Bullish Constructed Double Bottom RBB Setup

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Bullish Constructed Double Bottom RBB Setup

What do you get when you have a bullish constructed double bottom, a price action breakout of the 50-SMA on better than average volume followed by supported consolidation and a Bullish Morning Star? When the 200-SMA is the target direction, you have an (RBB) Rounded Bottom Breakout. COLL is set up as an (RBB) trade with the max target being 23%. The (RBB) set up is one of my favorite strategies and is a great risk/reward trade.

The Road to Wealth Update

As of the close 10/16/18, the account is on track with a 360% YTD. One of the strategies I use is the (RBB) Rounded Bottom Breakout. Tonight 10/17/18 I will be presenting a workshop on the (RBB) Rounded Bottom Breakout. To read more about it and Super Bonus Click Here. What would 360% do for you?

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Past performance is not indicative of future returns

Good Trading, Rick, and Trading Team

____________________________________________________________

SPY • SP-500

The SPY is trying to build a bounce trade off the daily 200-SMA and the weekly 50-SMA. Yesterday the buyers came to town looking for a fight, they got it and won. Price closing over the Dotted Deuce yeast was impressive and positive but did not fixe the chart to be crazy bullish. I do see a Low and a high; now we need a test for a higher low and breakout of the high then we would have a tradable bottom in the SPY.

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****VXX – The VXX chart is currently being rejected by the 200-SMA, this very normal in this type of chart pattern.

Focus Trading Education

Candlesticks • Price Action • T-Line • T-Line Bands • Support • Resistance • Trend • Trendlines • Chart Patterns • Buy Box • Volatility Stops • Profit Zones • Entry Zones • Protective Stops • RBB Rounded Bottom Breakout Strategy • Pop Out of The Box Strategy • Pinball Strategy • Trade Planning, Fibonacci, Stoch/RSI

Testimonial

This is not your usual service that sends out a ton of stock recommendations, and then cherry picks the winners to show you how great they are. Hit and Run Candlesticks and Right Way Options are truly educational services. They taught me how to trade not what to trade. The entire team: Rick, Doug, Steve, and Ed are there to help and answer your questions. They are awesome. They cut years off my learning curve. And it’s a team effort. Everyone in the room (all the members) are there to help with invaluable insights and advice. The only service you will ever need. Thanks to all the team for how you have helped me and for all you do. –Jonathan Bolnick

Rare to have a service teach you how they find their choices but, HRC/RWO teach you how to fish instead of fishing for you. And, your ideas are not panned but shared, implemented, or improved. Sharing is caring. –Thomas Bradly

 

 

Past performance is not indicative of future returns

Investing and Trading involve significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, Right Way Option, Trader Vision 2020, Top Gun Futures or Rick Saddler, Doug Campbell, Ed Carter, Steve Risner is to be considered financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

Rick Saddler, Doug Campbell, Ed Carter, Steve Risner is not a licensed financial adviser nor do they offer trade recommendations or advice to anyone.

 

 

Market gaps and overnight reversals

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Market gaps and overnight reversals

Market gaps and overnight reversalsMarket gaps and overnight reversalsMarket gaps and overnight reversalsMarket gaps and overnight reversalsWith the ramp of 4th quarter earnings season coupled with high volatility of the recent selloff, expect daily market gaps and possible overnight reversals to make swing trading very challenging over the coming weeks.  Fast morning price action with whipped up emotion as result roll-out will likely produce a lot of head fakes whipsaws in the intra-day price action.

Avoid gambling and be very picky about the trade setups you take during this period.  Always check current holdings and stocks your interesting in purchasing against upcoming earnings reports.  Plan trades carefully that always include an exit plan if your wrong to avoid emotional decision making in the heat to the moment.  Consider reducing position sizes as a method of controlling risk during just high volatility events and be willing to scale out of positions or take profits sooner amidst wild price action.  If I stock happens to gaps in your favor, remember that gaps are gifts, take and be grateful for what the market has given you.

On the Calendar

The Tuesday Economic Calendar begins at 8:55 AM with the Redbook Report.  The most likely market-moving report of the day is Industrial Production at 9:15 AM which expects a 0.2 gain with manufacturing also up 0.2 percent.  The Housing Market Index and the JOLTS report are both at 10:00 AM.  Housing according to consensus is expected to remain flat with a reading of 67 while forecasters see job openings in the JOLTS report holding steady at 6.905 in August.  We have two-Bond Auctions at 11:30 AM with the Treasury International Capital report at 4:00 PM.

