Tuesday, April 14, 2009

April 13, 2009 Monday Trade 5 Long 2 Contracts

Went long 2 contracts on 50% fib pullback and multiple layers of moving average support and VWAP (volume weighted average price, thick black line) support. This trade entry was not bad and had good volume confirmation but I did not take my first target soon enough (perhaps was a little greedy?). I was looking for a bigger first target near the highs. The trade went about 2 points in my favor but shorts took control and the longs could not hold the VWAP level, which told me to expect chop for the rest of the morning.

Trade 5 Long 2 Contracts (Stopped Out -1.5, -1.75 Points):
Trade 5 Screenshot

Note: VWAP worked well to show that the market was directionless/choppy because price went through it from both sides. Good entry but greed turned a winning trade in to a loser.