T2W Trading Community

In the business of intra – day trading you take the profits the market offers you. After all, having banked your money, you can always re-enter if further conditions present themselves. I like to think of it as eating in a tapas bar. You might end up having a very substantial meal of one dish, but often you will enjoy several smaller ones.

Here is a screen shot of my point of exit:

(click to enlarge)

This was a profit of 32c in 23 minutes. A nice gentle, relaxing trade. For someone trading 2000 shares that is a profit of $640.

So, as a matter of interest, what happened afterwards?

As I said, that doesn’t really matter as the profit had been taken and another trade initiated had there been another set up and trigger. As it happened, I caught the very high of the whole day’s trading and it weakened afterwards as shown in the following full day chart.

(click to enlarge)

For me the stock selection comes first, then the set up with the accompanying understanding and reading of market action, then the trigger of micro-analysis. When the reasons for being in the trade no longer exist or there is pressure in the opposite direction to my trade, then it is time to lock in profits and move on to the next trade in that or another stock..