Here are my AM Paper Trades -
The 5 Minute chart was a little spotty, so I used the 15 minute cart to trade RF. The Average True Range at this point in the AM was 9 cents, so I decided to risk 2x the ATR, 18 cents. I took RF long at $3.09 and my trailing stop gets me out around 1:15pm at $4.37.
Profits of $1.28 cents!!!
Reason for getting in the trade... Stock showed up on Finviz screener and was on my watchlist for the day. Stochastics on the Daily chart were starting to reverse. At the open the Stochastics were bullish as well.
Daily Chart / 15 Minute Chart:
For swing trades, I took NCX (because I had success with it yesterday). This one is more of a long term trade. Again this is a paper trade, but here are my parameters... I bought 100 shares today @ $1.57.
On the daily chart, it looks to me like the past couple of days its forming an symmetrical triangle. Looking at it now, I may have entered the trade early, so if it comes against me and breaks the low of yesterday ($1.28), I may get out. Otherwise, I am looking for it to go long, and I will add 100 shares to my position if it breaks the top trend line of the triangle I have drawn. If it goes long, I plan to take profits at around $3.00.
My reason for getting in the trade early may not be a good one, but looking at the Stochastics on the daily chart, it looks as if they have bottomed out and the stock has been oversold. Also, on the 15 minute chart, the stochastics are trending upward, and they have a long way to go before it reverses in my opinion. Therefore I feel that this might be a good swing trade. A safer entry would be when the stock crosses the top trend line, so like I said, I may have gotten into it a bit early... Time will tell. If all goes as planned, I will be risking approximately $0.22 in order to make a gain of $1.50 give or take.
The daily chart I am referring to is below:
equilateral triangle? mmm. sym...
ReplyDeleteLOL... fixed... meant symmetrical
ReplyDelete