KBNT Trade on Sep 1, 2020 14:48 from CapitalMastery: Tradervue User Stock Trades.

Summary

So annoyed with myself on this trade. I was patient, and waited for a valid 5min cup entry, but ended up scratching the trade before it got to my stop or target. Had I simply let the trade work, it would have gone straight to my price target for a really nice trade. Would have made around $175 on this trade had I just left it alone.

Why Was I in This Trade?

Spiked up out of no where on mediocre news, and gave a valid entry signal.

Did Right

Waited for entry signal before joining, and set exit targets based on 20min20ma

Did Wrong

Took off the trade early because I was afraid of giving back any of my PNL. The trade started to grind up, and def made you feel like it was going to go, but then just dumped all the way back to where it came from.

Note that I was a bit unsure about this specific trade since it was a recent IPO, and so I was unsure if the typical rules would apply as well.

Improvements

On these non A+ trades, I should probably require at least a 20minbab in conjuction with a 5min cup before putting on a position. Had I waited for a 20minbab on this trade, I could have had a much cleaner trade, with a straight shot to my exit target, without enduring the grind up. As ADH mentioned in chat, rule of thumb is 4-5x time frame bab is needed for cups.

Next Trade

Nothing on this trade for now, but hopefully it runs some more and offers a later opportunity.