With today's big market advance the short-term model has become overbought. The current price of SSO is 32.66 down from 35 and change at entry. So this was by far the worst trade since I have posted trades starting in April. There was massive intra-trade volatility and a significant loss though it pales in comparison to recent gains on other trades.
I think that it is likely that holding this trade will lead to further gains ove the next couple weeks, but to do that I would absolutely put a stop loss somewhere a few cents below Friday's low in case this vertical decline is not done yet.
If the short-term model becomes oversold in the next couple weeks while maintaining a price comfortably higher than Friday's close, then I will be likely to suggest a new trade at that point.
Pete
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