Quote from Laissez Faire:
Nice finish by the T-Day boyz
Why did they not enter earlier?
I entered long @ 1291,50, 2:39 PM with a stop @ 1289,50. I first placed a limit order @ 1291, but when I did not get filled, I chased.
Stopped out on the exact tick on this trade. If I had been patient for my 1291 fill, I would probably have stayed in the trade.
What`s worse is that I reversed and shorted @ 1289,50, the exact bottom of the swing low.
This would NOT have been a bad trade if the market immediately continued in my direction. What happened here is that after considerable down momentum and repeatedly significant negative TICK readings, price slowed down and stalled.
This was my perfect, "Get the hell out at B/E or with a 1-2 tick loss, instead of waiting for your 1,5 point stop to get hit"
This was my main lesson for the day. Monitor price in real time and if momentum was expected for my trade idea, but did not come, get the hell out (unless I have a stop above a swing high or such). This was not the case here either way.
-3,5 points for the day (did not finish my trading plan and preparations, so I`m on SIM this week as well).
There was an IHS I posted about earlier with shoulders right under 88 and neck around 90.5 that projected to 95.5.
fwiw 88 was also the 50% level from the last r10 83 - 93 move.
It turned into an ascending triangle with higher lows and the same highs which is bullish as well.
The afternoon was hard to trade with the chop but the higher lows gave it away.
Just curious why you chased on both trades instead of being patient ?
Often it is best to avoid chop because it leads to boredom and forcing trades that are not high probability.
