Our Daily Trader portfolio scan generated following trade ideas for August 6th, 2014. These are short-term trading ideas that are normally closed either the same day or in next few days.
- Embraer Aircraft (ERJ)
- Direction: Short
- Entry: 36.91
- Stop: 37.92
- Target: 35.92
- Pattern: Expanding Candle
- Target Corp. (TGT)
- Direction: Short
- Entry: 57.75
- Stop: 58.92
- Target: 56.63
- Pattern: Expansion Bar / Gap Down
- Two Harbors Investment Corp. (TWO)
- Direction: Short
- Entry: 10.05
- Stop: 10.43
- Target: 9.95
- Pattern: Expansion Bar / Gap Down
Previous Trades Update:
Only one of our trades triggered on August 5th. If you have not already closed it then modify the stops and target levels.
- INSM (short) – modify stop to 13.03 and target to 11.92
Trades triggered on August 1st:
- LNKD (long) closed with 1.4% gain
- WU (short) lost 1.0%
Please Note: These are short-term trade ideas that we normally close in a day or two. Some of the trades are held longer based upon the price action. If there is abnormal price action then act accordingly to either lock-in the profit or limit the loss. We do send out alerts if there is any abnormal price action. Remember to check this site for alerts and further updates.
- We usually avoid taking a position if there is big gap-up or gap-down.
- If there is a gap-up or gap-down then if in the first half hour there is a snap-back or pull-back to our original entry then we take that unless the price ran away too much and then snapped-back or pulled-back
- If there is no snap-back or pull-back in the first thirty minute then we wait for the ORB (Opening Range Break - a break above or below the first thirty minute candle - in the original trade direction
- If the entry is based upon the ORB then the stop is usually beyond the other end of the bar.
- Remember to position size based upon your risk-tolerance