Today’s Featured Trade Idea is HSC.

Here are my analysis and a potential trade plan made using our Trader Vision 20/20 software.

HSC has been a Bullish trend since February. In recent months, it has formed a Bullish Inverted Head and Shoulders pattern. As the last part of this, it has now also broken out of a J-hook pattern at the Inv. H&S neckline.

I do recognize that it has been running bullish for 6 days in a row and may need more rest before continuing. So it may not be a Friday trade as much as a soon trade.  I will look for another potential rest day and buy a b/o if it holds the neckline as Support.  The stop is not far below that Support and Targets are at levels where Fib. Ext. align with 5-8day chart S/R levels.

Trader Vision tells us earnings are out of the way and we have over 2mo. until the next round. It also shows us this Chart offers 5 Bullish Conditions and no Bearish conditions, making for a nice long Setup.

TV20/20 also shows us that this Trade Plan can achieve our goals. It gives us a 2.2:1 Reward/Risk at Target #1, 3.1:1 at Target 2 and if we reach the 3rd Target we would end up with a trade that gives us over 3.8:1 ($411.50 / $108). So the plan is solid.

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 HSC Trade Setup – As of 8-23-18

The Trade Plan

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, 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.

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

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

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

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.

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