Today’s example of yet another OR high == yesterday’s HOD setup comes from Cognos Inc (Nasdaq: COGN):
… I was lucky enough to spot this one in time, but stayed out. I wanted to do the wait-and-see thing because it wasn’t doing as much volume as the other examples I had seen, and the negative overall market mood and negative nasdaq TICK. But, I should have just believed in it, I guess. I suppose it could fail from here, but it’s held up well thus far. I have yet to see an example of this setup that has failed without giving at least some profit first. I’m sure they are out there; I just haven’t found one.
[update 11:26 EST: it just hit 44.00, so I would put this firmly in the "didn't fail" category, no matter what happens from here]
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December 15th, 2006 at 4:22 pm
[...] Today I took the rest of the day off around noon EST… the setups I was waiting for just weren’t happening. But, the ultimate trader would have persevered. I was watching for NVidia Corporation (Nasdaq: NVDA) for a break of yesterday’s high (which corresponded pretty well with today’s OR high, and you should know by now that I like those odds). As it was options expiration day, my target would have been 37.50 (nearest strike). Had I stuck around til the close, I would have gotten my entry, and hit my target right away. Because of the size of the run to the break, this would have been a 1:1 Risk/Reward trade… only take these if you have a win rate that supports it! [...]