Trade Recap - IDRA
Here was the daily chart for IDRA going into Dec. 5th:
IDRA was up over a double since the middle of October, with most of that move coming in just the last few days. This was clearly an over-extended (OE) chart so I was short biased going into the day, and looking for major trend breaks to strike. Don't get me wrong, I know OE charts can keep on going, so I know to always have a plan before getting into a trade.
Here was IDRA's intraday chart and how I traded it (FYI, blue arrow = stop, red arrow = short, green arrow = cover):
I first looked at IDRA's intraday chart around the 2 pm trading range but failed to excute a good short at resistance (res). Instead, I waited for support to actually crack, got short, added on the failed retest of support (now res), and covered all of my shares at the retest of the previous low. Why all my shares? Because I was red on the day up until this point and covering all my shares put me solidly in the green. As many traders point out (such as @modern_rock, @OzarkTrades, @Nikkorico_, etc.) nothing beats the feeling of ending the day green!:
And from @Nikkorico_'s blog (link to blog):
This is great advice because for me, being green is definitely a great feeling, but also helps me build my account by however small I can grow it. Growing is better than dying, and many green days also build my confidence in my trading system as well as in myself as a trader.
-Jory
IDRA was up over a double since the middle of October, with most of that move coming in just the last few days. This was clearly an over-extended (OE) chart so I was short biased going into the day, and looking for major trend breaks to strike. Don't get me wrong, I know OE charts can keep on going, so I know to always have a plan before getting into a trade.
Here was IDRA's intraday chart and how I traded it (FYI, blue arrow = stop, red arrow = short, green arrow = cover):
I first looked at IDRA's intraday chart around the 2 pm trading range but failed to excute a good short at resistance (res). Instead, I waited for support to actually crack, got short, added on the failed retest of support (now res), and covered all of my shares at the retest of the previous low. Why all my shares? Because I was red on the day up until this point and covering all my shares put me solidly in the green. As many traders point out (such as @modern_rock, @OzarkTrades, @Nikkorico_, etc.) nothing beats the feeling of ending the day green!:
Amazing what will happen to your account if you can be green everyday no matter how much or how little. Losses just suck
— Phil Goedeker (@OzarkTrades) December 4, 2014
CONSISTENCY & Minimizing losses is KEY.Smaller CONSISTENT gains is BETTER than wild swings GET PAID DAILY Would u work for free? #MRockRulez
— Modern Rock (@modern_rock) November 24, 2014
And from @Nikkorico_'s blog (link to blog):
This is great advice because for me, being green is definitely a great feeling, but also helps me build my account by however small I can grow it. Growing is better than dying, and many green days also build my confidence in my trading system as well as in myself as a trader.
-Jory
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