Double Dynmite - Pass on this trade

Daily Chart - extended

5 minute chart

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Stock:TTM

Entry Bar: 4
Time Frame: 5 minute chart
Entry Green Line: 21.51
Stop Red Line: 21.35
Result: up to .14
Setup Grade: C
Notes: Great example of two nice double dynamite bars but I would pass. First the market gaped down and was very bearish. 2nd the daily chart is overextended (see chart). If entered would have waited for .50 to break. Could have possible scaled a small gainer but either way the market and daily chart are fighting you so Id pass.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Missed Winner

1 minute chart

Daily Chart

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Stock:WYN

Entry Bar: 7
Time Frame: 25.01
Entry Green Line: 25.01
Stop Red Line: 24.69
Result: missed trade..oh well
Setup Grade: B+
Notes: This is a great example of when you trade to not have distractions around you. On vacation, tracking WYN and was distracted for 30 seconds....trades takes off, ends up being a winner for the day...plus making quick trades off a laptop doesn't help. Missed money is better then lost money and never ever chase a trade!

Either way, nice break on the daily chart and setup on the one minute chart.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Just missing a big winner - AU short

5 minute chart

Daily Chart

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Stock:AU

Entry Bar: 2
Time Frame: 5 minute
Entry Green Line: 39.63 SHORT
Stop Red Line: 40.01 (over the whole #)
Result: up to .22
Setup Grade: B
Notes: Scale as you go...stop to entry. Would have been stopped out on your remaining shares after moving your stop to entry.....as later it would run to the downside. It happens and its why we follow our rules and stick to our discipline. Daily chart was a mess and breaking down on the gap down this morning.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Free Fall - AMZN - same hour small loss -

5 minute chart

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Stock:AMZN

Entry Bar: 6
Time Frame: 5 minute
Entry Green Line: 113.27
Stop Red Line: 112.29
Result: small loss stop
Setup Grade: B
Notes:Dumped right when news came up....moved stop to low of last 5 minute bar

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap and Go - Passed on this trade

Daily Chart

5 minute chart

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Stock:CAT

Entry Bar: 2 (would have passed see notes)
Time Frame: 5 minute
Entry Green Line: 60.35
Stop Red Line: 59.24
Result: passed
Setup Grade: B-
Notes: Strong market and and hammer off the daily's 200sma made this an intriguing setup. But with the previous days run up and crazy market as of late.... I would have passed. This is a great example of being picky on your setups especially in these fast moving markets. If you took the trade you could have pulled out a winner by scaling out and sticking to a strict trade management plan.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap and Short - KLAC

Daily Chart

5 Minute Chart

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Stock: KLAC

Entry Bar:2
Time Frame: 5 minute
Entry Green Line: 28.24 SHORT
Stop Red Line: 28.73
Result: Small stop
Setup Grade: B-
Notes: This wasn't a very good setup from the get go. The trade still went my way but I missed trailed my stop by a penny. First there was support on the daily chart and should have passed. I jumped a little with the weak market and nice red opening bar. After scaling out I should have moved my top to 28.32. I typed in 28.30 by accident and was stopped out by a penny. Great example of double checking your orders. KLAC never once hit at 28.32 and traded as low as 27.70

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap Fade - AKAM stopped

Daily Chart

5 Minute Chart

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Stock:AKAM

Entry Bar: 2
Time Frame: 5 minute
Entry Green Line: 27.80 Short
Stop Red Line: 28.15
Result: Stop
Setup Grade: B
Notes: Always getting questions like "do you have losing trades"....everyone does its part of the game. What separates the winners from the losers is how you manage them.

Gap up into 5th up day, over extended with bearish red first bar on the 5 minute chart....looking to exit some at high of previous day and gap fill. Nice setup but they don't all work out and this is why you STICK to your stop, there is always another day and another trade.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Nice setup - didnt work out - COLB

5 minute chart

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Stock:COLB

Entry Bar: 2
Time Frame: 5 minute
Entry Green Line:19.56
Stop Red Line: 19.00
Result: small stop at 19.46
Setup Grade: B+
Notes: Not every trade is a winner but it's how you manage the trade. If you dont believe in stops then take a look at how this dumps, that red bar should have had the antennas up. Again its all about managing your risk, letting your winners run and keeping those losing trades to a minimal downside. This is great example.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

How To Pass on a Trade - BIDU

Daily Chart

5 Minute Chart - nice first bar

One Minute Chart -

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Stock: BIDU

Entry Bar: none
Time Frame: 1 or 5 minute time frame
Entry Green Line: 427.12 SHORT
Stop Red Line: 443.20
Result: no trade
Setup Grade:
Notes: As you can see on the Daily Chart BIDU was gapping into a top. I was looking for a short setup. While it looked great on the 5 minute chart I shied away with the one minute chart looking very extended. Stay picky with your trades and never chase. Missed money is better then lost money.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Great No Trade

