1min chart) that there were a lot of buyers hiding at that price area. Also, in general, I try not to exit and enter right away.
2. The 11:55am was not a trigger bar, but the 12pm could have been a trigger bar. I usually enter on the break of given bar’s low, so even if I would had tried to enter, my trade would have not been executed.
3. The truth is that after I exited the first trade, I put the chart in the back burner so I did not see when the first break took place.
Busy day but the hard work was very profitable - Congrats!
Thanks Jamie!
I like very much your FSLR trade today.
Cheers,
Beautiful consolidation on AMGN there. That volume pattern was perfect. Nice trades!
Thanks Johathan!
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