CDNA Trade Setup and Plan

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Today’s Featured Trade Idea is CDNA.  There is a lot to like about this stock which has been solidly Bullish, even in the face of an overall Market that has chopped back-and-forth in a range for weeks.

For a more detailed analysis of the ticker, refer to Rick’s Public Stock Trade Idea for today…or, of course, members can listen to his detailed analysis in the trading room at 9:10am Eastern.

However, for now, here is my analysis and a potential trade plan made using our Trader Vision 20/20 software.

The CDNA Trade Setup – As of 5-30-18

 

 

The CDNA Trade Plan

In this trade, note how Trader Vision 20/20 does the work for you analyzing the chart versus good trading rules.  In this case, it tells us we have the Short-Term and Long-Term trends in favor of a Long trade as well as multiple Bullish Patterns in place.  Add to this the fact that the Candles Signal is close to (but not exactly) a Bullish Signal and the relation to Support and potential Resistance and it all comes down to a nice Setup.

Also, note that the trade can reach the Trade Goal by selling only half the position at the first Target.  If that comes to pass, you’d have the chance to keep raising your Stop while letting the Longer-Term Trend work for the second half of your position.  Overall, that leads to a Reward/Risk over 8:1.  That means risking $123 for a chance to make between $742 (if 100% is sold at Target #1) or even $1000 (If half is eventually sold at Target #2).

 

 

Upcoming Workshop:

Trading With Fibonacci Retracements/Extensions

6/7/18 at 8pm Eastern

  • Why do Fib Ratios Work?
  • Why Should You Use Extensions instead of Projections?
  • Answers to Common Problems Using Fibs.
  • Where do you begin and end your drawing?
  • Do we use Bodies or Wicks?
  • Which Ratios should be your focus?
  • How to Identify the major support/resistance Levels with Fibs?
  • How to Find Entries with Fib Retracements?
  • How to Set Targets Using Fib Extensions?

 

[button_2 color=”red” align=”center” href=”https://ob124-cea4cb.pages.infusionsoft.net/” new_window=”Y”]Fibonacci Retracement An Extensions Workshop • Click To Learn More[/button_2]

 

 

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

 

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Investing and Trading involve significant financial risk and is not suitable for everyone. 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.

Ed Carter is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone.

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Political Uncertainty

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Political Uncertainty

Political UncertaintyThe summer market not only has to deal with the political uncertainty of US trade negotiations but now also has to worry about the future of the Euro as Italian uncertainty shakes the market.  With the newly elected officials struggling to form a government Italy may face another election that threatens the stability of the Euro.

All this political uncertainty could make for a challenging summer with prices whipping around in a politically generated storm where the outcome has far-reaching market effects.  Yesterday the faced a triple point gap down and selloff and this morning the futures suggest a triple point gap up at the open.  Plan your risk carefully and prepare for the possibility of more turbulence in the weeks to come.

On the Calendar

The Wednesday Economic Calendar gets going at 8:15 AM with the ADP Employment Report consensus at 187,000 new jobs created in May.  The ADP has been running stronger than actual payrolls.  AT 8:30 AM we have tow potential market-moving reports, GDP & International Trade in Goods.  Forecasters expect the GDP to come in at 2.2 percent with consumer spending up slightly and the GDP index unchanged at 2.0 percent.  International Trade in Goods deficit is expected to widen to a consensus $71.0 billion in April vs. $68.3 in March reading.  The Beige Book at 2:00 PM which comes out 2-week before the FOMC will wrap up the potential market-movers for today.  Other reports today include Mortgage Applications, Corporate Profits, Retail inventories, Redbook, and Farm Prices.  Keep in mind that the Fed will issue a proposal to modify the Volcker Rule which curtailed proprietary trading banks after the financial crisis.

We have 56 companies reporting earnings today to keep traders on their toes.

Action Plan

Political uncertainty in Italy shock the markets on Tuesday sending banking stocks sharply lower with the stability of the Euro in question.  It would wise to expect further shock waves to the market similar to those we experienced just a couple years ago with Greece.  Unless they sort this out quickly, we could face a turbulent summer.

This morning the Dow Futures are pointing to a gap up open of more than 120 points as the market whips around in political winds generated in the US and now across the pond.  The VIX rose sharply yesterday facing uncertainty on multiple fronts.  Plan your risk carefully!

