In the past few days with volatility of Crude oil picking up it was just a matter of time before we see some parabolic moves in that markets. Prices trading just below 55 signals the near term bottom with risk of dramatic short covering against the bears. This trade was the 9th sequence for the day . Out of 9 signals I executed 7 trades long and 2 shorts. That told me the market is decisively bullish. With short term trend and the long term trend Intraday in alignment. I started to look for triggers to get into another profitable trade for the day. The signal arrived at 10:42:45 am central with price immediately pulling back. To some trades that can be a sign of trouble. However, I had two things working for me.
1-Market in Harmony.
2-Protective Zone around 56.41.
3-My stop was 20 ticks from entry due to market Volatility.Also, 20 ticks is the most productive stop amount per my Tick/Stop analysis study. That study shows me 82% profitable trades with 20 ticks and 57% if I use 10 ticks.
Now its just a function of harvesting the profits so what are the rules.
1st target typically is 10 ticks. However, due to market volatility I increased that amount to 30 ticks to take advantage of the wild swings. I executed the first target at 56.96 for 30 tick profit. Now I am moving my stop to break even +2 and this trade is free of risk.
Trading by the rules generated a harmony trade resulting in a $2450 profit in 15 minutes. and over $4500 trading 2 contracts for the day.
This trade was posted live in Stocktwits: http://stocktwits.com/HolisticTraderAcademy
Let me know if you have any questions
Wish you Health,Wealth and Happiness .
Regards,
Holistic Trader
George Habash.