Daily Chart

5 Minute Chart

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Stock:NFG

Entry Bar: NO Trade
Time Frame: 5 minute
Entry Green Line: 22.99 short
Stop Red Line: 23.55
Result: NO TRADE
Setup Grade: B+
Notes:Gapping down near a support line and break point, under the 200 sma (purple line on daily chart). Would have entered if it broke its whole number 23. Many times I will wait if my entry point is near a whole number this can be support/resistance. Rather miss out on a small amount then get burned big.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap and go Short - MCHP

5 minute chart

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Stock:MCHP

Entry Bar: 2
Time Frame: 5 minute chart
Entry Green Line: 25.46 short
Stop Red Line: 26.12
Result: small loss to even
Setup Grade: B+
Notes: Small loss to break even depending on how you place and trail your stop. This is a great example of trade management of a setup that looks great after 5 minutes and then just stalls. Not every trade is a winner, keep the losses small and the winners will come.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

BRCM - Stopped and then Gainer

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Stock:BRCM

Entry Bar: 2
Time Frame: 5 minute
Entry Green Line: Long: 28.81.....Short 28.41
Stop Red Line: Long: 28.61.........Short 28.91
Result: Long - Stopped out......Short .13 to .36
Setup Grade: B+
Notes: Huge Gap down, went long on the first candle and had my head ripped off as I was stopped. Whenever a green wide range bar is taken out on the next candle I may go the other way. Here it set up nicely as that red bar totally engulfed the green bar.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap Fade Long Stopped - COF

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Stock:COF

Entry Bar: 2
Time Frame: 5 minute
Entry Green Line: 37.85
Stop Red Line: 37.56
Result: stopped out -.29
Setup Grade: B
Notes: Here is a great example of jumping in way to early and getting burned. Instead of waiting for the high of the previous bar to break I jumped in early at the top and it reversed quickly. Tried to jump the gun and got burned.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gap and Go Stopped out - ACN

5 minute chart

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Stock: ACN

Entry Bar: 5
Entry Green Line: 37.97
Stop Red Line: 37.67
Result: Stopped, no juice
Setup Grade: B+
Notes: Here is one that just didn't happen even with a positive market day and break on the daily. Small lose, its all part of the job, just move on to another day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Gpa and Go - RYL

5 minute chart

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Stock:RYL

Entry Bar: 2
Entry Green Line: 23.77
Stop Red Line: 23.51
Result: .50 to .80
Setup Grade: B-
Notes: Here is a trade in which the result looks great but I got damn lucky and should not have made the trade. Very bad fill on very low volume, and should have passed. When you are having success its human nature to become complacent and not pay attention to the wide low spread volume I was getting. It worked out, stayed with my plan. Sometimes you get lucky

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Winner and Loser: SYNA and AKS

Top Picture AKS - Gap and Go Loser, came down took out my stop then took off, it happens.

Bottom Picture SYNA- Gap and go short winner 10 minute play.

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Learning Chart - Question from a reader

A question from a reader:
Could you review a chart for me?
Symbol: ME
Time: 30min chart
Setup: Double Dynamite
Shorted on break of the 3rd bar. Covered before my stop was hit as it was clear on the 15min chart a reversal was coming.

Would appreciate any observation.
30 minute chart

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Stock:ME

Entry Bar: 3
Entry Green Line: 11.76 short
Stop Red Line: 11.93
Result: Stopped out
Setup Grade: would not take this trade
Notes: A reader asked me to review this trade. I would not have taken this trade for several reasons: For a double dynamite trade I want two small narrow range bars that are similar in size. The 2nd bar is not one I would consider a narrow range bar. For shorting I prefer both red. That 2nd green bar scares me out. 2nd reason the market is strong, was looking to go long on the day. The one thing I liked is strong day over day volume, but again you where fighting the market. Good stop management, stick to your stops and live to trade another day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Rocket - CI stopped out

Set up 5 minute chart

outcome - stick with the stop

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Stock:CI

Entry Bar:10
Entry Green Line:21.33 short
Stop Red Line: 21.61
Result: stopped goal right before 21
Setup Grade: B+
Notes:Nice setup, stick with your stops, either high of last bar or entry...it happens, come back another day.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Winner and Loser same stock - ICE

Daily - extended

5 Minute Gap Fill

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5 Minute Gap Fill
Entry Bar:2
Entry Green Line:119.77 short
Stop Red Line: 121.94
Result: Up to a 3.40 as you scale out, stop to entry let it run all day


123 pullback - Just stopped out then sell off



123 Pullback
Entry Bar:8
Entry Green Line:118.05 short
Stop Red Line: 118.55
Result: Just stopped out by .05 with a nice pullback to 20sma and red bar. It happens, stick to your stops.

* The setup grade is based on rules outlined in my business plan & not for the end result. Feel free to post any trades you made today that you would like commented on.

Winner and Loser same stock - SU

Winner - 5 minute gap and go

Stock:SU 5 minute gap and go

Entry Bar: 2
Entry Green Line:33.42
Stop Red Line: 33.04
Notes:5 minute gap and go, scale out and get the stop to even.


2. Loser - 30 minute candlestick outside range breakout.
Solid Setup - -

Result - stopped out

Stock:SU

Entry Bar: 5
Entry Green Line:34
Stop Red Line: 33.58
Notes:Stopped out