Trade Wisely,

Doug

[button_2 color=”green” align=”center” href=”https://youtu.be/DQkdAe4T8vw”]Morning Market Prep Video[/button_2]

EXAS With An Ascending Triangle

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EXAS With An Ascending Triangle

We are adding a few trade ideas to our watch list. One is EXAS with an ascending triangle pattern. The Inverted Head and Shoulder and the trend have landed EXAS in an Ascending Triangle pattern. Finding support above the 20-SMA and the bullish piercing candle yesterday may be a clue that EXAS may be getting close to a breakout.  Note we are adding this stock to our watchlist only at this time. Without the proper education, there is a high probability you will lose your money.

Jump to the EXAS Trade PLan CLick Here

All Traders Should Have Fibonacci Education

  • Why do Fib Ratios Work?
  • Why Should You Use Extensions instead of Projections?
  • Answers to Common Problems Using Fibs.
  • Where do you begin and end your drawing?
  • Do we use Bodies or Wicks?
  • Which Ratios should be your focus?
  • How to Identify the major support/resistance Levels with Fibs?
  • How to Find Entries with Fib Retracements?
  • How to Set Targets Using Fib Extensions?
[button_2 color=”green” align=”center” href=”https://ob124-cea4cb.pages.infusionsoft.net/” new_window=”Y”]Fib. Workshop June 7th. Are You Ready?[/button_2]

Testimonial

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

SPY

Today is all about the $271.00 (area) resistance and whether or not the buyers can turn it into support. Working with support and resistance lines are very easy, the bull or the bear with can or can not. Yesterday the SPY was pushed down because of news which may or may not be important to the US stock market. Yesterday’s price action closed below the 20-SMA and above the 50-SMA. At the moment the bull is still bigger than the bear, price action today could make the difference.

VXX – The VXX yesterday had a nice bullish day filled with fear but the chart really didn’t get too far. Over $39.90 the market bear will get bigger and the bull will get sheepish.

Rick’s Trade-Ideas Reserved for Members

Monthly • Quarterly • Semi-Annual • Annual

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

To learn more about our trading tools join us in the trading room or consider Private Coaching.

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

 

Investing and Trading involve significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc. or Rick Saddler is to be considered financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

Rick Saddler is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone.

*************************************************************************************

 

 

Bears say, Howdy.

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Bears say, Howdy.

Bears say, HowdyWith everyone was enjoying a long weekend it would appear this morning the bears want to say howdy and mount an offensive.  The normal culprit, US political uncertainty, does not seem to be the cause of the bearish move it seems to stem this morning from our friends across the pond.  European indexes are lower with another extension request on the Brexit as a possible culprit.

Nonetheless, the Futures are pointing to a substantial gap down of more than 150 Dow points breaking below the consolidations support and adding another possible resistance level.  With the DIA and SPY now so close to their 50-day averages a test of this key level now appears more likely.  There is no need to panic, but there is a reason to raise your caution level.  As always stay focused on price action and remain disciplined to your rules rather than letting emotion dictate business decisions.

On the Calendar

Although it’s only a four day work week, the Economic Calendar will be a busy one with a bunch of potential market-moving reports.  Today we get things kicked off at 9:00 AM CoreLogic Case-Shiller as forecasters expect a slight decline to 6.4% vs. the February reading of 6.8%.  At 10:00 AM the Consumer Confidence will remain strong according to forecasters that expect May to come in at 128.1 holding on to this year’s gains.  After that, we have State Street Investor Confidence at 10:00 AM, Dallas Fed Mfg Survey, and 3-bond auctions to round out the calendar day.

On the Earnings Calendar among the 51 companies, a room favorite of late MOMO will report before the bell today.  After the market close, we will hear form HPQ & CRM.

Action Plan

It was not a surprise to see Friday’s price action so anemic and choppy.  Unfortunately, it also gave us no clues the big gap down open we currently see this morning.  Currently, the Dow Futures suggest a gap down of more than 150 points following declines in European markets during the night.  If the bearishness holds through-out the morning the DIA, SPY will gap below last Thursdays low and the consolidations price support.  The IWM is currently indicated to open below the support of the breakout to new highs created on the 16th.

