Wednesday, January 07, 2009

Daily Setups

PLD is stock I added to my watch list recently when it showed up on the TI scanner. Today it broke out of a solid base , following range contraction, the significance of which Jim highlighted in the last two posts below.

As you can see from the daily, this setup is ideal for a swing trade as well as a day trade. I think PLD will run to $20.00, so if you missed the BO today, you could get a second chance in the coming days.

On the 15 min. chart below, the opening range is extremely wide, so it's best to place fibs from ORL to ORH as per Trader-X guideline # 4.


AMZN also formed a solid base with several pivots over the last few weeks. Yesterday's gap was faded but price fell into a sideways chop. Today, it moved in for a retest of yesterday's high and set up a relatively easy entry. The only thing I didn't like, was the sideways action immediately following the entry, but when it finally decided to go, it was sweet.

BMO is on my Canadian WL which is quite short, so it was easy to spot.

6 comments:

Jim said...

Jamie,

From your PLD chart, I just realized that my standard price filter (i.e., close above $20) in my RC scan may be missing some good (basing) candidates. The bear market has taken many tradable stocks well below that level.

PDT said...

Hey Jamie, getting back into the swing of things and I was wondering if you could comment on a trade I did today.

BTU: Entry on the break of the 11:45am candle which is an inside NR7 bar. It was also basing under the round number $28.00 and it looked liked it tested the PDH a few times. Target just ~ $29.00

Action went sideways for most of the afternoon until a nice little jump at around 2:30ish. Had a decent profit but gave most of it back because it never reached my target. In retrospect I should of at least partialed after the 3 WRB.

Made a similar play in ACI and I was wondering if it is stupid to do that since they are basically in the same space as each other. They were pretty much moving in lockstep.

Cheers!

Jamie said...

Good point Jim,

I'm currently scanning for $10.00.

Jamie said...

PDT,

I'll post and analyze the BTU chart tonight.

PDT said...

You the man!

Jamie said...

Thanks PDT,

I'm trying to take a new approach to blogging in 2009. I realized when Dinosaur Trader asked me to contribute my best post from 2008 that the pickings were slim.

So I'm looking to post more reader submitted trades and less of my own (same old setups day in and day out). Today I used your BTU trade and wrapped it in a fear/greed theme. Hope you don't mind, but I really wanted to emphasize the need for disciplined trading rules because it is so important, especially for newer traders.