Trading Lesson #1: Buying A Strong Stock At Prior Day’s Afternoon Support

sspencerGeneral Comments, Steven Spencer (Steve's) Blogs, Technical Plays, Trading Lesson1 Comment

New blog format: Short trading lessons with charts for illustration. Trading Lesson #1: Second Day Play–Buying A Strong Stock After It Pulls Back To Prior Afternoon’s Support Area INHX was on our radar yesterday after another fresh news drug catalyst. As you can see from the two charts below INHX is trending higher on multiple time frames. Here is the … Read More

The Continuing Saga of December’s $RUT Bearish Butterfly Trade: Insights and Analysis

Seth FreudbergGeneral Comments, Options Education, Trading Lesson1 Comment

Last Thursday’s rally, probably a dim memory at the moment, was so strong that our trade methodology called for us to add a third butterfly and roll the original two butterflies up 60 points each such that the new position is comprised of three  50 point wide butterflies centered at 720,740 and 760.  As of  last Thursday,  the position  was … Read More

Avoiding Indicatoritis

sspencerGeneral Comments, Jeff White, Trading Lesson2 Comments

Would-be traders all tend to focus on indicators. The sense, I suppose, is that if there’s just some magic indicator to be added to the chart, then trading becomes easy. They’re way off. Personally, I don’t rely on indicators. I am price-and-volume based when making decisions on trades, and although I might occasionally glance at a moving average or something, … Read More