Get started

Beginner

Counter Trend Long (Bullish) Trade Setup for Coca-Cola NYSE:KO Coca-Cola has been on a bearish trend since March April, though has had some short term bullish runs of a few dollars during that stretch. We are going to attempt to pick up some returns with a short term trade that will ride this cycle of ups and downs during a bearish trend. Before getting into the trade setup, let's look at what the chart tells us mentally decide to get into the trade. What's been going on the last few weeks: This trade is setup on the one hour chart, but going up to a higher time frame chart provides some supporting information. If we go up to the daily or weekly level, we find a major structure level around 44.24. This support level has been relative since 2013. It was most recently tested at market open on April 21. The market has regularly tested this support level and is the one we are hoping holds strong for this trade as well. From April 21 to May 1, KO had a nice bullish run going from 44.24 to On May 4, KO hit a recent low-low around 44.68, but quickly rebounded to 47.84. After the double top, sellers won out and the price continued downward to 44.68 and rebound slightly into consolidation to 46.08 and closed May 5 down at 45.41. The trade: We are expecting or hoping for shares of Coca-Cola to come on down and retest the previous low of 44.24. This is the price where we will enter the trade. We are expect or hoping for the price to rise, so we will set a stop limit at a price lower than our entry price. We've created a kill zone, by looking left on this chart and higher time frame charts to see where structure is sustained. If the market price reaches the lower end of the kill zone, we believe the price of Coca-Cola will continue bearish and we will exit the trade. In this case, we've setup the stop limit at 43.95, just outside the kill zone to give the market to continue down after our entry price. We must be prepared to accept this loss if it occurs. 44.24 - 43.95 = .029 per share as a guaranteed minimum loss if this occurs (could be more depending on where the limit order is filled by your broker). We will set to limit targets on this trade - these are points where we will cash out our profits and exit the trade. Target 1 will be set at the previous level of consolidated structure - on this chart, we've determined that is around 46.08. When the market reaches this point we will sell 50% of the shares that were bought. Target 1 is setup on a 1.92 risk-reward ratio. Our potential profit is calculated as 46.08-43.95 = 1.40 per share. When Target 1 is met, we will roll our stops to the entry price or setup a rolling stop. Target 2 we've set at a higher previous structure level. In the case Coca-Cola gets a nice bullish run, we would like to take advantage of it. We will set Target 2 at the hourly close (near the double top) at 47.66. Once target 1 is achieved and the stops are rolled up, this is now a risk free trade with the potential of even more gains. Target 2 is setup on a 4.08 risk-reward ratio. Gains would be 47.66 - 44.68 = 2.98 per share. General Comment I'll be entering this trade in the trading view papermoney trader. Play along, let's see where this one plays out. All this is my first public idea, please let me know what you think. What do you think Coca-Cola stock will do? Disclaimer: I am not a You must be aware of the risks and be willing to accept them in order to invest in the Stock, Futures, Foreign Exchange and options markets. Don't trade with money you can't afford to lose. This website, product contents, and materials are neither a solicitation nor an offer to Buy/Sell futures or options. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on our website or in any materials. The past performance of any trading system or methodology is not necessarily indicative of future results. Substantial risk is involved. Stock trading has large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in these markets. AS A MATTER OF CONVENIENCE, NOTHING CONTAINED IN THIS ARTICLE CONSTITUTES A SOLICITATION, RECOMMENDATION, PROMOTION, ENDORSEMENT, OR OFFER BY THE AUTHOR, OF ANY PARTICULAR SECURITY, TRANSACTION, OR INVESTMENT. RESULTS VARY AND PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RETURNS.
NYSE:KOLong
by cwfeldhaus
ETHUSD Topping out? Time to Dive? BTC price dependent?ETHUSD price has rejected off the supply zone giving the first indication a correction could be upon us. I'm waiting for the break of the raising wedge before entering a short position. The conservative option would be to wait for price to break down and create a lower low before contemplating a short position. Thanks for a having a look at my analysis, all feedback is welcome. Would love to hear from you and your ideas particularly if you are seeing a long opportunity. Give me a follow and a like, to keep seeing similar charts. Thanks again
BITMEX:ETHUSD.PShort
by CoinProfiteer
13
My 1st publish... Looking for feedbackI am brand new to charting and trying to learn T.A.... I am asking for advice on if my ideas are even close to what others are thinking. I have used the fib tool and this pullback on the daily is sitting perfectly on the 236. I have an ascending wedge, that hopefully we can break out to the upside in the next few days. I believe with the ascending triangle and descending volume, this would technically be bearish, but that's not how I think. I am a long term holder so I don't trade on leverage, but if I did, I would probably go long with a close stop loss. Any feedback would be greatly appreciated. I am a beginner so please be gentle lol
COINBASE:BTCUSD
by Tinyuniverse31
15
My first prediction that will be tested in a demo account Eyes need to start at the very top then work way all the way down and will see downward trend clearly. From there I want to understand recent resistance lines where I have running east to west about an inch long. The latest candle in my sight looks already like a confirmation downtrend on the 4H chart a good distance from the last resistance cluster. More predictions coming right away Like for more predictions. Will use this in my demo account when market opens and transition into a live account after confirmed with broker and verified for deposit .
Short
by armyhill