Tuesday, December 09, 2008

Continuation Plays -

AGU and POT set up nice continuation plays after yesterday's gap up. I liked AGU because yesterday's daily printed a NRB. Break of PDH (previous day high). Exit after 3 WRBs just about 10 cents away from the Fib. target.

X gapped into the R-zone and consolidated for about 45 minutes before breaking the ORH. X didn't reach the Fib ext. As noted is last night's technical post, the downsloping 50 DMA is a resistance area on the daily.

NASDAQ futures scalping. The blue line base for my long entry was a resistance area midday yesterday. Exit at R1. Shorted a lower high prior to the break of a descending triangle but got stopped out on a breach of the trendline. That turned out to be a head fake and I got back in to finish the job back down to P.


Attitude Trader said...

Dang! Nice work in the Nasties today Jamie. Caught it going both ways.


Anonymous said...

Excellent work on the futures.

After taking partial in X, how much room do you give the trade for movement?


anarco said...

Hi Jamie~
I really like your futures trade with the 1 min chart. The chart looks really cool and beautiful executed. But I am grateful you also post the 15min trades for the less experience traders like me.
I have two questions regarding your 15min chart trades. When you enter in a wide bar, do place you protective stop at the base of that bar or do you use a smaller time frame for your stops? Also, in your X trade, did you enter on the break of the 3rd bar high or the break of the ORH?
Thanks in advance!

Jamie said...

Thanks AT,

The long entry was sweet. The short side was quite a bit tougher to navigate.

Jamie said...

Thanks Susan,

I was hoping X would hold the PDH as support but it retraced 50% of the days range (ambush zone). How much room I give depends on how much profit (loss) I've locked in on the day and how much I believe in the trade. In this case I had enough profit on the day that I could afford to give it the extra room.

Jamie said...

Thanks Anarco,

I entered X on break of ORH and I managed the stops on 5 min. timeframe. I don't constantly tighten stops because I don't want to be stopped out for a few pennies during consolidations, but if the stock head fakes, I want to get out and start over. No point in losing money, because some head fakes really rip.