Today's action was a nice spike down to draw in the last few shorts and panic out the last few longs IMO. Set your stops at $24.60 and just go about your business on this one.
Today's bottom was likely the bottom of blue 5 but of course it can always extend. This could just be 1 of 3 of 5. So do use stops (always). Having said that, today's intraday reversal was a bad sign for shorts. They loved it at $120 and now they hate it at $25. This is bottom fishing territory for the patient and disciplined gambler.
stop loss triggered at 25.5 today ... urg
ReplyDeleteYou set stops too tight. 25.5 is just an arbitrary number. $24.60 that I mentioned has basis in EW model. When I say use stops I mean use them based on EW, not just "10 cents below my buy price" unless of course, that is where the model would bust.
ReplyDeleteBecause of the AM reversal today I bumped my stops to $25.30.
Look on the bright side Anon. Your stops and the Captain's stops saved you from a 16% (so far) beating today. =)
ReplyDeleteMassive drop again today due to ceo's resignation ... still a good play to step in captain?
ReplyDeleteYeah I knew this drop was possible: "This could just be 1 of 3 of 5.". It means today's drop was likely 3 of 5. At this point I would like to see one last dip to the $16 from current $21.43 in order to be a full 5 waves down.
ReplyDeleteOdds, fellow gamblers, are not certainties.
After a long ass kicking like LL has taken, the CEO resignation is the kind of thing that marks a bottom IMO. Of course, I don't trade by events, I trade by the EW count. If Apr 24 was E of 4 then Apr 30 was 1/5, May 7 was 2/5 , the Low of today was likely 3/5, now working on 4/5 and I hope one more dip to perhaps $16 in the next day or two to complete 5/5. That would be the next EW-dictated buy signal. I'm too busy to look at this closer right now but will do so over the weekend.
ReplyDelete