Shared by
jmos_BOWS
Play: ORB
Gapped up on PR, opened strong, held the 3.70 area, got in when the tape accelerated, sold into spike. Sold 1/4th and had other 1/4th close to round # but never got filled. Gave it room to operate to break past 4 but never did. Kept bringing up my stop loss with the 9ema. Stopped out as it couldn't hold and crack 4.
Reasons to sell:spike, close to round #, 9ema crack
Execution detail:
| Date/time | Symbol | Side | Price | Position |
|---|---|---|---|---|
| 2014-11-25 09:43:22 | SCOK | buy | $3.820 | long |
| 2014-11-25 09:53:57 | SCOK | sell | $3.920 | long |
| 2014-11-25 10:02:17 | SCOK | sell | $3.780 | 0 |
Comments
jmos_BOWS
Agreed but the volume looked good and being thanksgiving, I keep hearing small caps run like crazy (first time trading during this time of year) so I did think it might have a chance to run.I still traded it according to plan so not really mad about it except that i didn't get filled to the penny lol
tombro
You ID this as an ORB but it didn't break out of its OR until almost noon. The opening bar was $3.50something to $4 something
Just sayin...
I understand but you get in anticipation of the break of range. If you get in at 4, you will have chased it 20cents from the ideal entry and it is harder to minimize your risk as your stop is at 3.70 so instead of having a 10cent stop loss, you now have a 30cent stop loss.
I understand your concern about the risk, but it wasn't even close to being an ORB. I'm just as guilty of trying to bend the rules, but I don't think it benefits us to do so. I don't know...maybe Nape and Kunal have a different opinion.
Nape_BOWS
Agree with Jmos. To minimize risk you can anticipate the ORB by getting in early if price action and volume is there. This stock had a good chance to break over $4, but sometime it just doesn't work out so you cut your loss and move on to the next stock or flip the trade and go short.
I'm all for anticipation, but your entry was .04 above the exact center of the range and .21 from the "Breakout". I'm only having an issue with calling this an ORB trade/setup. Maybe it's something else, but it wasn't an "ORB" as we were taught.
Thats all.
Looking at the daily, I'm not really convinced of a break over $4. You got a bunch of days where it beached it but was rejected
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Not a bad attempt, but this stock has a history of fading when it gaps up and with the market fading first thing in the morning didn't help this stock.