OptionsRising
Long

FB - calls - watch RSI, resistance line, candle signals

NASDAQ:FB   FACEBOOK INC
Note the first two ovals on stochastic %K were spikes that went up and immediately turned down, corresponding with touch of resistance line. The third oval is wider, because buyers held stock up near resistance line longer.

I opened weekly 160 calls to make a quick trade, though I may hold overnight. Use little capital. I am looking for RSI to get over 50. I will be looking for bullish indications on 15 and 30 min charts as well. This is a countertrend trade, so have stops in place and be ready to take profits. My lowest stop will be 144.90, but I will raise it as/if stock moves higher.
Mar 24
Trade active: FB opened at hourly resistance line. Let's see if we get a candle close over it today. Holding some calls.
Mar 24
Trade closed manually: Position closed. Bought calls at $2.45, then stock fell so I added more at $1.40. I did this because I believed in my hourly chart signaling a move up was coming, and I was willing to risk a certain amount of capital (trade size is important for a trader to hold a losing position without stress). I sold the 160 calls at $3.25 and $3.70.

Comments

I followed this advice, bought the FB 160 calls at 2.15..sold at 5.50..
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OptionsRising amitkbansal26
@amitkbansal26, Awesome, thanks for sharing!
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