Like I posted in the wee hours on StockTwits today, "There's a lot of anticipation built into this market and today's $INTC just added fuel to the fire. Expectations about $JPM will signal financials and further set the tone or perhaps confuse it. $GOOG already set to roar and good news & earnings can propel it perhaps as high as $625, catching up to $BIDU which could be the key to it's further upside." So, Google is ready to roar or dive.
Nothing is totally predictable in life or the markets and I try to reflect that on the trading charts I send out and post on this blog. The long and short call is for that reason. The direction is usually set in the initial few minutes of market open, but reversals are not unusual even if for just a short time, that is part of the test. Whether the reversal will stop out a set up trade depends on volatility which of course depends on price and structure of the setup.
My best calls will not touch the other directions trigger and will exceed the set targets. The second best is when one target is met before the stock moves into reversal and can meet a target the other way as well. The third is when some gains are met in a tight range. Of course the worst is when a stock gaps and is untouchable the rest of the trading session or is tight because the call was made too soon. VMW comes to mind from the other day, when I made the call two days before breakout.
What is important to remember is that to really meet all these conditions, market has to cooperate along with your open mind. Being open to both long and short is what makes my trades; when I anticipate one or the other, to which members are witness, I, just like anyone else, can be snapped up. So keep an open mind, focus, put on a song and then let the countdown begin....
Happy Trading, Living and Dancing
Anni
Todays BlogPick : Earnings play, GOOG on good earnings news look for $595 b/o to $600, $605 then somewhere in the $620-$625 area. Perhaps not in one day, however.
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©DayTrading with Anni 2010
