I spotted a potential Swing Idea on KMX. I'm eyeing 140-145 calls. I haven't determined an expiration date yet, but I'm aiming for next month, maybe even Dec. depending on the contract prices.
I also have a 1hr markup which is showing me a possible bounce coming off the 200MA. WIll this happen anytime soon, that I don't know.
However, I'm liking the pullback to support on the Daily, with the 1hr chart confirming that area of Support as well. Still, I'll be patient and wait for a clean entry above 138.55, which will be the confirmation bar on the Daily Chart and will trigger my entry for the 140-145 calls for a Swing Play.
On management, I plan on watching for price reaction at 140(psychological level). If price continues that sequential move back up, just as price sold off in a sequential manner, I will hold for the completion of sed move back to 143-145. If price stalls at 140, I may look to reposition and wait for a break over 140 for the next possible leg up. Granted this is all theory, but a TRADING PLAN as well. My thought process in looking for plays is: Look for reasons not to take a trade..If there isn't one, get prepped!"
If this play dies & never alerts my entry, then I keep it moving. No harm no foul. The beauty of Swing Trading, if you can read the chart, you can sometimes see the move coming a mile away, you just NEVER jump the gun.
Entry- IDENTIFIED
Stop Loss- IDENTIFIED
EXIT(s)- IDENTIFIED
Risk Management/Risk To Reward Ratio- IDENTIFIED
There goes FOMO, GREED & FEAR & here comes the thought process of a calm & confident Trader. Win, Lose or Breakeven..I Identified my play & built a plan around it. All that's left to do now, is manage the trade when it becomes time to manage the trade, & not profit watch!
I also have a 1hr markup which is showing me a possible bounce coming off the 200MA. WIll this happen anytime soon, that I don't know.
However, I'm liking the pullback to support on the Daily, with the 1hr chart confirming that area of Support as well. Still, I'll be patient and wait for a clean entry above 138.55, which will be the confirmation bar on the Daily Chart and will trigger my entry for the 140-145 calls for a Swing Play.
On management, I plan on watching for price reaction at 140(psychological level). If price continues that sequential move back up, just as price sold off in a sequential manner, I will hold for the completion of sed move back to 143-145. If price stalls at 140, I may look to reposition and wait for a break over 140 for the next possible leg up. Granted this is all theory, but a TRADING PLAN as well. My thought process in looking for plays is: Look for reasons not to take a trade..If there isn't one, get prepped!"
If this play dies & never alerts my entry, then I keep it moving. No harm no foul. The beauty of Swing Trading, if you can read the chart, you can sometimes see the move coming a mile away, you just NEVER jump the gun.
Entry- IDENTIFIED
Stop Loss- IDENTIFIED
EXIT(s)- IDENTIFIED
Risk Management/Risk To Reward Ratio- IDENTIFIED
There goes FOMO, GREED & FEAR & here comes the thought process of a calm & confident Trader. Win, Lose or Breakeven..I Identified my play & built a plan around it. All that's left to do now, is manage the trade when it becomes time to manage the trade, & not profit watch!