Reversing PAYS OFF!! - 05/01/20 RECAP
Hi traders,
The other day I posted a reverse entry which happened to be a loser as well, but I told you it typically pays off.
On Friday I got to prove it when WDC didn't react the way I planned and that got me thinking if the other direction wasn't a better idea... and it was!
The Trades:
1) WDC - SHORT @38.73 - terrible fill at the break of 39, in hindsight I should've at least reduced the position right away to compensate. -0.96%
2) MRNA - LONG @49.58 - good break of a strong stock, it went some 60c in the money but then collapsed. With different risk management style it would pay off, but that's just my choice and I'm not upset at all. -0.93%
3) WDC - LONG @39.85 - and finally my reverse play that didn't deliver as much as I hoped for, but still proved to be the correct way to think about the stock. +1.2%
*In my ID trades, I risk 1% of the account per trade and go for 2% (2:1 RRR ). Sometimes I adapt a little bit as you can see in the trades' description.*
Total PnL for the day: -0.69%
Total PnL for the week: +0.40%
Good trades,
Tom | FINEIGHT
The other day I posted a reverse entry which happened to be a loser as well, but I told you it typically pays off.
On Friday I got to prove it when WDC didn't react the way I planned and that got me thinking if the other direction wasn't a better idea... and it was!
The Trades:
1) WDC - SHORT @38.73 - terrible fill at the break of 39, in hindsight I should've at least reduced the position right away to compensate. -0.96%
2) MRNA - LONG @49.58 - good break of a strong stock, it went some 60c in the money but then collapsed. With different risk management style it would pay off, but that's just my choice and I'm not upset at all. -0.93%
3) WDC - LONG @39.85 - and finally my reverse play that didn't deliver as much as I hoped for, but still proved to be the correct way to think about the stock. +1.2%
*In my ID trades, I risk 1% of the account per trade and go for 2% (2:1 RRR ). Sometimes I adapt a little bit as you can see in the trades' description.*
Total PnL for the day: -0.69%
Total PnL for the week: +0.40%
Good trades,
Tom | FINEIGHT
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