1

PLAY
MNQ – HOD breakout

CATALYST
QQQ tried to sell off midday but failed miserably and then reclaimed HOD quickly with strength, telling me that there are some committed buyers in the market today.

TRADE IDEA
QQQ will break HOD and move into the next supply zone, targeting 1100

SETUP QUALITY AND BIG PICTURE
“B”
huge reclamation into the close in QQQ with volume expansion coming into power hour on the long side. Not looking for a home-run here. Looking to scalp 50 pts into the next supply zone.

PLAN
Get long at HOD consolidation, small size, selling ½ 25pts in the money, and holding ½ to target

REASONS TO SELL
Stopped out
Volume stops expanding and begins to decline
Consolidation area is my stop

EXECUTIONS AND PRICE ACTION
Price consolidated for a few minutes and I waited to get long.
Saw volume expansion and speed on the tape
Sold ½ too quickly due to me being skiddish/sick/not wanting to have a red day on final day of year
Sold 2nd ½ at target

KEY TAKEAWAYS
I have the flu and these notes suck, but did a good job with the trade. waited all day for something to make sense, could not bring myself to go short today after recent rally.

It was a solid “B” setup, good read. The market reclaimed HOD with so much strength I had a lot of conviction in the trade.

Could have held another contract past target, this went way higher