19/06/15 – HME NYSE – The Wave 4 profit taking pull back for this stock has found support at the previous gap up price during the Wave 3 movement. It is this gap up that has made the PTI just below my desired 35, but these algorithmic indicators do suffer slightly when such a large gap appears, as in this case the PTI compares the price action during wave 3 to that of wave 4. There are currently 6/9 of my trade setup indicators in the green and with the 6/4 MA High having to be crossed before entry, there will be 7/9 on trigger. The strong positive move in yesterdays session failed to close above the 6/4 MA high and its high failed to break out above the critical $74.00 price. I have opted for conservative entry @ 74.26 with the Stop Loss @ 71.78 and the initial take profit limit order @ 80.00, giving a Risk to reward profile over 1:2. It is also worth noting that the MACD Histogram profile is tending towards zero and the Signal lines are due to cross. Charts as Below for the setup of this potential long position on HME NYSE.
23/06/15 – HME NYSE – I cancelled this Stop Buy order prior to the open yesterday as the price was going to gap up according to pre-market action. The price did in fact gap up to 74.75 and then tried to close the gap. Once the price had found support at the $74.00 price I put my original order back on and entered the trade @ 74.26 during the later half of yesterday’s session. The price closed below my open price but just above yesterday’s support level at 74.01. I am looking for the price to consolidate above the entry price this week. Chart as Below.
24/08/15 – HME NYSE – This trade has been open now for two months and although just above break even it is going no where fast , especially with this Bearish correction in the US markets. I have therefore decided to time stop this trade as close to break even or slight profit as possible. Despite the Bearish run during Friday’s session a Doji was formed for Friday’s bar, showing indecision in this stock so I may get an opportunity to get out without a loss, but I don’t want to stay in too long this week as the Bearish momentum across the markets will surely take hold on this stock eventually. Closed out trade at Break Even, chart as Below