After our 11AM Open review a trader approached my desk.
“Bella can I ask you a question?”
“Yes.”
“Do you think I should add here to ANF?” (Abercrombie & Fitch Company)
I looked at the chart, saw it trending cleanly above the important 41.50 technical level, spotted a target entry at 42.11 and a definable exit at 41.94, found room on the longer term charts to 43.80 and possibly 45.
I said, “Yes.” Then bid for ANF at 42.11 where I was hit and set a stop for 41.94. This was a Trade2Hold with upside to its next long term technical level of 43.80.
During the course of the day I managed my stop. I moved it up to 42.34 then later 42.62 when it did not explode through 43, then later to 43.19. It was one of those positions where any subsequent sale was a bad sale. It brought no stress. There was only one moment of indecision around 43 on whether to lighten up. I didn’t. And even this received little thought.
Near 43.80 I got flat as my target had been reached. This did not slow ANF. Higher still it would climb. But I entered to hold until this level so I exited here.
Overall this was One Easy Trade.
Bella
no relevant positions
7 Comments on “One Easy Trade (ANF)”
I was looking at that trade today thinking the same thing, “what a nice, simple, peaceful trade”. So much better than the choppy trades that we often get.
I was looking at that trade today thinking the same thing, “what a nice, simple, peaceful trade”. So much better than the choppy trades that we often get.
I really screwed up getting flat before my target in that 43 area. Great post and thank you!
i got alerted to this several times today but only attempted to enter at 42.50 and got shaken out. i didn’t like the earlier entries because there had been no major pullbacks or bullish triangles that i liked. should probably have paid more attention to the fact that this stock was majorly in play and broke above a big level. got to adjust my thinking.
Hi jb
Al Brooks talks about these types of trends in his new book ‘Trading Price Action: Trends’. I’m reading this at the moment and just read about these types of trades where there’s no decent pullbacks available for entry. He talks in detail about the psychology involved and how to enter and place your stop.
It’s great information if you’re interested 🙂
thanks! i didn’t know he had a new book out. checking it out! 🙂
I traded it today, shorted that it will pullback its yesterday’s uptrend but was wrong(((