Wednesday, 27 February 2008

Trades 27/Feb/2008


CAL (gap down)

CAL gapped down and crossed below the previous day's low. The next two candles were indecisive. The 4th crossed below the OR and the 5th came back into OR. The 6th candle although green had a longish wick which tried to get back to previous day's low but failed. The 8th candle is a NR7 which closes below the OR and also closes weak at its low. This is trigger.
See how the next candle was very weak, adding to our confidence in this trade.

Entry: 27.85 Stop: 28.10
Fib Ext: 27.28
1R=27.60 2R=27.35 3R=27.10

Closed half at the Fib Ext. Left rest to run which I then closed later on 21st candle as it closed above the ema. A nice gain of 2R on first half and 3R on 2nd half.

CRI (gap down)

First three candles were weak taking us below the OR. The price then retraced back to the OR. Then we have sideways movement for the next few candles. The 8th is a red NR7 which closes below the OR with the EMA above as cover. This is our trigger.

Entry: 17.15 Stop: 17.38
Fib Ext: 15.34
1R=16.92 2R=16.69 3R=16.46

The next candle was red and showed some promise with regards to our position. However the price didn't follow thru and then the following candles reversed back up to stop us out for a loss.

AUY (gap up)

A strong green first bar. We then move sideways along the OR high, before the 6th candle eventually closes up above the OR. The 7th candle is NR7 which stays above the OR with the EMA below as cover. This is our trigger candle.

Entry: 18.34 Stop: 18.20
Fib Ext: 18.75
1R=18.48 2R=18.62 3R=18.76

After entry, the price action showed some promise as it headed up. We move stop to breakeven once we got to 1R (18.48). However the stock didn't have the momentum to break thru the 18.50 barrier with any conviction. So we ended up stopped out at breakeven.

ADSK (gap down)

The first candle is green. We then slip below the OR before the strong 3rd brings us back. the 4th is weak again and closes below the OR. Could make an argument for this being a trigger. But due to 3rd bar and also the distance from the ema, I decided to wait for the next candle. The 5th is bearish candle with longish wick which bounces down from the OR low. This is trigger. See how the next candle closes below to add confidence in our trade.

Entry: 33.36 Stop: 33.80
Fib Ext: 31.51
1R=32.92 2R=32.48 3R=32.04

The price moved down nicely for us. I took partial profits at 2R and left rest to run. I closed the rest after the 11th bar which closed above the EMA, which was about 33.10.

No comments: