AAUK,ACH,AMAG,BA,BBBY,CNQ,CRM,EL,FORM,GTI,IBN,IVZ,LFC, NHP,RDC,SPR,TIE,TRA,TX,UPS,URBN,WBSN
Not sure if posting my watchlist during early market hours helped anyone, because it was tough to find anything to trade today. Managed just one as below.
BBBY (gap down)
The gap down was followed by an attempt to get back above previous day's low, but this was rejected decisively (as shown by long wick on the first candle). The 2nd candle also tests the previous day's low but fails to close above it. The 3rd is bearish red and breaks out of the OR as well as closing weak. This is our trigger candle.
Entry: 29.96 Stop:30.40
Fib Ext: 29.37
1R=29.52 2R=29.08 3R=28.64
The price falls nicely after entry and we take partial profits at the Fib Ext (about 1.5R). After that it just chops around sideways for the rest of the day. We close the remainder of our position at the end of day . So overall a small profitable trade.
AMAG (gap down)
This chart is just for illustration as I did not trade AMAG. I was watching it, but just couldn't get an entry that I liked. We could point to 5th red candle which is a hanging man after sideways consolidation. But it was further away from ema than I prefer, so I talked myself out of it. You could make a case for this candle being a trigger however, if we take into account that the previous two candles were bearish with long wicks which rejected the OR.
9 comments:
I found BA, but the candle was too wide for me. Perhaps I should buy less shares.
If you don't mind, what type of job allow trading at work? I wish I have the same job.
I didn't see it today, but I would appreciate it if you kept posting your watchlist. You seem to come up with some candidates that I wasn't looking at.
Have you ever tried to trade futures (ES, YM, NQ or ER2) using your method? Based on my experience you can't breakout trade the ES because it's to whippy.
If the trigger candle is wide, then yes buy less shares so that your risk is the same.
Job is in the computer industry.
scott
I have never tried trading futures using this method.
I don't want to sound like a hard ass but asking for the the watch list is just another form of chasing success. There is enough information on this blog and others about creating a watch list to be able to develop one on your own. Take what you learn and make it your own you will be thankful in the end.
Jason
TraderAm posted- "Not sure if posting my watchlist during early market hours helped anyone"
I'm letting him know that I appreciate him posting it. The more eyes searching for candidates the better. He brought it up and I was letting him know it was useful. So yes you are an ass, now go make your millions.
Jason, most of the time work constraints can prevent you from initiating a watch list and leave you enough time to concentrate on chart patterns.
It is nice to know that there is a reliable, proven, and independent source you can turn to in times of a crunch or a quagmire.
TR, thanks for posting. Your watch list is just another tool in the arsenal of weapons that can help a trader in times of a pinch. And also, help you build and maintain consistent readership and visitors to your blog. Ralph
I think it is great if traderam wants to post his watch list. But I believe more confidence will come from creating your own and figuring out what works for you. Which in return will lead to better trading.
Ok Guys :-)
As I have said before : if time permits I will post my watchlist. But only if I have the time and it doesn't impact my trading.
Also I agree with Jason (as I have commented before), that the more you get your own complete trading plan working for you then the more comfortable you will be with it. And that includes setting up a watchlist.
I will say now, that there will be days when I post my watchlist and later in that day, you will read other blogs, check your own plan etc and see some great trades that you have missed.
Anyway, we'll see how it goes.
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