WORK Trade on Jun 19, 2020 13:27 from Cklamb: Tradervue User Stock Trades.

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Cklamb

 

WORK
Intraday Fundamentals
• Shares of Slack Technologies Inc. (WORK) are off more than 2% in premarket trading Friday after Goldman Sachs analyst Heather Bellini downgraded the stock to sell from neutral. "While we continue to view Slack as a best-in-class team messaging offering that is favored by the technical community, we expect Microsoft Teams to continue to try and leverage its packaging within Office 365 to drive increased adoption, thus creating the potential for a more competitive environment," she wrote. This competitive landscape could pressure Slack's long-term growth rate and its ability to penetrate its addressable market, in her view. Bellini also sees "elevated risk" of customer churn for Slack given the company's "significant" exposure to small- and medium-sized businesses "as well as exposure to industries directly impacted by the pandemic." She maintained a $30 price target on the stock, which is up 63% over the past three months as the S&P 500 has risen 29%.
Technicals
ADV 18.84 m RVOL 1.44 ATR 2.13 Short 7.89% Inst Own 68.8%
Daily

Hourly

Intra

Trading Strategy
• Bounce scalp long 32.40 at the open cover at 33 with a stop at 32.19
• Short 33.70 on spike or grind to the level out of the gate and start looking for a range between 33.50 and 32.50
• If this base at 32.50 and moves back into 33, start looking for a short and a longer trend to work for the late day
• VWAP Tests SMA Momentum set ups after intraday levels
Reading the Tape
I believe that I read things into this tape that I wanted to see. I saw the sellers when I wanted to short and the buyers when I want to long.
However, the later day trade where all based on a solid rejection in the tape of 33.70. this level gave way the second attempt. But, it held after breaking late in the day setting me for a great low reward short.
Trade Management

Trade Notes
I waited out the first five minutes watching this. I do not remember seeing anything on the tape that should have led me to believe this was going to retest some lows. I missed the game plan to take the scalp long at 32.40. I did take this thinking that the opening high would hold a little longer and move back into 32.40ish at least one more time before holding 33.
I had recent level at 33 that I had worked into the morning game plan. I was admittedly pretty short bias on this for some reason even with a relatively weak catalyst. I had 33 as an exit point on a bounce trade and decided to work it back to near the long entry that I felt I had missed earlier. I was looking for 32.40 on the last bit and probably gave back a little too much on what I though was a runner at the time. I fought for price well here and set myself up for a breakdown. There was some patience involved in the adds and they were held until it made sense to lighten up which helped with adding above 33.
I was working this off what appeared to be a HoD for at least a while. I may have been pushing a little bit to get back into some trading rythm here. I did watch the tape on this as it hit 33.70. I hesitated the few times it would trade at 33.65 and marketed in as this dropped into the SMA on a 10/15 and still had a stop under where I thought I would be wrong in looking for the test of 33.40ish. This is the type of momentum entry I need to avoid. I need to take the trade when it made more sense in the 33.63 ish range.
There were a lot of checks in my favor on this one. I had watched this tape for a long time around 33.70 on a couple attempts to short this level earlier. After this rejected 34, this came back in and range or consolidated in the same range that I had been trying to short on some perceived weakness earlier. I went full size on this working another 10/15 this fell short of my target by 2 cents, I canceled the bracket and took it only getting a 10/8. there was little more here. I was trading full size and did not want to give up the quick over 2 cents.

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Execution detail:

Date/time Symbol Side Price Position
2020-06-19 13:27:55 WORK sell $33.605 short
2020-06-19 13:27:55 WORK sell $33.605 short
2020-06-19 13:27:55 WORK sell $33.600 short
2020-06-19 13:27:55 WORK sell $33.600 short
2020-06-19 13:28:10 WORK buy $33.535 0


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