GOOG Inside Week
Last week GOOG had an inside week which means I will be looking for a breakout. A move above last week's high will get me long or a move below last week's low will get me short. The exit is on Friday of the following week. You can read the trading rules in more detail by clicking here.
In the above chart I labeled all of the inside week trades for the past year. I matched the colors for each trade so it will be easier to see each entry and exit. The majority of them have been profitable except for just two trades. The last 3 trades were all posted on this blog ahead of time and they all made money.
I'm sure at some point there will be a losing trade, but as long as this simple breakout method is working, I will continue to trade it.
I do have a bullish bias on GOOG based on the long term cycles and the major trend line GOOG has held on the weekly chart. If we do get a sell short signal, I will trade it with a much smaller position than if we were to get a buy signal. That's how I am going to play this setup.
Posts
![[Most Recent Charts from www.kitco.com]](http://www.kitconet.com/charts/metals/gold/t24_au_en_usoz_4.gif)
![[Most Recent Charts from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/t24_ag_en_usoz_4.gif)
![[Most Recent Exchange Rate from www.kitco.com]](http://www.weblinks247.com/exrate/24hr-euro-small.gif)
4 comments:
Looks like the low is 463 and the high is 473. It closed at 467. When the Doubeclick deal was announced after the market close on Friday, GOOG was down in after hours, and if this holds tomorrow, then you would go short. Again, to clarify, you dont wait for confirmation at the close, I assume. If during the day it goes below $463, then you go short and hold it Friday 4/27. Correct?
Correct...however if GOOG gaps below last week's low, I will not take the trade. I want to see GOOG open within last week's range and then break above or below the high/low from last week.
That's an excellent analysis Kevin. You picks continue to amaze me. Thanks for sharing your views and analysis.
Profitable trading,
OptionPundit
This gap on goog is this just a daytrade or are you planning on staying long for a while ?
Thanks for any comments .
Post a Comment