Darn, those stocktwits people sure do love UltraShort Financials ProShares (NYSE: SKF). It came out on top of their list today, so of course I had no choice but to select it again. Sigh….
But, as you can see, performance is quite good. Check the end-of-trend indicator at the bottom, which gave many good clues about when to exit the positions.
So, by my scorebook, I count the first two short trades as one win, as you’d be sitting in the first when the second arrives. Then the long trade is a nice win. Then we have a short trade that is iffy… depending on where you put your stop you might have bailed for break-even or a small loss. If you did, then the last short of the day got you right back in to close out the day with a winner.
It’s been a while since I’ve posted the rules, so…
- Volume chart chosen based on 30-day average volume (I generally use the overview settings from this reference post on these stock charts).
- New push on the everypush paintbar (first red or green bar)
- Volume pressure on b/a-histogram is up for long, down for short.
- End of Trend is below 90
- Closes above the fast MA for long, and below for short. Candle body must not be touching the MA… candle wick can be touching the MA… that’s still ok.
Those rules are how the mechanical entry dots are generated. Not very complicated… With good tools it’s not too terribly difficult to trade profitably. Most of it is the mental game, and following through on your plan.
Hopefully those stocktwits people will pick more variety soon… I’ll get bored featuring SKF all the time.
Believe it or not I have a really long post on stock trading in the works… it’s been halfway done for months now. I just need time to finish it up. I’m extremely busy lately!
Richard,
What is “fast MA”. How can I put this on Ninja trading charts.
I just mean any fast MA… like the 5EMA for instance…. or I personally like the KAMA.