On the Earnings Calendar with 4th quarter earnings ramping up, we have several notable today.  Before the bell, BLK, JNJ, GS, MS, PGR & UNH are among those reporting.  After the bell, CSX, IBM, LRCX, NFLX, & UAL are some of the big names reporting.

Action Plan

Following a day of disappointingly choppy price action where the Dow lost 89 points the early morning futures are suggesting a substantial gap up at the open.  As frustrating as it is to be getting overnight gap reversals I think we had better try to get used to it as we enter the ramp up to 4th quarter earnings season.  Asian markets were mixed but mostly higher overnight while European markets are modestly higher this morning.

Expect volatility to remain high and always be careful not to chase morning gaps.  As I mentioned yesterday, the market internals suggests a bounce or reversion to the mean after such a sharp selloff.  I think the most telling of earnings reports today will be when NFLX releases its numbers after the bell today.  The beleaguered Tech Sector could sure use a win, but there is a significant concern that the so-called FANG stocks may see troubled waters ahead.  Let’s hope the fears are unfounded because of a poor report from NFLX could add insult to injury in the techs.

Trade Wisely,

Doug

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JNUG Setup and Trade Plan

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Today’s Featured Trade Idea is JNUG.

Members can join us in Trading Room #1 as Rick reviews this setup and other Trade-Ideas at 9:10am Eastern.  For now, here are my own analysis and a potential trade plan made using our Trader Vision 20/20 software.

Note: Beware the overall market indecision. Mixed trends (short and long term) and very volatile action (many “gap and fade” as well as intra-day reversals) make this a treacherous market.

JNUG has recently stopped it’s long-term downtrend and formed a bottom. In fact, you can see an inverted Head and Shoulders pattern bottom. Last week it also broke into a Rounded Bottom Breakout (RBB) pattern. Finally, on Friday it formed a Doji Continuation Signal setup. So I will be looking for follow-thru to complete that signal.

It must be said, this is a very risky market to be trading. The overall market is very over-extended to the downside. However it is also very volatile. (In this case, we can see the Volatility Stop indicator dots and how far they are from price now.) These are both warnings to avoid trading unless you are very quick, very diligent and experienced. Frankly I will likely sit this day out until a better market trend emerges.

That said, in this setup I will look for a breakout Entry a tight Stop (too tight?) and a Target set off a Weekly chart.

This would lay out as a better trade if we could use the 2nd s/R level above as Target. My fear of doing so comes from Junior Miners beginning to report in the next 8-10 days.

Trader Vision shows us that as an JNUG has no earnings report to worry about. However, as an ETF, it’s underlying stocks will report and this could cause trouble in the next 10 days. It also tells us that this is a very dicey market to be trading. JNUG shows 3 Bullish and 3 Bearish conditions and no signal. However, it is set up for a potential signal and is working on a RBB pattern. The real concern is shown in a red box. Both the market and the ticker are in short-term trends that counter their long-term trends. This is indecision.

TV20/20 tells us that even though we tightened the Stop, we cannot achieve our Trade Goal with this plan. However, we can achieve a greater than 2:1 Reward/Risk. Bear in mind that this may be false comfort as the more volatile chart of recent days mean a higher probability of Stop-out.

Having this knowledge before a trade is even entered makes it much easier to control emotions and maintain discipline.

Below is my markup of the chart and the trade plan as laid out by Trader Vision 20/20.  As a bonus, if you click the green button below, you’ll be able to watch a video of the chart markup and trade planning process.

The JNUG Trade Setup – As of 10-12-18

JNUG Chart Setup as of 10-12-18

The Trade Plan

JNUG Trade Plan for 10-15-18

Note how Trader Vision 20/20 does so much of the work for you.  Knowing the ratio of Bullish Conditions to Bearish ones as well as the overall risk of the position size, the risk to Stop out and the Reward possible at each Target price can help a great deal with controlling our emotions.  Knowing the dollar impact of every scenario ahead of time, allows us to make calm decisions during the trade.  It really takes the pressure off.  No guesswork.  No surprises.  No emotional roller coaster.

To see a short video of this trade’s chart markup and trade planning, click the button below.

