Trades, Tuesday 7th May 2019

Here are a couple of trades from quite a busy day. First up MYL:

Day trade on MYL, 7th May 2019

All standard stuff, with a textbook entry and an exit at a logical place when the momentum dried up. The rapid descent in the price returned a $900 profit for about ten minutes in the trade. Those who hold longer than me could have taken more as the thing went further south, but each has to stick to their own rules. Mine are based on momentum, and whilst the chart can’t show the same granularity as the tape, those two big red volume bars followed by the little green one give a good idea what happened and why I got out when I did.

Next up, Facebook, because why not? It’s been a while since I posted a trade on FB.

The setup here wasn’t quite as clean as MYL, but it was clear enough, with a weak price getting squeezed. The trade, once entered, was over very quickly, lasting only about one five minute bar. As with MYL, momentum dried up, and we were already at an excellent exit, so there was no reason to hesitate on covering the position.

Anyone trading in the afternoon could have profited further from the additional drop after about 13:00, but personally I was long gone and sipping jippers on a beach (figuratively, you understand).