Hey, what’s up guys? Well, I’m ending the day nicely in the green and you know what they say, 3K a day keeps the job away. And we had a really solid morning of trading here, on a short sided trade right out of the open, for a really solid win. So let’s take a few minutes and break it down in today’s recap.
All right, good afternoon guys. Another solid day here. This morning on BBY. We had a good short trade on this right out of the gates, and I was able to get a little bit of continuation, not the full move I was looking for, again, but enough to allow us to lock in a very solid day of trading, especially within the first 15 to 20 minutes of the day, which is always … it’s always nice to be done that quick. So BBY, again set up pretty nicely for us. We didn’t get to continuation because the spy reversed, but that’s okay. As long as you’re quick, and you take these quick moves, with a little bit more size, because you’re confident in the type of move that it can make with the technicals, then you can capitalize on them. So let’s take a few minutes and we’ll break down BBY, and the trade that I took.
All right, so BBY, the first thing we noticed on this this morning, it’s gapping well below its major moving averages. That’s always something that is important, because that tells us that the stock is exhibiting weakness, right? So the fact that we’re below the 200-day moving average, we also have a trendline that comes into play, an ascending support line, and that’s where we got short, just below that, as we started to come down below that level, and we caught this move to the downside, through $60 … around $62s.
All right, so looking at the daily on this, you’ll see that this is the recent ascending support trend line that we have. And we also have the moving averages that are grouped somewhat in close proximity. And then this pivot down below that falls at $61.40, because of the fact that this was a former gap, right? Former gap entry here, and the price action came back to retest that and held, and then ran to new relative highs over here. So nice little window that we were focusing on, on BBY to see if we could get this trendline to break, and then continue down towards this. And then if that broke, you really started opening up into a nice window below that.
All right, so back to the five minute. What I wanted to see on this was a move away from that 200-day, and as we started pulling away from that, I wanted to get short as we broke the trend line, and try to get the move started down to at least at $61.40 pivot, all right? So looking at a fast timeframe, we’ll just walk through exactly what we had there for the entry. Now this stock definitely was a little bit difficult to get started. It had some really wild volatile price action, kind of spready and inconsistent, and that always makes it a little bit more difficult to get a trade started, especially with a little bit of size to make a nice trade.
But anyway, we saw this hard move down, got below the trendline line once, bounced, then we started to get below a second time. We started to get a couple of retests here, and this is where I got short, right around $64, and we started to sell right away. So short $64, as we started to confirm below the trend line, and got this move here, covered some $63.40, $63.30s, more through $63, more at $62.70s. And as we started to get this little bit of a double bottom in through here, and start to round back out, I covered the rest as we were coming back to $63.
So I essentially got a point out of it. I didn’t have really that much size on it because I was a little bit leery of the price action, and also the fact that the spy was against us. I’m always a little bit more conservative when I have a spy aga