 

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Put the power to Trader Vision 20/20 to work for you…

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Testimonial

Trader Vision immediately simplified the process…immediately it provided that information and guidance to me. I knew what I would risk for how much reward, I began taking trades off at the 1st target, 2nd target, I was no longer holding all my trades for the homerun. I also began implementing the stop losses if and when they were reached, not just hoping the stock would recover.  It then became easier to see what patterns were working for me and which were not.  It provided a much more relaxed and stress-free environment. –Joan G

 

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Investing and Trading involve significant financial risk and are not suitable for everyone. Ed Carter is not a licensed financial adviser nor does he offer trade recommendations or investment advice to anyone. No communication from Hit and Run Candlesticks Inc. is to be considered financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

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Predictions

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Predictions

PredictionsI always find it amazing how a market selloff brings out a litany of talking heads with predictions of new highs or outlooks of gloom and doom as if they have the power to see the future.  It’s honestly laughable because most of them are just talking up their positions.  I submit to you that listening to all that noise is unproductive and very likely damaging to your trading success.

No one cares about your money more than you.  The talking heads care only about their money just like you and me.  The truth is they are working to take our money from us just as much as we want to take money from them!  It may sound harsh, but that’s the truth about the market.  Let them blather on making ridiculous predictions but don’t waste your time.  Learn to read price action, step up and make your own decisions and hold you’re accountable for the results.  That is now and has always been, the path to success.  Let’s turn off the noise, dump the predictions, roll up your sleeves and get to work.

On the Calendar

The Retail Sales report gets the new trading week started at 8:30 AM Eastern and is the most likely market-moving event on the Economic Calendar.  Consensus estimates expect a bounce back in September with a 0.6 percent increase with ex-autos up only 0.4 percent.  Also at 8:30 AM is the Empire State Mfg. The survey which expects steady and growth with a reading of 19.3 in October vs. 10.0 in September.  10:00 AM brings the Business Inventories report which consensus sees a 0.5 increase for August.  After that, we have two Bill Announcements at 11:00 AM and two Bill Auctions at 11:30 AM to wrap up the calendar day.

On the Earnings Calendar, we have 22 companies reporting results as the 4th quarter earnings season ramps up.  Most notable before the bell are BAC and SCHW.  After the bell, look for JBHT as the most notable of the afternoon.

Action Plan

Those picking up positions as the market rallied into the close on Friday are likely a little disappointed this morning seeing the Futures once again under pressure.  Asian markets all closed down about 1.5% overnight while European markets are currently printing mixed results.  US Futures have recovered some of the overnight lows but as I write this currently point to 100 point gap down at the open.

T2108 and T2122 suggest a short-term oversold condition so keep eyes on price action looking for clues of a rally and a reversion to the mean.  Please understand this in no way means a rally will happen today so don’t rush in anticipation.  Wait for price action clues!  Remember volatility is likely to remain very high which means we need to prepare for head fakes, whipsaws, and fast price action which could make any rally challenging to enter.

Trade Wisely,

Doug

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Support Gap Bullish Doji Continuation RBB Pattern

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Support Gap Bullish Doji Continuation RBB Pattern

Trade of the day JNUG. On the daily chart, I see support followed by a gap over the 50-SMA and bullish Doji Continuation pattern that is now an (RBB) Rounded Bottom Breakout strategy. With bullish trading above the recent closes, I will be looking for a challenge of the Dotted Duece, about 24% away. With a successful challenge of the Dotted Deuce then the 200-SMA will be ready for the price challenge.

Knowing how to find and trade the RBB’s is a huge tool in my toolbox, and I think it should be in your toolbox as well…Why? Because it works! In this workshop you will recieve my order tickes for all trades FREE for 30-Days. We will also have a priviate (No Charge Workshop) right after November 1.

[button_2 color=”red” align=”center” href=”https://ob124-cb6085.pages.infusionsoft.net/” new_window=”Y”]RBB Workshop • Live Trade Tickets • Free Follow up Workshop[/button_2]

I assume you know about the “Trading For Wealth” As of Friday’s close the account is up 360% this year. We have gone from $5,100.00 to $23.259.00

Past performance is not indicative of future returns

Good Trading, Rick, and Trading Team

____________________________________________________________

SPY • SP-500

The SPY is hanging onto the 200-SMA for dear life, below $270.30 and the 200-SMA will be the next target move. Above $277.00 the next target move would be $281.60. The buyers took a huge hit last week, and it will take time and maneuvering for them to shed the bruises. Trading the next few days will likely be in a haze and a bit foggy. Translates to be careful, a few things I do in times like this is trade less, lower my position amount and don’t try so hard. (Remember don’t try to push string).

