Is this approach valid?

R

Risepoint1879

I am noticing something today on SQ, which I would like to cross examine with you gentlemen. SQ today ran up, and then reversed back down to low of day at $73. It has since gone all the way back up to high of day, instead of continuing downward past the opening low.

I checked the daily charts for SQ and other stocks, and I can find almost no instances where a stock would run strongly in a certain direction, and then reverse PAST the original opening price. At most it will reverse to the original low or high of day, and stop.

What this means for me is that when SQ hit $73 at 11:30am, I don't want to take the pullback for the next downward move, but rather expect a reversal.

There might be an official term that am not aware of.

This seems to be a reliable rule for intraday. What are your thoughts?
 

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Risepoint1879 said:
I am noticing something today on SQ, which I would like to cross examine with you gentlemen. SQ today ran up, and then reversed back down to low of day at $73. It has since gone all the way back up to high of day, instead of continuing downward past the opening low.

I checked the daily charts for SQ and other stocks, and I can find almost no instances where a stock would run strongly in a certain direction, and then reverse PAST the original opening price. At most it will reverse to the original low or high of day, and stop.

What this means for me is that when SQ hit $73 at 11:30am, I don't want to take the pullback for the next downward move, but rather expect a reversal.

There might be an official term that am not aware of.

This seems to be a reliable rule for intraday. What are your thoughts?
More...
Range trading...sideways movement...go long in lower third ..exit in upper third...short in upper third cover in lower third until range ends with a BO. I’m going long right around green square. Bull reversal bar followed by another bull follow thru bar and in the bottom third of range.

BE7471F3-BE9F-45EE-8417-D607BFDFD30F.jpeg
 
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:cool::cool:
Risepoint1879 said:
I am noticing something today on SQ, which I would like to cross examine with you gentlemen. SQ today ran up, and then reversed back down to low of day at $73. It has since gone all the way back up to high of day, instead of continuing downward past the opening low.

I checked the daily charts for SQ and other stocks, and I can find almost no instances where a stock would run strongly in a certain direction, and then reverse PAST the original opening price. At most it will reverse to the original low or high of day, and stop.

What this means for me is that when SQ hit $73 at 11:30am, I don't want to take the pullback for the next downward move, but rather expect a reversal.

There might be an official term that am not aware of.

This seems to be a reliable rule for intraday. What are your thoughts?
More...
%%
Well Risepoint18777, its called a ''key reversal day'' if[ + only if ] that turns out to be a major top/ month/multi month top .Frankly SQ trended much better when it was more above 50 dma+ 200 day moving average; 2018

SO does 2 months, like NOV, DEC 2018 below 200dma, ruin or prove weakness an uptrend; it can........................................................................................?? I traded that one[SQ] last year.:cool::cool:
 
volpri said:
Range trading...sideways movement...go long in lower third ..exit in upper third...short in upper third cover in lower third until range ends with a BO. I’m going long right around green square. Bull reversal bar followed by another bull follow thru bar and in the bottom third of range.

View attachment 199765
More...
What is your opinion on pre-market price action? Does it mean less than the opening candles?
 
dozu888 said:
.... during the day session just a bunch of crazy people trying to screw each other.
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dozu888,

.....you forgot AND Making Money. Whatever you choose to call the day session, don't forget the making money part.
 
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Risepoint1879 said:
What is your opinion on pre-market price action? Does it mean less than the opening candles?
More...
Risepoint1879,

No it does not mean less. A candle pre market has no different then a candle after market. I trade the pre market if an oppurtunity presents its self, only. But I do not over do it beacuse I know more volumne comes once the market opens. If I have a loss in the pre market, I like to wait to after bell to take another trade.

For example, here is a trade I took Friday pre market at 7:03 am central. When an opputunity comes, just have to take it and manage the results.

upload_2019-3-31_13-41-55.png
 
Risepoint1879 said:
What this means for me is that when SQ hit $73 at 11:30am, I don't want to take the pullback for the next downward move, but rather expect a reversal.
More...

The blue arrows on the chart below is my long entry and pink is my stop loss

The green arrow is my short and purple is my stop loss. Notice when price going down and hit those emas lines (support), buyers made no attempt to step in here on the next 5 min bar. So take the risk price will continue to fall and I am right for taking this trade because I am selling with the trend. I can't be wrong if I am taking this trade downward if price is currently moving downward as well. If your manager ask you "why you took this trade for" , just say "boss, price was moving down , i thought it would move down some more". lol, not much he can't be mad at you for that, right?

In both cases, I do whatever the market is doing at the time the market is doing it.

If it wants to go down, I go down with it. If it wants to go up, I go up with it.

Yes, my stop loss is bigger, but that is because i like to wait for more price movement to confirm my thinking.

Volpri entry is fine as well.


upload_2019-3-31_13-49-7.png




upload_2019-3-31_13-53-32.png
 
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