GRUB Trade on Jan 4, 2017 09:55 from Reggie1634_BOWS: Tradervue User Stock Trades.

2017-01-04 12:54:49
Ok So I find $GRUB while I am scanning though US Common Stocks this morning. I tend to go to this list and I flip though all the stocks that are in the red. Perhaps this is where I am really making my first mistake. For whatever reason, I like to play what I think are ORB Breakdowns and Intraday Bear Flags. I do watch my daily charts to see if the ORB Breakdowns and Intraday Bear Flags actually may have room to move, meaning I feel like I am looking at and selecting the daily charts where the stock seems to have broken down from a range that it has been stuck in, or breaking out of a larger time frame "Bear Flag." Both again appearing to have room to move. So back to my first trade of the day, $GRUB. So as mentioned above, I see on the daily chart that yesterday, this stock had dropped down out of a fairly tight range, braking below 37.00. I also notice that on the daily that the 20sma, and the 50sma are tightly pointed together above this stock, looking to me like a strong area of resistance that is beginning to curl over and could perhaps continue to drive the stock down. I do a few more checks on the daily, meaning that I can see that the 200sma is about $3.00 below and that the stochastics are right about in the middle of their graph range. So with all of those things being said I felt that this would have room to continue on a down side path. So I began watching the 5 min chart. for an ORB breakdown, or an intraday Bear flag. Now my paper trading account is on a 15 min delay, so anyway. I feel that it was probably around 9:45ish to 10:00 am that I felt I was seeing exactly what I was looking for. The stock had dropped down to open, and was now forming somewhat of a tight range below the VWAP with the 9sma closing down from on top of it. I decided to draw out my Flag and prepare to make my
entry. I Felt that all my "ingredients" where checked off so I made my short entry at 36.81 with a tight stop at 36.99, which was above not only the 9ema, but also the 50sma (2 "layers" of resistance) Never the less this ended up hitting my stop loss and that was it. I was out with a small controlled loss. I still had a short bias on the stock so I continued to watch it and I ended up entering this again.

The Second Entry was not too long after I was stopped out of the first entry. Of course after the stock hit my stop loss, wouldn't you know it, it now was making the move that I was looking for it to make in the first place. I drew out what I thought was a better slanted part of what I look for in a flag, and sure enough the stock broke down out of that flag line. Soooo what do I do? I enter another short position. The stock drops for a moment, right to the same spot that it reversed on me the first time. And Just like that it reversed on me again. bang stopped out again. UGGGGG. Now in paper trading, no fee's are taken in to consideration so looking at my account numbers I managed to not loss too badly. However I am keeping a separate log, with exaggerated fees of $10.00 to enter a trade. and $10.00 to exit a trade, so $20.00 round trip. I feel like that way when I enter back into the real world of trading I won't be completely unprepared for how much I thought I made on a trade, with the reality of how much I will make on a trade do to the cost of doing the business.