Much food for thought.  Very helpful.  Thank you.

Question, Matt.  I know there are no hard and fast rules, but is there anything tangible you can point to that distinguishes between when you would take the trade inside the pennant with a tight stop vs waiting for a breakout from the pattern?  Or is it instinct? 

I doubt it.  Can understand a pure technical bounce play for a day or two, but when you're talking an airline and a total disregard for passenger safety, it's hard to conceive of anyone buying the stock other than a day trader.  Ask yourself what you would tell your son or daughter if they said they're considering flying on Allegiant.  Believe that will be the public's reaction as well once they know the underlying story.  Think this goes much lower over time.

Matt, I have a question about suggested stops on the trade ideas.  A number of times in last night's newsletter you said "you can have a stop at the lows".  Could you be more specific?  Using the triangle pattern for LPX as an example, which low are you referring to - yesterday's low, the bottom of the triangle, another point?  I didn't quite follow.  It would be helpful at least to me if you could reference a number like you generally do.  Thanks.

Is it possible to swing trade a stock like this given its volatility (trading range of nearly $1.00 today), or is this suggested for a quick trade on the breakout then out?

Agree.  I especially appreciate Matt pointing out suggested stop levels, which I have yet to master. 

Similar experience.  Giving the trade more room doesn't seem to matter. 

I generally trade stocks priced under $20.00. I find stops to be quite helpful when price moves quickly, either higher (protects profits) or lower (keeps loss to a minimum), but when price drips lower and approaches technical support, I seem to always be taken out at the bottom.  Placing my stop  either just below, 5 cents below, 10 cents below, or 20 cents below what I deem to be support doesn't seem to matter.  The stop seems to act as a magnet just before price reverses higher.  Frustrating.

I second that emotion.  Just had a conversation with someone at lunch that touches on much of Steve Jobs' words.  Coincidence?  Nope; synchronicity.

Intriguing analysis.  Thanks for posting.  "History doesn't repeat but it often rhymes".

FTFT - Talk about a volatile market. Opened at $3.17, shot up on heavy volume to $4.20 in the 1st half hour, has been sliding ever since on (on extremely light volume).  If ever there was a poster child for Steve's adage "take profits", this is it.  Last trade $3.10; could still close in the red for the day.  The quintessential round trip; wow.

Matt: Is this type of setup (when triggered) as valid after a downdraft if the hammer was printed on average to below average volume...or does the setup only apply where hammers are made on high volume (sign of capitulation)?  Many in the list are in the former category.

My sentiment gauge suggests the general public remains complacent despite the 2,000 point drop in the Dow.  When the market drops like it has the last 5 trading days, I'm usually flooded with questions and concerns from friends, family, colleagues and my staff (I administer a profit sharing plan for 60 employees).  They are not traders but rather, long-term investors.  So far no one seems worried; that worries me.

Why?

Thanks for the reminder.  It's easy to get caught up in the euphoria and/or feel like you've missed the train.

What Happens when the price of bitcoin goes below the cost of production.  Interesting article by Bob Moriarty:   http://321gold.com/editorials/moriarty/moriarty020618.html 

Reminds me of the Cyclone rollercoaster at Coney Island; slow ascent, quick decline.  

Steve, I assume the optimum words here are "swing trader"??  Also assume this does not apply to those who make a quick trade in and out (day trade), off a chart and nothing but a chart, is that right?   Is it possible for one to blur into the other, or are there definitions that clearly separate a day trader from swing trader?  Can't imagine you check all the fundamentals for every stock you post, especially those you reference as a quick trade under trade ideas.

GDEN news: https://www.reviewjournal.com/business/casinos-gaming/golden-entertainment-selling-up-to-206m-of-stock/

Feels like they're throwing existing shareholders under the bus, but perhaps I'm wrong.  Thoughts?

Today was one of those days that help me appreciate the value of placing stops on EVERY trade I take.  Mainly a swing trader with a busy day job managing a law firm.  Was quite pleased to shrug off the impact of today's market selloff.  Thanks to my stops, I was taken out of 5 positions at levels way above the closing price, either protecting gains or minimizing the loss...all without staring minute by minute at my computer screen or stressing about what a stock "should be doing".      

Many thanks to Steve and Matt for drumming home the concept of always having a plan and using hard stops.  No better day than today to reinforce that notion.  As they say, "A penny saved is a penny earned".

Apparently, BREW is part of the SEC Tick Pilot Program, which means I can't place a contingent order awaiting a breakout.  Not constantly watching the market, so how would I position myself for a buy?  Guess I can buy now with a tight stop, but that's not my preference.