Wonderful looking setup on pullback. Nice breakout out of congestion range and positive volume accumulation pattern.
The trading diary of Paul J. Singh. I trade full-time and empower traders by making the complex simple. I can be contacted at SinghJD1@aol.com
Wednesday, December 30, 2009
Monday, December 21, 2009
Trading "Leak": Impatience and the GS Trade
One of my mantras is to "set it and forget it" after making a trade. Once a trade is made, I set my stop and target, then forget about the trade until one of the price objectives is hit. At least I usually do . . .
My recent GS trade is a good example of a trading "leak" that many traders have, the error of impatience. GS was not a losing trade, but I could have done better. I originally entered at the bottom of the current trading range as an "oversold" setup as the stock neared support and was oversold. My initial target was hit, I took a partial profit, then moved my stop up just under the current support range. If I had stuck to it, the second half of my trade would see a profit right now.
Instead, I got tired of waiting for something to happen and exited on Friday before my stop was hit. Thus, I missed out on today's 2 percent gain.
We all must remember that we set out stops and targets for a reason, and little good comes from "micro-managing" trades.
My recent GS trade is a good example of a trading "leak" that many traders have, the error of impatience. GS was not a losing trade, but I could have done better. I originally entered at the bottom of the current trading range as an "oversold" setup as the stock neared support and was oversold. My initial target was hit, I took a partial profit, then moved my stop up just under the current support range. If I had stuck to it, the second half of my trade would see a profit right now.
Instead, I got tired of waiting for something to happen and exited on Friday before my stop was hit. Thus, I missed out on today's 2 percent gain.
We all must remember that we set out stops and targets for a reason, and little good comes from "micro-managing" trades.
Labels:
micro-managing,
stops,
strategy
Thursday, December 17, 2009
Thursday Game Plan
Here is my plan for today:
Here's my detailed plan for today: http://docs.google.com/View?id=d5z8q8w_1505gnc8qmcc
Here's my detailed plan for today: http://docs.google.com/View?id=d5z8q8w_1505gnc8qmcc
Wednesday, December 09, 2009
Oversold Bounce Setup: GLD
My recent GLD entry was based on the oversold bounce setup. I only took a 1/3 position today, and will add to it if GLD nears the 50 day moving average, which would offer me a better risk ratio.
Labels:
oversold bounce setup
Tuesday, December 08, 2009
GS Nearing Bounce Level
Wednesday, December 02, 2009
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