22/11/14 – In yesterday’s session the Elliott Oscillator broker through the 140% and with the PTI being below 35, this trade is now a low probability trade with only 6/9 of my setup indicators in the green. I have therefore cancelled my Stop Sell order for this potential Short NASDAQ Biotech stock trade. Chart as Below
15/11/14 – This potential Short NASDAQ Biotech stock trade made a new high last week on the 13th Nov, but didn’t go above the trade order Stop Loss limit so I am not changing any of the order at this time. The PTI dropped below 35 on Friday, meaning there are now 7/9 trade setup indicators in the green. The Elliott Oscillator is close to the 140% line and if this is broken next week then I will consider cancelling the order. At this time the Fibonacci 0.5 retracement level seems to acting as strong resistance but I will not make profit if a trade becomes range bound at that level so I need to see strong movement down right from the beginning of Monday’s session to ensure that Oscillator remains in play. Chart as Below.
05/11/14 – The price for this potential Short NASDAQ Biotech Stock trade has gapped open for today’s session and made a new W4 extreme high. The price then became Bearish to close the gap and still held onto the TJ’s Ellipse. Obviously I have adjusted the Stop Loss to compensate for this new W4 extreme and is now @ 36.75. I have also adjusted the Stop Sell order to 33.77 , which is still below the 6/4 MA Low line for tomorrows bar position and so doesn’t affect the potential 9/9 indicators in the green on entry. The Risk to Reward profile still also remains at 1:2. This conservative entry still allows for more potential movements upward to try and take out the other TJ’s Ellipse if the momentum to the downside is not strong enough. Chart as Below with changes.