November 10, 2020
4 winners, 2 losers
I've realized there are two scenarios that would benefit me if I were to use a scale-in approach rather than entering with a full position:
1. Breakout pullbacks - I don't know how far the pullback will go. Sometimes it makes it to the 9 EMA and bounces, but sometimes it just pulls back slightly and continues to rip without coming close to the EMA. The idea is to buy in partially on an initial pullback and then add to full position with confirmation- either it doesn't pullback much further and I add on the fast second breakout, or it continues to pull back to an EMA and I add on the bounce.
2. When price action shows a tendency to break slighly below the EMAs but come back to continue the trend. In this case I'll buy in partially with a bigger stop loss and add in for a pull position with confirmation.
Feedback on these two ideas would be appreciated!
Today's notes:
With pullback entries, enter partial position, increase position with confirmation
Don't ORB on daily gap down
Be careful with chop.
If tendency to dip below EMAs, enter w/small position, give more wiggle room, add to position with confirmation.
Take profit
