Trade Reviews: COH, APD, USO / Index Reversal - High-volume Hammers
Today was pretty epic, I’d say. I shorted COH and USO and went long APD, AMTD, and the SPY. It was a no loss day. I’ll profile only COH, APD, and USO, since they were more significant than the others, which were scalped for a few pennies.
I’m not sure why, but I didn’t focus on my gut too much today. My last scale out in COH told me that I should go with my gut and not leave anything up to chance. For the USO, I covered too early and didn’t follow my usual 50%, 25%, 25% scale out. Instead I went 50%/50% and missed an entire leg down with about 2.5%. Not sure how that happened. APD simply broke above the first 1-min price bars high ($68) and I saw the momentum and acted on it.
For the SPY, DIA, QQQQ, and IWM, the most important things here are price action, the high volume, and the hammer that was created. If this is a legit bounce, which I think it is, then we head up to the 100-day MA for a re-test. If not, we resume our adventure to the 200-day MA.
Thanks, CA. One question. If you use 200 day EMA, Friday S&P already touched it and bounced back, although it’s still 30 points away from the 200 day SMA. Any thought on that? Any preference between SMA and EMA?
awesome man, thanks for doing a post about friday i was really hoping you would.
Large breakaway gap down on APD on giant volume, would you be bearish on it from here?