Hi,
On Monday I had on my list 2 stocks HNT and CNC both went lower in an amazing move to the down side, from the open till the close, but I couldn’t find an entry point,
When I say an entry point I speak about a place I would get short and I will place a stop that will means an end to the down trend for me while at the same time want be too big so i could reach profit targets,
This type of movement is the worse for me even though it should be the best because this is the place to learn but all I can think is here I have a stock that do exactly what I though, it get lower, a clean down trend, but I have no entry place I can feel certain with, no place to draw the line,
This is why I bring this question to the public to all of you there to see if you can give me any help here, any idea will be more than welcome you can see the attached graphs,
Thanks a lot for any type of comment idea
Make the odds in your favor Day Trade,
Eldad Nahmany
How to trade this?
Both of those were at all time or at least 5 year highs...so it's hard to base your entry off of previous support/resistance levels when they do not exist. Personally if I want to fade something at an all time high I just close my eyes and sell it into an uptick. Then if it looks like I was wrong I cut losses and bail....I'll pick my loss before or very soon after my entry and just watch the level 2 feed and play it that way.
Learning how to play off of the level 2 information can really help in those or any situation.
Net/Net more money is probably made from selling trading ideas than the trades themselves make.
"Those who have knowledge, don't predict. Those who predict, don't have knowledge."
Lao Tzu
First off, I can only help with CNC due to the context of the trade making sense that it sells off. It was the acquirer. Next, I look at trends in terms of resets. CNC gave an entry at 10:37 under 70.43 with stop above 70.61. And then a better one at 11:58 under 70.18 with stop above 70.30. These entries are based off understanding how trending stocks move...
Hi,
AllDayHold can you please explain how and why you play this 10:37 or 11:58 ,
what do you mean by "I look at trends in terms of rests"
would be great if you can share your understating of how trending stocks move,
thanks