LXRX - Chart Link - we've had so many nice
trade ideas lately, just a follow up on this reversion to mean idea
from Monday, it triggered yesterday, followed through today for a
nice trade.
Posted by shanebofl on 4th of Jan 2017 at 03:04 pm
Hello Matt, I usually only trade the SPY System, but I bought
LXRX and SSYS yesterday and I'm up between 5 and 6 percent on each.
Just curious, what exit strategy would you recommend for these
stocks? I currently have a stop to sell if my profit lowers to
5%.
those are reversion to mean bounce setups, targets are usually
the 9 EMA and possibly the 20 SMA, they are meant as quick trades
vs swings. Obviously one strategy you could employ if you
felt one of them had potential to go higher is to sell 1/2 - 2/3 of
the position to lock in nice gains, then set a wide stop on the
rest.
a lot of ways to skin the cat, that's what makes trading
Both SSYS and LXRX tagged their respective 20 day MA's which
would be an an area to take some profits on a RVM trade. You
don't have to be an "all or none" trader.
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LXRX follow up
Posted by matt on 4th of Jan 2017 at 02:06 pm
LXRX - Chart Link - we've had so many nice trade ideas lately, just a follow up on this reversion to mean idea from Monday, it triggered yesterday, followed through today for a nice trade.
What exit strategy would you recommend?
Posted by shanebofl on 4th of Jan 2017 at 03:04 pm
Hello Matt, I usually only trade the SPY System, but I bought LXRX and SSYS yesterday and I'm up between 5 and 6 percent on each. Just curious, what exit strategy would you recommend for these stocks? I currently have a stop to sell if my profit lowers to 5%.
those are reversion to mean
Posted by matt on 4th of Jan 2017 at 03:31 pm
those are reversion to mean bounce setups, targets are usually the 9 EMA and possibly the 20 SMA, they are meant as quick trades vs swings. Obviously one strategy you could employ if you felt one of them had potential to go higher is to sell 1/2 - 2/3 of the position to lock in nice gains, then set a wide stop on the rest.
a lot of ways to skin the cat, that's what makes trading
Both SSYS and LXRX tagged
Posted by steve on 4th of Jan 2017 at 03:17 pm
Both SSYS and LXRX tagged their respective 20 day MA's which would be an an area to take some profits on a RVM trade. You don't have to be an "all or none" trader.