2 Failed Base & Breakdowns: Mastercard (MA) & Visa (V)
Here are 2 failed trades in Mastercard & Visa. Both really looked like they wanted to break down and acted like they were consolidating for that break down so I setup my orders to get short. Buyers then stepped in after the break down and after tightening stops on both of them I got stopped out. Funny thing is, if I hadn't tightened my stops and just let the positions run, they would have closed out a bit to the plus side as they closed near the lows of the day.
Ah well :)
I probably should have just taken V short as it looked more bearish and less oversold on the daily chart. In addition, V's volume for the day was more bearish than MA.
Hey wondering,
How do you find your stocks to play the following day, as well as how do you always seem to find those nice breakout plays ready?
I have a little bit of trouble finding the right plays since I can only play the first hour of the day.
Anonymous said... August 12, 2008 at 11:22 AM
Why didn't you re enter both positions when they seem to "break" again?
Tomer said... August 14, 2008 at 5:23 AM
james:
A lot of it is just nightly preparation and the other part is looking at a lot of charts during that first hour.
Tomer: I missed any clear entry point and didn't like either based on the risk/reward when I did look at them again later in the day.
Trader M.D. said... August 14, 2008 at 5:45 AM
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