There were a lot of ugly charts out there today! Many charts had a remarkable number of candles with very long upper and lower wicks. And that is not a very encouraging or inspiring trading environment.
Anyway, there is always something to trade. NVDA is on my WL. I liked how in the early AM price rallied to the previous day high and R1. It consolidated around that area and formed a very nice base. At around 11:30am, NVDA broke the base and printed a nice hammer-like candle that was quite bullish, so I entered there. I took a partial as price approached R2, and my final target was $20. However, 15-20mins before 2pm, it felt like the market was going to turn, so I exited my position. Eventually, NVDA hit $20.
8 comments:
anarco,
Don't feed the trolls :) There will always be people who question your success in order to bring you down to their level. I wouldn't be surprised if the guy was caught short all of last week and still hasn't covered.
Dave
You are right Dave. I like your RIMM trade today.
Cheers,
listen to trader M.D.
itll just frustrate and burn you out.
Yupe MD is right.
Cheers QQQBall!
Hey Anarco,
I'm just curious, what is your general exit strategy? I see some places where you're trailing the previous bar but other times not. Please explain. Thanks.
Jonathan~
It really depends on several factors, but I would say there are two major scenarios:
1. A stock feels weak after a moderate or pronounced run up.
2. A stock becomes weak while basing.
In the first case, I mostly want to protect myself from sudden reversals, so I might use the low of the last strong bar (5min o 15min chart) as my stop loss point.
In the second case, I would most likely exit if the stock closes below the 5EMA in the 15min chart or below the 20EMA in the 5 min chart.
Today, I exited using the criteria on the first scenario, mostly because the stock has been moving up consistently throughout the day, and we were approaching 2pm which is a very unpredictable time of the day. Now that I can see the chart "after the fact" it is clear that I should have used the criteria of scenario number 2 because in fact NVDA never closed below the 20EMA today. But hey, we cannot win them all.
I want to also mention that although I am very disciplined while trading and I have set rules and guidelines, intuition plays a big part in entering and exiting the market.
you don't need to post shit... but it's nice that you did. I've often thought about doing that as well, but it's just another step and, frankly, if readers don't believe what I'm posting... they can go somewhere else.
However, I do believe in honest posting as, ultimately, that's what will make us better traders. Sometimes there are clues that I find that lead me to believe some bloggers are posting false trades but at the end of the day... if the information they are posting makes sense and can be extracted to help make good, solid trades then what's the fuss???
I don't get emails because I write about too many losers I take :)
Hey OONR7,
I totally agree with you.
Cheers,
Post a Comment