Near Perfect Swing Trade Set Up?

[helenquenet]

I've only just started trading US stocks as the ESTX is so lame at the moment and I'm finding it wonderful! There are just so many opportunities out there.

Here's one I spotted this morning and managed to get in at (UK) teatime today @ 18-39. Look at the set up, I think it's pretty near as textbook a swing trade as you can get!

Daily Chart


Weekly Chart
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[soylent]

Hi Helen --

Is there a definition of a swing trade somewhere?

I read 'master swing trader' (Farley) and found that it didn't really look like it had anything to do w/ my perception of swing trading... (digression: More like 'art of war' for trading. No specifics -- but, lots of good general advice. A lot thicker than art of war, that's for sure)

Anyhow, I looked at that stock and I am by NO means any expert on anything but it scared me. Which means it's probably a GREAT BUY! But...

Here's my simplistic analysis: You're in a Wave 4 retrace on the 60-Minute bar. You will probably hit 19.20ish before this turns back south and heads to $16ish. I would like it more

So, you can catch that wave-4 'swing(?)' but that's an awfully scary position -- to me...

[helenquenet]

Hiya,

I don't use the geometric TA stuff. I use candlesticks, BBs and support and resistance that's all. I don't hold stocks more than a day or so and the trade will probably be closed this afternoon, if it hits 19.2 I'd be more than delighted I move my stops up to break even ASAP and this one has the stop at +0.24 right now. I think basically with candles you tend to get signals that are good for a day or two that is all.

I didn't find a satisfactory definition of swing trading in Farley either, although I do like the book

[FibbGann]

I would have to pass on this stock for 2 reasons. Its in a downtrend on D, W, M charts and the volume is ridiculously low.

Just my take, lets see what happens.

Fibbgann

[helenquenet]

Hi,

I'm using TC2000, only just got it so trying out various scans. This one came from the "5 days down" scan.

Looking good for it's 19-20 at the mo

[helenquenet]

Stop hit as it fell back at 19. Not a bad profit for a 24 hour hold. +0.59 inc costs.