Sub 10c medium term trading strategy

[pavilion103]

Another couple of interesting ones are DML and TCN. No setup for them but both fall into the 10c category and have had some recent volume appearing.

 

[fiftyeight]

They look like tradeguider charts, are you using only VSA to find and manage these setups?

 

[pavilion103]

They look like tradeguider charts, are you using only VSA to find and manage these setups?

I do incorporate VSA but that can be done with any chart. Visually, I prefer Tradeguider. Finding these setups doesn't involve VSA per se. I do look for a big increase in volume though

 

[Shaker]

Nice thread Pav

SDL did travel well today hitting .13c late in the day.
Do you scan for sub 10c stock with volume then eyeball for your watchlist?

Shaker

 

[pavilion103]

Nice thread Pav SDL did travel well today hitting .13c late in the day. Do you scan for sub 10c stock with volume then eyeball for your watchlist? Shaker

Yeh I'm daily scanning and adding to the watchlist. Basically looking for high volume, as you said.

I might go into my setups in detail at some point. A few basic principles that I've developed that seem to go well.

I take setups for these in a different way than I take the 11c-$1 stocks.

 

[kid hustlr]

Pav, perhaps I missed it but could you go into a little more detail about your exit strategy/stop management.

My understanding is you are going to try to move the stop to b/e quite quickly in order to eliminate risk, yet would I be correct in saying that if one of these happens to go your way you will trail the stop quite loosely in order to give it plenty of room for the big home run?

SDL is a good example, obviously quite a bearish day today, were you stopped out or are you still in this trade?

 

[pavilion103]

SETUP



- - - Updated - - -

Pav, perhaps I missed it but could you go into a little more detail about your exit strategy/stop management.

My understanding is you are going to try to move the stop to b/e quite quickly in order to eliminate risk, yet would I be correct in saying that if one of these happens to go your way you will trail the stop quite loosely in order to give it plenty of room for the big home run?

SDL is a good example, obviously quite a bearish day today, were you stopped out or are you still in this trade?

I'll post up all my trailing stops so SDL definitely still in.

Exactly correct. I will be moving to BE quickly and then trailing loosely, hoping to give it room to have a big move!

 

[pavilion103]

SETUP

 

[pavilion103]

SETUP

 

[burglar]

... I do look for a big increase in volume though

Some of these companies have billions of shares on issue.
So how do you (or program) decide the volume is high?

 

[pavilion103]

Some of these companies have billions of shares on issue. So how do you (or program) decide the volume is high?

Mainly working with relatively high volume over an extended period

 

[burglar]

Mainly working with relatively high volume over an extended period

Ah, yes! I see now you have some sort of Moving Average line in the Volume part of the chart.

 

[pavilion103]

Ah, yes! I see now you have some sort of Moving Average line in the Volume part of the chart.

I don't really pay much attention to that though. It's more a matter of eyeballing it. If it stands out like the proverbial than I'll look at the stock in more detail and see if it's suitable

 

[CanOz]

This is an off topic post...

Love the avatar!

 

[pavilion103]

This is an off topic post... Love the avatar!

Haha thanks. It's an app called Bitstrips. You can make one of yourself, put yourself in comics. If you have friends who have made one too you can put them in the comics with you. It's hilarious!

 

[CanOz]

Hehe. Thanks for that Pav, it was a nice diversion this morning.

 

[pavilion103]

Hehe. Thanks for that Pav, it was a nice diversion this morning.

Awesome

 

[pavilion103]

SETUP

 

[pavilion103]

A couple of the entries and exits have been changed based on today's trading.

SETUP 4 - buy 0.092, sell 0.076
SETUP 6 - buy 0.041, sell 0.024

- - - Updated - - -

I also just want to reiterate that I am far from an expert with this sort of trading strategy and I am just as curious about the results as others are.

I am open to discussing any opinions, objections and anything else people have in regards to this approach.

 

[skyQuake]

A couple of the entries and exits have been changed based on today's trading.

SETUP 4 - buy 0.092, sell 0.076
SETUP 6 - buy 0.041, sell 0.024

- - - Updated - - -

I also just want to reiterate that I am far from an expert with this sort of trading strategy and I am just as curious about the results as others are.

I am open to discussing any opinions, objections and anything else people have in regards to this approach.

Hey Pav, with say setup no.6, have you considered buying support at 2.5, and setting stop a few ticks away?
Or are you only interested in buying the breakouts?