This post was contributed by a guest author, and does not necessarily reflect the views of Richard or MovetheMarkets.com
Made some money today, R 1.5. It could have been a lot better if I wouldn’t have sold IGT prematurely. Exits are tough.
IGT #1:
IGT #2 and #3:
AINV:
This post was contributed by a guest author, and does not necessarily reflect the views of Richard or MovetheMarkets.com
September 13th, 2007 at 6:59 am
Zoomie…I like both of your trades except for one thing…in day trading after doing some studies, you should only do one of two things (imo): either scale out consistently or keep a loose stop and let your stock hit it’s target. But you have to do one or the other and not something in between. If you can establish the day to be trend day, then you can keep the loose stop and hold all day. This is all assuming your dailies are on point and there is no near by resistance.
However, it’s tough to establish a trend day, especially the last 4 - 6 weeks. Also, your trade in ANIV you entered late. The 6th bar lows would have been ideal, however, you absolutely did the right thing in waiting for that inside bar and then shorting it. But I’ve noticed that in many of my IB trades, prices come back to test the break even point so you have to keep that loose stop from the get go or you have to scale out and keep then loose stop. In this case it would have been a penny or two over the highs if the IB.
Anyway, it’s a lot easier to critique your trades than for me to trade based on the advice I’ve given you. I traded AMGN yesterday, after I told you to pass on stuff that has strong rally in the last 1 hour of trading. So I traded AMGN and passed on ACF. Fortunately I made money on AMGN so it feels okay, but I know I violated my rules and in the long run it will cost me if I don’t fix it.