A Well Executed Trade

A journal should also help you see what you do well. Not just what you need to work on. If you know what works, you can concentrate on the same kinds of setups

Last month I traded BTU very well and I recorded it in my journal. Here are my notes:

10/8/2009  Showing up in my screens BTU again Coal and steel producers X

10/9/2009: Energy sector is breaking up. BTU has coal and NGas exposure which is also in an uptrend. Just crossed the ATR buy signal and price stays above 50 MA consistently. Bought at 40.11 with a stop at 38.41. Initial target of $45

10/12/2009 Columbus day and a light volume day. A candlestick bearish evening star is forming on BTU after crossing the 41.51 previous resistance level and retreating. There is still 20 minutes left of the market. We might give up some gains in the next few days.

10/13/2009 gaped lower at the open but rebounded nicely. This is a good sign. it bounced off of the ATR sell signal. Very long wicks on these candles. lots of indecision and a good range to trade intraday.

10/16/2009 Moved stop to 39.88 Just incase the stock tanks when they report earnings. I am not sure I will have access to the internet on Monday as I will be away from the desk.

10/20/2009 BTU reached its target and soared on better than expected earnings. This was a well executed trade. Might have been better off letting it run above target. Need to work on that.

I repeated the same kind of trade this month with POT for a nother profitable trade. Always note what has worked well so you can recognize the patterns when they repeat.

Happy Thanksgiving!!