I assume you know about the “Trading For Wealth” Account if you can find it HERE. As of yesterdays close the account is up 364% this year. We have gone from $5,100.00 to $23.783.00

Subscription Plans • Private 2-Hour Coaching

****VXX – Watch lor consoladation and maybe a setup for a new trade.

Focus Trading Education

Candlesticks • Price Action • T-Line • T-Line Bands • Support • Resistance • Trend • Trendlines • Chart Patterns • Buy Box • Volatility Stops • Profit Zones • Entry Zones • Protective Stops • RBB Rounded Bottom Breakout Strategy • Pop Out of The Box Strategy • Pinball Strategy • Trade Planning, Fibonacci, Stoch/RSI

Testimonial

This is not your usual service that sends out a ton of stock recommendations, and then cherry picks the winners to show you how great they are. Hit and Run Candlesticks and Right Way Options are truly educational services. They taught me how to trade not what to trade. The entire team: Rick, Doug, Steve, and Ed are there to help and answer your questions. They are awesome. They cut years off my learning curve. And it’s a team effort. Everyone in the room (all the members) are there to help with invaluable insights and advice. The only service you will ever need. Thanks to all the team for how you have helped me and for all you do. –Jonathan Bolnick

Rare to have a service teach you how they find their choices but, HRC/RWO teach you how to fish instead of fishing for you. And, your ideas are not panned but shared, implemented, or improved. Sharing is caring. –Thomas Bradly

 

 

Past performance is not indicative of future returns

Investing and Trading involve significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc, Right Way Option, Trader Vision 2020, Top Gun Futures or Rick Saddler, Doug Campbell, Ed Carter, Steve Risner is to be considered financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

Rick Saddler, Doug Campbell, Ed Carter, Steve Risner is not a licensed financial adviser nor do they offer trade recommendations or advice to anyone.

 

 

Trading Heikin-Ashi Candles- Great Trends, Less Noise

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[img_text_aside style=”1″ image=”https://hitandruncandlesticks.com/wp-content/uploads/2018/10/Heikin-Ashi-Thumbnail.png” image_alignment=”right” headline=”” alignment=”center”]In this E-Learning session, I show you how trading Heikin-Ashi Candles can help traders achieve better results while at the same time feeling more comfortable in the position.

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Overnight Bounce

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Overnight Bounce

Overnight BounceThe wild ride continues with futures indicating a huge overnight bounce off of yesterday closing low.  Also, huge in the hearts and minds of trader will be the Fear-Of-Missing-Out and the desire to revenge trade to get their money back.  Unfortunately, with the Dow indicating a bounce well over 300 points at the open you will have to have an iron constitution willing to chase into a market likely to whip violently.

The market will recover but it will likely weeks if not months to repair the technical damage this selloff created.  Just study the February selloff as an example.  While it’s true, there are bargain prices; you will have to earn them only if you have the willingness to hold the position though substantial whip.  Fourth-quarter earnings will also add a complication to this process so carefully plan your risk as we head into the weekend.

On the Calendar

Import/Export Prices top the Economic Calendar this Friday at 8:30 AM Eastern.  Consensus expects import prices by 0.2 percent while export prices rise 0.3 percent in September.  Consumer Sentiment is expected to ease slightly in September to 99.5 according to consensus estimates.  We have three Fed speakers today with Evans @ 9:30 AM, Bostic @ 12:30 AM, and Quartes @ 10:30 PM.  Also, we have Baker-Hughes Rig Count at 1:00 PM, but it’s unlikely to move the market.

Fourth Quarter earnings officially get started today. Among the eleven companies reporting today the most notable are C, JPM, PMC, FRC, and WFC which all report before the bell.

Action Plan

After another day of heavy selling, the Futures are pointing to a substantial gap up this morning following rallies in both Asian and European markets.  Part of the inspiration is coming from the new that the US and China are once again setting down at the trade negotiations table.  Let’s hope we see some progress this time!  Keep in mind the preliminary futures could move around significantly this morning as several of the big banks report before the bell.

With such a huge gap at the open, it may, unfortunately, be very difficult to profit unless you were a buyer at the close yesterday.  Remember volatility is likely to remain very high so expect some very whippy price action.  Entering this morning will not be for the faint of heart.  Plan that you will likely have to be willing to sit through some rough price action and deep whipsaws.  However, if you have the stomach for an intense roller-coaster ride, there may be some opportunities to pick up great stock at bargain prices as we bounce from such and extreme short-term oversold condition.  Carefully plan how much risk you are willing to hold through the weekend.

Trade Wisely,

Doug

 

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