Trade this Chart IV

Discussion in 'Trading' started by inandlong, Aug 27, 2003.

  1. You are long 5k shares at the green line in early May. You have a nice profit. You have done a nice job hanging for a good run. Now, your teenager wants a car, and the college tuition is due.

    You don't want to leave much on the table, but is there more?

    Trade this Chart!
  2. what's up teach ?!! i made it to class this time.
    we need to cut class short today though, it's HUSTLER HONEYS AMATUER NIGHT AT LARRY FLINTS HUSTLER CLUB ON BOURBON !!

    lol just kidding .................

    i'd get out on a break of that 4th candle from the right (the long white one) or the yellow ma.
  3. I would say yes (there is more upside). The previous few red bars have failed to retrace much of the long white bar from four sessions ago.

    I would take partial profits with a stop loss on a break of the swing high prior to the green line (long white candle).

    I would take the rest of the profits on a break of the MA.

    But, I think it goes higher here.
  4. ramora


    I would exit at the open the next day.

    The ADX green line is indicating a major trend in the stock price series. When the ADX is this high it can mean the trend is near its end. You already have had 2 down days since the high.

    When the price exceeded the previous high the stock got a good push, but not much before momentum slowed.

    I think the near run up is over.

    The DMI+ is still way above the DMI- so you might reenter the long once the price drops back to the moving average.

    My decision would not be influenced by the teenager's desire to get a new car. :)

  5. kg' I put a blue bar where I think you mean. Is that right? And TKO very nice job. You put money in your pocket.

    But isn't that just the way it happens? Stops out the obvious and bounces right back. Who cares. You made money.

    The indicator at the bottom is the ADX{green}, the +DI{blue}, the -DI{red}. The ma is a 20sma.

    Kg I have it your are still long your entire position. Others who are watching, if you wre stopped out, are you now considering gettng back in?

    Trade the Chart!
  6. Yes - correct!

    Man, that is a volatile stock.

  7. would wait and see what happens when the price touches the ma.
  8. Gee this never happens! Just one bar to let you mull this over. Is it tempting enough to make you plan to get in, short or long?

    Aside: I have to go to the store. It will be about 30 minutes before I return. Sorry.

    Trade the Chart?
  9. My long position is looking good. I would sell on a break of the low of the current bar.
  10. Frank,

    I would have gotten out at your first chart posted. I would have lost some money but a realistic stop would have to be placed so far back that the risk reward ratio would have not been high enough at this point.

    People who like to get the last drop out of a move could hold until they get divergence on the DMI+ line off a higher high.

    Thank you for putting this excerise "out".

    #10     Aug 27, 2003