Shared by
Emilie_BOWS
Daily: Earnings break down
Intraday: bear flag
- 1st entry after it pulled back to the 9/20 EMA and stopped going further
- 2nd entry on the bear flag break down
- 3rd entry on another 9/20 EMA pull back anticipating LOD break in the afternoon
March low was 40.7 so my target was around $41 level.
Execution detail:
| Date/time | Symbol | Side | Price | Position |
|---|---|---|---|---|
| 2017-05-12 10:38:48 | JWN | sell | $42.540 | short |
| 2017-05-12 11:16:26 | JWN | sell | $42.070 | short |
| 2017-05-12 11:59:42 | JWN | buy | $41.600 | short |
| 2017-05-12 13:10:33 | JWN | sell | $41.930 | short |
| 2017-05-12 15:34:35 | JWN | buy | $41.170 | short |
| 2017-05-12 15:46:05 | JWN | buy | $41.030 | 0 |
Comments
Emilie_BOWS
Hi Daranee,
I set a limit order and waited for it to get hit. However, if price had come close to my target and turned around I would have taken the shares off because I figured the move was extended, price was close to LOD and it was lunch time.
I saw it tried to break down a few times with lower highs so the range was tightening. I expected it to break down (but it could have gone the other direction) so I took an entry on the lower high bounce, $42.1 stop. When I took an entry that close to LOD my expectation was a break down below LOD far enough to justify the risk taken.
The overall trend was down. That green candle pop didn't do anything that violated the trend. Anyway, I was playing the flag so I expected some back and forward price action before a breakout could happen.
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Hi Emilie,
The first cover at morning LOD area $41.6/41.5 , did you set a limit order and waited for it to get hit, or you use market order/limit order when price came close to target area?
What was you thought on the 3rd short? How confident for this trade? I thought it was too extended. It could be considered as a second day play( Bull/Bear flag usually don't work). It gapped down and price dropped quite far from 50 SMA ( $46), potential target was only 30 cents (LOD) or 90 cents ( March low ). I guess stop might be $42.1 (previous area/candle high) or $42.2 ( VWAP). If I were to trade this one, I would be shaken out and covered at 13:55 pm. with that green candle to $41.9. ( it rejected to break below LOD, and it popped above 20 EMA.). Potential for the end of the trend and might reverse. You were so calm!, and yes you were right ( as usual :) )
Thank you and appreciate the time you share all amazing trades ( for more than a half year !! :) )
Daranee