Monday, April 19, 2010

Daytrade Talk; support

An example of how we trade:

POT 104.5 we added alert in newsletter last night to watch for bounce on the 104.5 200SMA spot.

The best support trades are when the stock hits the alert extended away from the EMA. Buy reversal with stop under and take off first partial (usually 1/3 or 1/4 for us) back into the EMA to lock in some profits. Usually good for at least a 2-3 Risk/Reward trade.