Mean reversion trades

I have been patiently waiting for some mean reversion trades as I missed getting short earlier. These kinds of trades relay on oversold conditions and where the ideal entry is at a price level where there was some prior history of demand.
Today I started a long position for a swing trade on ANDE I entered at $40.16 and I have a stop around $39.50.
It is some times scary to enter counter trend trades, but these are very short term trades. I plan to exit the position tomorrow hopefully around $43. I am also putting up the same chart with Bollinger bands which are helpful in this kind of choppy market.

About Stock Trade Journal

The information in this blog is not investment advice. Please consult a financial advisor before investing. I have been trading stock since the 1990's and survived the .com crash. I am developing software applications to help me trade better and now I am making them available to help other traders. This blog is also a way to share my experiences and observations in the market.
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