Similar to todays XLK short this too I would also consider this a C trade.
Here's why
Cons
1) The stop is far ,
2) Missed the little pop at the end of day , could have had a slightly better stop vs entry distance ( I did enter in final 30 min per
my rules , however ...)
3) We have not cleared the range, big bars are common in ranges .
4) DB , MTR , a possibility here , more of a range than todays XLK play , so I would say XLK slightly higher quality than XLI.
(double bottom , major trend reversal )
Pros
1) Bulls failed to have follow through from yesterdays FOMC rally signal candle
2) Stage 4 downtrend w/ death cross valid
3) If we do breakdown more bears will sell the entry candle and follow-through candle ...
4) Possibility for a measured move down
5) Valid signal per my strat and market in RTM ( red trading mode )
Ultimately I have taken the trade anyways because I have been waiting for this and even though its a weak signal , it is a signal. I have gotten more defensive on my de risk plan too though ....
I am taking profits on 1/3 at 1R and there I will switch to BE stop .... then will cover another 1/3 at 2R , then sell the rest on a close above 10/21 ema's.
Stop 98.41
PT 92.49
Here's why
Cons
1) The stop is far ,
2) Missed the little pop at the end of day , could have had a slightly better stop vs entry distance ( I did enter in final 30 min per
my rules , however ...)
3) We have not cleared the range, big bars are common in ranges .
4) DB , MTR , a possibility here , more of a range than todays XLK play , so I would say XLK slightly higher quality than XLI.
(double bottom , major trend reversal )
Pros
1) Bulls failed to have follow through from yesterdays FOMC rally signal candle
2) Stage 4 downtrend w/ death cross valid
3) If we do breakdown more bears will sell the entry candle and follow-through candle ...
4) Possibility for a measured move down
5) Valid signal per my strat and market in RTM ( red trading mode )
Ultimately I have taken the trade anyways because I have been waiting for this and even though its a weak signal , it is a signal. I have gotten more defensive on my de risk plan too though ....
I am taking profits on 1/3 at 1R and there I will switch to BE stop .... then will cover another 1/3 at 2R , then sell the rest on a close above 10/21 ema's.
Stop 98.41
PT 92.49
Comment:
Just de risked , adj new stop 95.01. Slight change to the plan , I am moving 2R target to 1.5R instead I like this better ... ( 91.01 ).
Trade closed: stop reached:
Ended up getting stopped out on protective stop on this one ... A day back at 95.01 , forgot to post .
艾力克~