Watchlist Disclaimer

These are short term plays (probably 3 to 5 day moves). By no means will I trade every stock on the list. When an alert fires I’ll examine the intraday chart to see if there’s still a good entry point. If a stock gaps through my entry I may very well just let if go or follow Rule #1. The same holds true for stocks that run hard at the open. If the market is weak on a certain day, I may ignore any longs that trigger and vice versa.

Long entries are generally when the stock trades above the previous day’s high. My initial protective stop will be either at the current day’s low, the previous day’s low, or some other logical point that’s less than 5% from my entry point. Stops will be raised to lock in profits as the stock moves in my favor. Initial profit target will generally be the next Bollinger Band and/or when the stochastic gives a sell signal.

Short entries are generally when the stock trades below the previous day’s low. My initial protective stop will be either at the current day’s high, the previous day’s high, or some other logical point that’s less than 5% from my entry point. Stops will be lowered to lock in profits as the stock moves in my favor. Initial target will generally be the next Bollinger Band and/or when the stochastic gives a buy signal.

For day trades I basically follow MaoXian’s ‘Trading for Dummies’ style.