Please post good technical setups here
- Thread starter retaildaytrader
- Start date
I like Sprint, just waiting for breakout. It made a double bottom with less volume on first test, then had gap up which was filled, so now just waiting patiently for breakout. Would use the gap as my Protective stop.
And if you all don't like my chart, please attack me in a vicious way
as I find it joy in my heart. I have always found that when people takes the time to view and form an honest opinion, my trading gets better. It is amazing how many believe ET is a waste, but I have met some really good traders here and when you can find them out, many offer nuances to add to ones education.
Handle
And if you all don't like my chart, please attack me in a vicious way
as I find it joy in my heart. I have always found that when people takes the time to view and form an honest opinion, my trading gets better. It is amazing how many believe ET is a waste, but I have met some really good traders here and when you can find them out, many offer nuances to add to ones education.
Handle
Hi lindq,
Even though I don't trade capitulations, I am curious. If you can, could you please give us an overview of how this pattern is traded or how you trade it?
Thanks!
Capitulation indicates sellers in large numbers throwing in the towel.
The chart shows a sharp and rapid selloff on high volume.
The keys to that sentence are 'sharp' and 'rapid'. (High volume isn't always a key on intraday timeframes, although it can help on daily bars.)
Note that capitulation is not simply a pullback, which can be more gradual and not often tradeable. But when you look at a chart and imagine that if you owned the stock you would be in a serious panic, then you are getting in the ballpark.
When you see such a pattern, consider it a setup, not an entry. Set a buy stop slighly above price so it will fill if price recovers. If it continues falling, lower your buy stop. Rinse and repeat.
If and when you are filled, set a stop loss at whatever level is comfortable for you considering timeframe. Raise the stop to even once you can do so comfortably, and the rest of the ride is free money. Just remember that pigs get fed but hogs get slaughtered, because profits on this type of trade can vanish quickly if you stay at the feeding bucket too long.
If you can find this chart pattern on a couple timeframes, daily and intraday, then you'll have a good probability setup.
http://finance.yahoo.com/q/ta?t=3m&s=BBEP&l=on&z=m&q=l&c=&c=^GSPC
Got in this early. TA looks good but got in mostly on FA. Plan to be here awhile.
Pattern is nice slowly rising trend, get in and set a comfortable stop and target since I don't expect it to pullback.
I usually look at FA for stocks, then once I find something I like, I will use TA to see if I missed the boat.
Got in this early. TA looks good but got in mostly on FA. Plan to be here awhile.
Pattern is nice slowly rising trend, get in and set a comfortable stop and target since I don't expect it to pullback.
I usually look at FA for stocks, then once I find something I like, I will use TA to see if I missed the boat.
Thank you lindq. Sorry for my late reply.
I couldn't trade them with such parameters, but if it works for you and others, great.
