TTEK showed up on the Trade_Ideas NR7 scan as NR7-3 after the 10:30 bar. I loathe to short a stock that has already printed 2 WRBs unless it has had plenty of time to consolidate the initial weakness. A quick look at the daily (below), indicated that TTEK had successfully taken out PP support and that the next level of support was in the $24.00 area.I liked the fact that TTEC was basing just under S2 and couldn't close above it. I took a dummy short on the break of the base. The BO bar closed on its lows which signals the strong possibility of success. I decided to take a partial at $25.50 to lock in some profit. I moved my stop just above each red bar excluding dojis and covered the balance at $24.10.
4 comments:
Nice trade, Jamie! I'm scared by NR candles lately, as I see them often break out of both sides instead of just one. Where was your initial stop on this one?
hi jamie, don't mean to correct you but i think you might have the wrong ticker on your heading.
Thanks Andrew, I've made the correction.
Prospectus,
Agree 100%. NR7 is very tricky. Got the exact same signal (NR7-3) for PETM this morning after the 11:15 bar but when I looked at the daily to confirm the setup, I saw we were just shy of the daily PP support so I didn't take the trade. Sure enough, PETM broke the NR base short and reversed, setting off a momo move on the long side.
My stop on TTEC was the previous bar high plus 2 cents.
PETM...and the market was reversing at that time with 2/30" WRB and no consolidation. 30" charts work pretty well on these 2.
Post a Comment