chetron
2,817 posts
msg #67273
- Ignore chetron
modified |
9/14/2008 7:54:44 AM
if i unerstand TRO, then the only play for AAPL, was to use the "TRO STAT SCAN - TRAVEL GUIDE" play. shorting as you did chip, covering at the avgdrop20, 147.55, 3.36, and go long for the bounce at 147.55 and sell at the avgbounce20, 149.65, 2.10, and be done for the day.
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chip
67 posts
msg #67274
- Ignore chip |
9/14/2008 9:07:55 AM
TRO, AAPL juice was tasty all week :) -- good way to start the day.
Am I correct in understanding that this method would have had me _not_ trading AAPL on Friday?
You say:
ALWAYS FADE THE GAP YOUR FIRST TRADE
On the Friday chart, there was a huge gap down, so my first trade should have been a long at +0.10 - +0.20. Since price never went above open, no trade?
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chetron
2,817 posts
msg #67275
- Ignore chetron
modified |
9/14/2008 11:22:29 AM
yes chip, but you don't short a gap down, as you did, for a fade. you did a cow milker instead because aapl was red, which should have been a TRO STAT SCAN - TRAVEL GUIDE play because the volitility was not there for the gap fade, hence not enough volitility for a cow milker. go for the TRO STAT SCAN - TRAVEL GUIDE swing trade on low volitility days.
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chip
67 posts
msg #67277
- Ignore chip |
9/14/2008 2:41:50 PM
chetron, can you do that slower, in english? :)
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miketranz
978 posts
msg #67280
- Ignore miketranz |
9/14/2008 8:30:04 PM
Avery,pull up GM on a 1 min chart.Textbook reversal off open.Where would you enter long? Or would you be long on this trade? If so,what method are you using? Thanks,Mike.....
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chetron
2,817 posts
msg #67282
- Ignore chetron
modified |
9/14/2008 9:51:02 PM
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chip
- Ignore chip 9/14/2008 2:41:50 PM
chetron, can you do that slower, in english? :)
*******************************
sorry chip, lol, i do tend to ramble.
friday, aapl gapped down
aapl then went red, never breaking the +0.10 cent mark to go long for a fade the gap play.
you said that you shorted it, once it broke the -0.10 cent buyzone, which i understand as MTC play.
tro says milk the cow plays come after a fade the gap play, because, for 1, the equity has Volatility, if it does fade the gap. and this is good for the milk the cow play.
if the gap is not closed, the equity lacks the Volatility to continue on with milk the cow(buyzone) plays.
so the next play to go to is the TRO STAT SCAN - TRAVEL GUIDE play for your short which works a slower swing type play. by running the travel pocket guide for aapl on thursday. you would have the entry and exit price for aapl ready for this type of slower day, and the more conservative average20 drop, bounce targets were right on for friday.
hope this helps. i will continue to better my communication skills in the future. : )
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TheRumpledOne
6,529 posts
msg #67284
- Ignore TheRumpledOne |
9/14/2008 11:19:53 PM
9/14/2008 11:19:19 PM
chetron
if i unerstand TRO, then the only play for AAPL, was to use the "RFR" play. shorting as you did chip, covering at the avgdrop20, 147.55, 3.36, and go long for the bounce at 147.55 and sell at the avgbounce20, 149.65, 2.10, and be done for the day.
=========================================================================
NO!!!!!!!!!!!!!!!!!!
AAPL is a "COW".
AAPL is NOT an RFR stock!!
The "only" trade for AAPL is to go long in the long zone from OPEN + $.10 to OPEN + $.20 and to go short in the short zone from OPEN - $.10 to OPEN - $.20.
THERE IS NO OTHER "MILK THE COW" OR "BUY ZONE" trade. This is why MTC works. MTC is SIMPLE.
AAPL is NOT an RFR stock and should NOT be traded with that method.
"IT'S NOT WHAT YOU TRADE, IT'S HOW YOU TRADE IT".
Perhaps, now you'll understand why I say that.
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TheRumpledOne
6,529 posts
msg #67285
- Ignore TheRumpledOne |
9/14/2008 11:21:41 PM
miketranz
Avery,pull up GM on a 1 min chart.Textbook reversal off open.Where would you enter long? Or would you be long on this trade? If so,what method are you using? Thanks,Mike.....
==============================================================================
I don't trade GM.
I only MTC with NASDAQ stocks.
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TheRumpledOne
6,529 posts
msg #67286
- Ignore TheRumpledOne |
9/14/2008 11:24:36 PM
Yes, the RULE OF THUMB is to FADE THE GAP for the first trade. That is the safest way to trade.
HOWEVER, if there is a reason to believe the stock may continue in the direction of the gap, you can use the BUY ZONE for your entry. There are usually a lot of head fakes and you can get killed in a blink of an eye. As you trade ONE STOCK, you gain insight into its trading pattern.
Remember, PRICE MUST CROSS THROUGH ONE OF THE ZONES... there is no choice.
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chetron
2,817 posts
msg #67290
- Ignore chetron
modified |
9/15/2008 6:44:30 AM
thanx tro for the clarify.
but the numbers still panned out on friday.
fyi: the fade the gap filter's MA(absgap,100) for aapl is 1.42 and the gap on friday was 1.74
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