Swinging $PXP

 

“What’s that?” I said while I hurriedly prepare for work. I was in cash position, avoiding the markets as I have been on emotional excess the past days. Purge ka muna, he gently urged me. But I already did before he said it.

It was only about a day of trading that I missed, however. It is no longer prescribed a need for longer cooling off period, I might be getting better at coping.

He posted another one of his teaser chart that kept ordinary people like me panicking for the best market hunt. It was likened to being given a whiff of a potential good kill, but it was up to us to find it.

to break.png

 

I remember the first time I’ve seen one of those from Zee and of another faceless person’s (Ichi Moku) MisterE stock posts. I would try to find it, but I have no idea where to start at all. Eventually after about 10 charts, I’d give up and start sulking.

The next few days would be phenomenal for the stock and by the time they reveal what it was, it was already too late. Every one is getting ready to leave the party, some are just ganging on the leftover food for baon. The music has stopped.

“That? Ah, that’s PXP.” He replied casually. “Poised to break 52 week high.” Oh, yes. There it was. It was actually named this time but I was in a hurry to get dressed to see.

I did a quick scan on the chart. So, should I trade or should I take a break? I leveled myself– I have work that day. I probably could not monitor but then again, I decided to go for it. I’ll deal with the aftermath later. I placed bids and let it simmer, if it gets hit then I play. If it doesn’t then I don’t.

It got hit.

It wasn’t much but there it was.

I don’t remember telling him I have PXP immediately. I was kind of anticipating a backlash for not thinking it through before jumping in. At the end of the day though, I told him still. Zee was okay with it. Maybe because it was day 1, I bought low, and the breakout was successful.

tumblr_nw8ovkV9Ls1tzl2g8o1_500

Late at night, we talked about it and he told me to ‘Do your trade review.’ What’s the plan? I suppose it was time I take an inventory of what I have and how to play it.

For PXP, I started with the longer time frame, checking every criteria it passed on my list and crossing off those that didn’t. I was already in a trade that my mentor thinks is a good set-up. My only job is to find out why.
The monthly chart gave me nothing but an oversold RSI inching its way up and the candle nearing the 20 sma. Weekly chart, however, was clearer. It shows the candle sitting on top of the 20 and 50 sma. 100 SMA was close by, raring to get hit by Zeus’ Strike. The daily chart was the main reason we were there, aside from the beautiful possibility the long-term charts were saying; After all, ’52 week high is where the hot money is’ and it just broke that. Finally, with the range of volatility it did that day, I decided to check the minutes chart.

The minutes chart was where I’d look for a final confirmation that a big move is bound to happen very, very soon as long as it maintains an uptrend. The minutes chart can answer my question of “How soon?”. Take note though that this is a very sensitive time frame and prone to whiplash.

Meh. We must take a weapon and recognize its power as well as its limitation, then use it to our advantage.

The next day, I couldn’t monitor the market as much as I wanted to. It turned out to work towards my advantage otherwise I would have second-guessed my position. Every time I got the chance to check, I kept telling myself to decide at the end of the day. I have no idea how the minutes chart were starting to look like anyway. It went as low as 2.6 which would have shaken off the weakest holders, but eventually closed at 3.12.

Again that night, Zee asked, “What’s your plan?” I answered ‘trail stops’ and he let me be. That day’s candle ought to have given me enough space to stop-loss with at least a bit of profit.

The next day the stock shot up. I constantly wanted to add more but I wasn’t sure, I also could not monitor anyway. It was a dilemma I had to deal with. I talked to Zee. “Listen, I wanna add. I’ll swing those shares tomorrow.”

“Are you sure?,” He said. “You wouldn’t be able to monitor, right? You’re working.”
“Yeah, I wouldn’t.”

Secretly placed a bid anyway. If it got hit, then I play. If it don’t then I don’t.

 

It didn’t.


 

On March 17, 2016 it performed so well. The price action was so fast in the right direction I couldn’t even keep up. Before lunch break, people had already made monstrous gains and some had sold. I couldn’t watch. I was too busy. I couldn’t make a move. Resistance was just below 5. Do I push it?

But the plan was to use trail stops… So I’m sticking to it.

pxp
sorry it’s tiny 😦

Selling is so much harder than buying. At my worst, I can just buy then watch and react according to my position. Selling is an entirely new part I’m still trying to understand. I guess handling gains is still new to me, and it still makes me emotional. Zee said he was waiting for the end of day to decide even when PXP was already hitting near 5. All I got were contemplative “Hmmm…” messages.

By the time it only hovered at around 4.50s, I asked Zee if he was already selling, “Iwasan ko candle mo please :3 ” but he laughed it off! “Secret! You should know what to do by now.” He’s right, I should.

Weighing my options, I shyly asked for him to send me the minutes chart instead and there he obliged.

Again, I told myself to decide at the end of the day too. End Of Day trading is the holy grail for busy people like me. I’m glad this concept was nailed right from the very beginning. Market noise happens so much in between the market hours, so unless I’m catching a train towards ceiling capacity, I can just make decisions at the end of the day as long as the extremely awful things don’t happen (like a massive selldown).


 

Today looks like the beginning of a correction. How deep can it go? I can’t tell, I just can tell you I have stops and that’s it. I sold half of my position and I’m letting the half stay to ride out the trend. I suppose I’ve learned to hybrid swing and trend following. The past few trades I made were such huge lessons, and I’m trying to apply what I learned. It is in my best hopes that I perform according to what I’ve learned, not according to what I’m scared of.

Why do I insist on swing trading when I’m busy with my day job? Well, because one day, the day job will be gone and all I’ll have is the swing trading.

I better learn to do this now. 🙂

smile

I pray we all recover our losses before this bull run ends.

 

Forever yours,

Celeste

 

One of my old-time favourites. I suppose you know now why, right? For those who took the time to create something to save someone’s life, cheers to you! If you need reasons to believe that there is still some kindness in the world, start it. Smile at someone you walk past the pedestrian lane. I promise it will pass on. Sometimes all you need to do to save a life, is to acknowledge their existence. ‘You are here, I see you.’

Here’s another old-time favourite of mine: Click me for happy vibes! The world is still such a beautiful place to live in, despite everything.

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