This week I read that most hedge funds make their money by trades within 12 to 24 hours. But with the help of lots of computer data. Not possible for us to reach but a reason why I am looking for possibilities to trade in shorter time frames in addition to my swing trading.
And to read about the implied volatility for options is also very interesting for my stock trading.
So, there are excited times for the markets and same for my education. Do you improve your trading every day?
The big jumps up to the all-time-high
On Monday it wasn’t clear which direction we would move but the contraction of the inside bar showed us that a momentum up or down would follow.
And on Tuesday we saw the big gap up and with the green close, the bulls won.
The close of the two gaps of last week would lead to a down move almost to the support at $325. But because price moved above the overall trend line sideways action is also probable. Both possibilities are within the expected move of next week.
So, I do not expect higher highs because in my opinion it is more likely to get lower prices to close the gap or sideways movement.
One new position and the first options …
After the breakout at around $44 a gap formed at the top and this gap is closed already. So, I got in on Thursday.
With the weak performance on Friday it seems that a much better stop level had been below the 50 EMA. Maybe I will watch the price action when reaching the area of my stop. But on the big picture I am still bullish.
In addition to this new trade I entered a bull put spread on AAPL. I am still learning options but I want to risk some real money to get a deeper understanding of the handling and the change of options price and the greeks.
I will keep you updated.
Same for my futures trading. I got more into important horizontal support and resistance lines and added some more trade ideas to my mind. This week ended positive but I still used my paper account. Next week I will combine some live trades and paper trading.
You know about the reached all-time-high and the new positions
So, there are no new announcements.
I am playing around with automated trading systems – written code that trades without any interaction from me. I am reading a lot about options and futures trading. And my swings are running.
I hope you like your trading and all-time-high is reached for your returns, too! Happy week for you!
