I am extremely rusty at this, so don't judge too harshly. As you probably realized, X disappeared for a few days. Now that you see the news headlines over the past 24 hours, you know why. He won't be able to discuss his role, as it is all highly classified. But I for one want to thank him for his service.
OK, if anyone is offended by my attempt at humor, I apologize. But I could not resist! X is dealing with some family issues, and my thoughts and prayers are with him. In the meantime, I figured I will try to brush the dust off my posting skills and put up a chart or two.
Today offered a lot of nice short setups, with GG being one of my best trades. The setup itself can be classified as a "beyond the Fibonacci extension". GG gapped down, bounced at the FE, and made a relatively normal retracement back to the RZ. At that point, it turned back down and broke through the FE. I drew a trendline (solid black line right below the FE) which was broken around 1PM EST, and then price pulled back to test the FE and the trendline from the bottom (support is now resistance). Price formed offsetting bars at that level, and I entered on a break of the 1:30 bar. My stop was if price closed above the declining 5EMA, and it never did. Price collapsed, and I covered at $53. It continued down to almost $52 before bouncing.
Depending on X's return, I may come back later in the week with a few more charts.
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11 comments:
Welcome back Tom C, hope you stick around. Nice trade!
Tom who? :)
Glad to see someone else still works past the first two hours of the day. ;)
Welcome back.
-AT
I thought that was Trader-X's handiwork.
very funny!
hope his family member get better...
hahahahah very nice trade
Good to see you Tom, I enjoyed your posts over the years. If you had to compare your trading to that of X, do you trade mostly in the first few hours as well? And, this is a 5-min chart. Is that what you are using now? Just curious as to how your style compares. Also, short vs. long.
Trader-X:
Best wishes that everything turns out OK.
Tom C.:
Great to see you back. A bit rusty? No, it's as if you never left! I've learned a lot from your past posts in the archives...very much appreciated.
One request: Would love to see some of your longer term trading charts again. Thanks!
Rusty yet still making a good buck. Good to hear from you again. BTW, do you, or anyone else, avoid big gap stocks?
Tue, May 3rd. GM. Classic X? Not a huge move, but I was able to take a nice sized position due to narrow range, tight spread, and heavy volume. Entry on a break of the 4th bar hammer.
Michael
Michael I traded GM as well. Like minds! I love these because you can get in and out without much slippage.
Trader-X I hope your family gets better.
Tom, I have a question - hope you're still monitoring the comments here.
Sorry to go back so far on you, but you mentioned a "three bar pattern" in this post that I've used (and that I'm looking at right now!) since you talked about it, but I haven't come across that specific pattern in my Nison book.
Is there (or do you have) a name for it?
Thanks,
-AT
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