If there is a silver lining this morning, it’s the fact that all the major indexes currently remain above their respective 50-day averages and are at this time still holding onto the up-trend.  With such a violent move at the open, it’s easy to make poor emotionally based snap decisions.  As always watch the price action closely and follow your trading plans.  At this point, a test of the 50-day seems likely; the big question is will this key level hold?

Trade Wisely,

Doug

[button_2 color=”green” align=”center” href=”https://youtu.be/9NNIpsZnnVw”]Morning Market Prep Video[/button_2]

I am Never Under Pressure To Trade

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I am Never Under Pressure To Trade

“I am never under pressure to trade” are good words for a trader to wake up to every morning. Good traders never feel pressured to chase or panic trade, while new and struggle traders night feel differently. Good traders never feel pressure to buy something every day, if they already have already had stocks in there creel they manage them. If they don’t, they wait until weather and temperature are just right, and they use the right bait. There are no trade ideas today because the bad weather has muddied the water, the bait and fish will be too hard to see. Our trading room opens at 8:45 AM – Hope to see you there.

  • Why do Fib Ratios Work?
  • Why Should You Use Extensions instead of Projections?
  • Answers to Common Problems Using Fibs.
  • Where do you begin and end your drawing?
  • Do we use Bodies or Wicks?
  • Which Ratios should be your focus?
  • How to Identify the major support/resistance Levels with Fibs?
  • How to Find Entries with Fib Retracements?
  • How to Set Targets Using Fib Extensions?
[button_2 color=”red” align=”center” href=”https://ob124-cea4cb.pages.infusionsoft.net/” new_window=”Y”]Fibonacci Retracement An Extensions Workshop • Click To Learn More[/button_2]

 

Testimonial

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

SPY

Looking at the pre-market futures, we will open under pressure and below the T-Line today. Fridays close was a little weak with the RED, White and Blue MA’s closing below the 34-EMA on the hourly chart. With today’s weakness, there is a good chance the 50-SMA see’s a little action this week. Looking at the daily chart, the SPY is still painting a Symmetrical triangle which means short-term swings in a sideways direction.

VXX – The VXX will open above the T-Line on the daily chart, over $38.10 will indicate the fear is growing.

Rick’s Trade-Ideas Reserved for Members

Monthly • Quarterly • Semi-Annual • Annual

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

To learn more about our trading tools join us in the trading room or consider Private Coaching.

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

 

Investing and Trading involve significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc. or Rick Saddler is to be considered financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

Rick Saddler is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone.

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Stand For Our Flag

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Stand For Our Flag

Stand for the flag and put your hand over your heart. We would like to wish everyone a safe holiday and please remember those that have made our country the safest and free’est in the world. The freedom we enjoy has come at a pice, don’t be sad, walk tall and stand proudly with the men and women who served our military.

Trading Proof

Thank you to everyone that was at the webinar yesterday allowing me to share my 2018 project “Road Map To Wealth.”

SPY Market

For the past eight days or so the candles turn has been forming what we call a pop out of the box if you talk a look at the three-day chart you can see it. Typically this pattern is a clue to a bullish move. Buying in the box is skeptical, but the breakout of the box is the trigger that the bulls are taking the next step to a run. The Red, White, and Blue are are in a bullish direction, the price is above the V-Stop and all nine days have closed above the T-Line.

Fibonacci Retracement Workshop June 7, 2018, Why Fibs Work • Where do I begin • Bodies or Wicks • Which Ratios • Find Targets

[button_2 color=”red” align=”center” href=”https://ob124-cea4cb.pages.infusionsoft.net/” new_window=”Y”]Fibonacci Workshop • Why Fibs Work • Where Do You Begin • Which Ratios[/button_2]

Testimonial

In the past eight months, I have been a fortunate member of Hit and Run Candlesticks Right Way Options. The education on a day-to-day basis is both informative and fun. The E-learning further cements the learning experience along with the educational archives and methodology. If you enjoy working with other members to solve mutual options strategies engagingly with a sense of purpose, then this membership can be yours. –Jerry Hefner

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

 

Investing and Trading involve significant financial risk and is not suitable for everyone. No communication from Hit and Run Candlesticks Inc. is financial or trading advice. All information is intended for Educational Purposes Only. Terms of Service.

Rick Saddler is not a licensed financial adviser nor does he offer trade recommendations or advice to anyone except for the trading desk of Hit and Run Candlesticks Inc.

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