Weekly Update 2017-11-18


Pending order : RFP

Weekly Review

Past 2 week activities :

Managing Position

BITA : Bad mistake

Too late exit here. It's clear that I have to exit when price crossed down the green line to protect the profit. The reason I didn't sell BITA on Thursday is because I want to wait until weekly close before making a decision.
Now the price is near my trailing stop and I have 3 choices :
1. 1. Widening my stop since it looks like the long-term trend still intact to prevent being shaken out.
2. Exit at current price.
3. Do nothing.
The choice number 1 is not an option because I have a strict trading rule about this: Never widening the stop for any reason. I prefer to take a loss / shaken out on a trade than widening my stop loss.
For choice number 2, I don't think it is wise to do now because the current risk-reward ratio is in my favor (even when the win probability is not in my favor). When the price is near stop loss, and profit target is still far, it means the risk is small and the reward is big. BITA will announce earnings on 11/20. There still a gap down possibility if market disappointed with the earnings, but I will take that risk and do nothing in my BITA position.

Performance review
The market still normal and sideways, but my performance not so good lately. It's normal since I choose to chase the small/micro cap setup to chase the bigger profit, the consequence is lower win rate than last month performance.
I believe the moment a trader stop worry/fear about taking a loss in a trade, he/she will be profitable in a long term. There is always time to make money and to lose in series of trades.

Further Study

Next week, I have no intention to buy anything and I will wait patiently, but here are some charts worth to study. Please be aware that if many good setups failed, it's one clue that market becomes weaker.

BGC : Head and shoulders bottom

BGC pullback after a breakout from H&S bottom. Now, it finds support at breakout line with good volume (low). The weakness of this setup is on its RS Line that still hasn't breakout.

REI : Head and shoulders bottom

CSTM : Back into watchlist

Current Risk Position

That's all for this week, have a good week and thanks for reading.

Have you ever feel that you're already know all of the trading theory, but you haven't got consistent profit yet? This site is dedicated to help you about that. You will get optimal learning benefit if you not only read this article, position yourself as me, track my account by reading all the updates and log, see my open and closed trades in action and learn from my mistakes, look to my dashboard and performance, read what I thought about trading. Also, whenever you have a question about trading, feel free to contact me here.

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