AAPL Trade on Mar 9, 2021 15:39 from tjmiller2001: Tradervue User Stock Trades.

Great job keeping this loss small.

I came into this trade with too much of a bullish bias. I was looking for reasons to buy instead of watching price action and having a thesis both ways. This was at the EOD also and I think I was overtrading, looking to enter something even though an amazing opportunity wasn't there. I had a specific plan for this trade, but having a bias instead of being open-minded to what the chart is telling me is dangerous.

I know that things tend to trend at the EOD and if SPY was trending up or down, AAPL would be likely to follow that path since those two trade so closely.

Although today wasn't a clean trend day, SPY had been making higher highs and higher lows all day. This gave me the trade idea to buy a dip after I saw a sign of a reversal. AAPL was showing relative strength to SPY but I didn't want to get long until I saw SPY strength.

9 minutes before I even entered, I had a specific trade plan. These were my requirements to get in, "Looking for AAPL and SPY to break above 9 EMA on 1m chart to get long with stop under previous candle low." I like how specific this was and I like how I was patient, waiting for all these variables to come true instead of rushing an entry.

When that strength came at 12:38 with a large green candle breaking above the 9 EMA, I got long at 121.65 with a SL at 121.60 and a TP level of 121.95. I got filled long on a wick down, maybe that's lucky, maybe that's a good fight for price. Either way, I had a 6:1 RR which I like.

SPY turned red and I was very quick to get out. I noticed I had no real attatchment to this position. I love the liquidity in AAPL contracts. Proud of my quick exit.

This is likely a more advanced strategy to learn later, but, I like the idea of learning to trade reversals with a 9 EMA break as my entry catalyst and a tight stop under the previous candles low.

Lesson Learned: The more specific your plan is before you enter, the more likely your losses will be small and your winners will be large. Write out a specific plan with catalysts for entry and exit, then be patient and don't enter unless your entry rule comes true.