BUY & SELL Targets 
for Traders with Short-Term Horizon ( 2 to 8 weeks cycle length )  

 
Profitability can be greatly improved by timing your entries and exits along with NDX DON'T OVER-STAY YOUR WELCOME !
 

Ideal Entry point occurs at end of NDX red-day clusters, esp. when RSI < 30 with AD -900

Deploy your cash carefully in accordance with current risk levels  
Observe Prudent Money Management Guidelines

Day-Trading Exit Contingency Plans

  • Top Keltner

  • ATR

  • STO-60

  • 2x AD+900

 

 

  Short Term Phase:
 UP

POSTED FOR TRADING ON
 September 18, 2009 
 (FRIDAY)

 Exit at the beginning of the first down-day if  target not reached

Long Position Deployment 
 Level

30%

Low-Risk Entry
(esp. RSI <30)		 Potential Support
(esp. RSI < 50)		 Possible Resistance Levels
(esp. RSI > 70)		 Maximum Upside 
Next 2 Days
(esp. RSI > 70)		  

 See general strategies at the end of the table. 

Please see end of Table for Color-Coding and Purchases explanations.

Accumulate at or below:

Nibble 
at or below:

Take Profit at or above:

Exit at or above:

Allowance
  Bull ETF's
ATR=1.5 QLD $45.1 $49.1   $51.8 + 0.7
  Bear ETF's
ATR=1 QID $22.6   $24.1 $26 - 0.3
  Market Indices  
ATR=27 NDX (NASDAQ 100) 1613 1684 1730 + 10

 

   Time your entries along with NDX.
Establishing a modest position at the beginning of the 1st up-day after a series of RED-days. 
(Tools such as the Opening-ranges and Pivots can help you to enter at the earliest moment possible, thereby providing a safety cushion.)

Don't  buy aggressively on the 1st DOWN day!

 

 Characteristics of an Uptrend é
There are a maximum number of  2 consecutive Red days or 4 Down days (White/Red  combination), whichever comes first. Please plan your\ Short-term trading Entry Strategy accordingly.

 

 Characteristics of an Downtrend ê
There are a maximum number of  2 consecutive Green days or 4 Up days (Yellow/Green combination), whichever comes first. Please plan your Short-term trading Exit Strategy accordingly.

 

Strategy for nimble traders       in a Sideways Market
Take advantage of major sell-offs to BUY [watch for Red-day clusters].

Take Profits on big rallies [watch for Green-day clusters].

 

 Important Money Management Guidelines
1. Learn to take profits periodically. For example, once every 4 weeks, or QLD having gained more than 20%, whichever comes first. 

2. Don't fall in love with a stock;  fall in love only with profits !
Learn to let a stock go if it starts to under-perform the market. An individual stock may never recover, but the market always will.