Tuesday offered a nice little trade on APA, a low-priced stock that’s easily accessible to even small accounts.
This nearly started out like yesterday’s effort on ROKU, but it was clear at the time the momentum was not there for the first entry to be valid, which is why I did not take it. Thus a break-even exit was avoided.
By the time the second entry came along, the momo had picked up and it was worth the limited risk. Besides, by then it was clear that the trend was upwards — there had been no real effort to get the price lower.
My exit (badly marked here, sorry about that), came when things started to get a bit sideways.
So that was almost $600 profit on a $30 stock, in under half an hour. You could make this trade with an $8k account, or you could have traded half the size and taken $300 profit with a $4k account. CFDs and spread bets would have made this trade accessible to sub-$1k accounts. Stock trading is accessible at every level.
By the way, as I haven’t said it in a while, here’s your regular reminder that I do not post all my trades on this blog, just a selection that I think are interesting for one reason or another. Also, I don’t trade every day, because I don’t need to. Three or four mornings a week is enough to make a very good living, and for me trading is about time freedom above all else.