Learning to read Price Action with P&F Charting

Discussion in 'Strategy Building' started by HolyGrail, Mar 22, 2008.

  1. Maybe with a target of just short of hitting the line??
     
    #1001     Jun 11, 2008
  2. I never short a stock above the bullish support line.
     
    #1002     Jun 11, 2008
  3. HooLee

    HooLee

    With today's Retail Sales report, a breakout in SPLS is expected. Will you go long this stock?


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    #1003     Jun 12, 2008
  4. Absolutely. A breakout up or down at that point in the chart would be significant.
     
    #1004     Jun 12, 2008
  5. SPLS is a perfect example of why I like to look at charts as opposed to using a scanner. Here you have a chart about to potentially breakout. It is close to its long term bullish support line, so either way a breakout should be significant. You want to have your order in before it breaks out. You could place a short order at 20, and a long order at 25 and have one order cancel the other.
     
    #1005     Jun 12, 2008
  6. HooLee

    HooLee

    Thanks. RS already broke up days ago, 1.25 box chart will also breakout at 25. I would take smaller position, if going long, since BP of NYA and SPX are in O.
     
    #1006     Jun 12, 2008
  7. I went in with a small position because I am going against the bullish % current column.
     
    #1007     Jun 12, 2008
  8. Absolutely pathetic day. I had 3 contracts on a terrible risk-reward play. Lost 1100 dollars and fought my way back to -245.10. I traded 12 round trips. This was really an easy day, and there was absolutely no excuse to lose money today.
     
    #1008     Jun 12, 2008
  9. HolyGrail,
    .....as a newbie, very informative thread!

    By the way I'm interested to know what you actually buy (forgive me if you've already covered this) i.e. do you buy:

    - the actual Stock itself?
    - CFD (contracts for difference)?
    - Spread Bets?
    - something else?

    What I'm really trying to establish is what level of leverage (if any) you use on your transactions.

    If you don't use any leverage (i.e. if you just buy the stock with available cash) I'd be interested to know why? (especially when you have what you consider to be strong signals)
     
    #1009     Jun 17, 2008
  10. No, I don't use any leverage. Why? Because I don't need or want to. I am at an age and financial condition where protection of assets is by far the most important aspect of my trading. I want consistent returns above the market. I'm not out to set any records, or win any contests.
     
    #1010     Jun 17, 2008