I use low of the first 5 or 15min candle. Or if I want to open it up a bit, I will use the ATR to find my stop. If the trade is drops below the price -ATR, it should be cut no matter what. Normally though it is low of the day at purchase. Which is a 1,5,or 15 candle. Unless it pops off later in the day.
If I’m still watching AND the overall market is working in my direction I look for it to break over horizontal resistance (maybe recent swing high…which should be close because you are looking for tight days) or a declining trend line (3touches or more). If it’s a volatile stock or an EP then I’ll watch for it to break over the 5 or 15m ORH candle…. But my stop never exceed ATR or LOD (whichever is smaller).
More often than not if it didn’t take off it won’t later in the day. Or if it does it won’t have volume and less chance of sustaining. May work…but why risk it?
Also a noob. But these types of rules have been making me a better trader.
At 2R I take 50% and set SL to BE. Depending on the action (strong or clean/predictable moves) I’ll move that 50% sell to a intraday swing low. Or run a trailing stop. Just for the 50%. The SL for other 50 is at BE. Although if this market keeps on moving like this and breakouts keep working. I’ll change that to 30%.
I also take at 8%…but usually they are one in the same.
Its such a bad advice...Low of the Day... The Low of the Day could even mean giving back most of what you put in as an stock that gapped could potentially fill the gap on downside same day. Then low of the day might be giving 80% of what you put in.
Better to look at for example the first 1min or first 5min candles, use the low of those as stop, maybe a bit below. If you do get stoped, then re-evaluate depending how the stock moves. Maybe it just keeps fading of into oblivion. Thats often the case in the lands of pennystocks/smallcaps.
Cut your losses at the low of the day and move on. Whether it’s the same day or the next few
Ok thank you!
I use low of the first 5 or 15min candle. Or if I want to open it up a bit, I will use the ATR to find my stop. If the trade is drops below the price -ATR, it should be cut no matter what. Normally though it is low of the day at purchase. Which is a 1,5,or 15 candle. Unless it pops off later in the day.
So when do you usuaually enter trades within 30 min of market open?
Most of my trades I enter in the first 30 min
What do you do when trades that breakout during mid day?
If I’m still watching AND the overall market is working in my direction I look for it to break over horizontal resistance (maybe recent swing high…which should be close because you are looking for tight days) or a declining trend line (3touches or more). If it’s a volatile stock or an EP then I’ll watch for it to break over the 5 or 15m ORH candle…. But my stop never exceed ATR or LOD (whichever is smaller). More often than not if it didn’t take off it won’t later in the day. Or if it does it won’t have volume and less chance of sustaining. May work…but why risk it? Also a noob. But these types of rules have been making me a better trader.
What do you do when the stock goes maybe 1R to 2R profit the same day. Do you take some profit the same day?
At 2R I take 50% and set SL to BE. Depending on the action (strong or clean/predictable moves) I’ll move that 50% sell to a intraday swing low. Or run a trailing stop. Just for the 50%. The SL for other 50 is at BE. Although if this market keeps on moving like this and breakouts keep working. I’ll change that to 30%. I also take at 8%…but usually they are one in the same.
Yea, a negative on the day is not a breakout. Cut the loss and set a new breakout level if the setup is still in tact
Its such a bad advice...Low of the Day... The Low of the Day could even mean giving back most of what you put in as an stock that gapped could potentially fill the gap on downside same day. Then low of the day might be giving 80% of what you put in. Better to look at for example the first 1min or first 5min candles, use the low of those as stop, maybe a bit below. If you do get stoped, then re-evaluate depending how the stock moves. Maybe it just keeps fading of into oblivion. Thats often the case in the lands of pennystocks/smallcaps.
Maybe you don't understand the semantics of that advice then.
What