Hi Cae,
I could not have said it better myself. Perfectly reflects my thoughts. I could have just copied and pasted your post for my last post and saved myself a lot of time : o )
Thanks
Robert
Weinstein Trading and Fading
- Thread starter Robert Weinstein
- Start date
Hi Cae,
I could not have said it better myself. Perfectly reflects my thoughts. I could have just copied and pasted your post for my last post and saved myself a lot of time : o )
Thanks
Robert
I need to get a flute.
Bob, let's think safe trading for a minute. Disregard the fundamentals and the market hints about short interest etc. and let's see if we have a safe trade and a good technical set up for a discretionary trade on FSYS.
The Weekly is weak and there is no prior support so there is nothing there to support a Buy. This is a supply area, not a demand area.
The Daily is consolidating - but for what? Up or Down? Look at the volume on the 3 green days. It's always lower than the prior days selling volume. The hint is that the buyers are losing. Again more supply than demand.
Where is the safe trade if it does break up, or where is the danger? A trend line from the last two daily big tails says we need to get a touch over 32, but with the negative interest in the volume it is more likely to reverse there. Buying the break of the trend line will require tight stops.
Now in that context let's look at the intraday picture. Gap Up open, but it's too near the daily trend line to buy. Anyway, what happens in the 1st 2 & 5 minutes? Do we have a Gap Fill Play on the cards or a breakout up?
Both the 2 & 5 min are falling hard on big volume. The market sentiment has not changed.
You are trying to scalp long in a market with weekly, daily and intraday weakness and got caught in a bull trap. If you want to take a Gap Up trade, the safe ones have some signs of prior strength. The next best don't have a very close ceiling to overcome.
The most dangerous ones are like this. Weekly & Daily weakness, lack of interest, open close to resistance and reversing on big volume. Even salt over the shoulder won't help this one.
The Weekly is weak and there is no prior support so there is nothing there to support a Buy. This is a supply area, not a demand area.
The Daily is consolidating - but for what? Up or Down? Look at the volume on the 3 green days. It's always lower than the prior days selling volume. The hint is that the buyers are losing. Again more supply than demand.
Where is the safe trade if it does break up, or where is the danger? A trend line from the last two daily big tails says we need to get a touch over 32, but with the negative interest in the volume it is more likely to reverse there. Buying the break of the trend line will require tight stops.
Now in that context let's look at the intraday picture. Gap Up open, but it's too near the daily trend line to buy. Anyway, what happens in the 1st 2 & 5 minutes? Do we have a Gap Fill Play on the cards or a breakout up?
Both the 2 & 5 min are falling hard on big volume. The market sentiment has not changed.
You are trying to scalp long in a market with weekly, daily and intraday weakness and got caught in a bull trap. If you want to take a Gap Up trade, the safe ones have some signs of prior strength. The next best don't have a very close ceiling to overcome.
The most dangerous ones are like this. Weekly & Daily weakness, lack of interest, open close to resistance and reversing on big volume. Even salt over the shoulder won't help this one.
no trades today
I was out of the office for much of the day.
As it turns out there would have been one trade that probably would have been made with PLL that would have been a winner but not large as the entry scale in would have started 2 cents off the high of that move.
The other trade that I would have most likely traded was MIL. I donââ¬â¢t know how this would have turned out though as it would have depended on the timing of the entry. It did show up on my secondary scanner and may have been called out in chat as well. The move higher lasted all of about five minutes so depending on the time of entry would make the difference of doing well or getting stopped out. One flag that does show up is the volume. I have not completed it yet but I have been working on a volume check adjustment intraday that would have adjusted my entry and would have moved the entry higher. How much and what the final result would be I can not say yet but this stock moved a lot of money from some hands into others today that is for sure.
I was out of the office for much of the day.
As it turns out there would have been one trade that probably would have been made with PLL that would have been a winner but not large as the entry scale in would have started 2 cents off the high of that move.
The other trade that I would have most likely traded was MIL. I donââ¬â¢t know how this would have turned out though as it would have depended on the timing of the entry. It did show up on my secondary scanner and may have been called out in chat as well. The move higher lasted all of about five minutes so depending on the time of entry would make the difference of doing well or getting stopped out. One flag that does show up is the volume. I have not completed it yet but I have been working on a volume check adjustment intraday that would have adjusted my entry and would have moved the entry higher. How much and what the final result would be I can not say yet but this stock moved a lot of money from some hands into others today that is for sure.
Hi Robert
Was wondering do you have predefined exit points for profit on every trade ?
I like reading your journal mate...keep up the good work
All the Best
John
Was wondering do you have predefined exit points for profit on every trade ?
I like reading your journal mate...keep up the good work
All the Best
John
Yes, all my trades for better or worse have exits amounts that are based on a fix amount per share gain or a break in a 10min trendline.
I have been trying to find an improvement to the fixed amount and try to let the winners run but for a while I will just stick to my trading plan as that is where my focus is now.
Thanks and good trading to you
Robert
Very interesting Robert
Thanks for your reply. Good trading to you too mate.
Best
John
Thanks for your reply. Good trading to you too mate.
Best
John