Feb 19, 2008

SIGM - Short; SID - Long

Fairly satisfying day today as the trades I entered moved immediately and I exited without much regret.
SIGM is not one of my typical trades but since price peeked down below then back above the ORL (bars 4 and 5), I waited for a nice entry candle that closed below the ORL. I exited during the 12:30 bar (although more towards the middle of it) as there were multiple down bars in a row and a pullback was expected. I didn't want to risk getting stuck in a price spike similar to what happened in bar five. Turned out I was correct as price whipped up above the ORL then back down again. Had I followed my typical stop rules this trade would've resulted in a slight loss. Just goes to show that sometimes you need to follow your gut and don't be greedy!!!

SID was a nice looking setup on the 5-min view with my entry bar not only closing above the ORH but also breaking out of the previous range. I exited right above $39 on this one which proved to be the high of the day. After all those up bars, I figured it would pull back and I was happy with my gain at the time.



PRD trader said...

very good trade.

anarco said...

I like the SID trade!

surfbird said...

I too shorted SIGM (i'm up 17%)but have not pulled out yet...based on the SIGM brief at bigwavetrading I think I will hold a little longer.
Good job.