| Story Views | |
| Now: | |
| Last Hour: | |
| Last 24 Hours: | |
| Total: | |
What Am I Doing Day-Trading YELP Today?
As I figure, I probably have about a 60% chance that this trade isn’t going to work out. So why the heck would I even make this trade to begin with?
Because of the risk/reward that goes with making this trade.
You see, YELP has seen a surge of buying interest in recent days, going from the $17′s all the way into the $26′s.
Today you have a huge market rally and YELP is down over 3% on the day.
So my strategy is as follows:
- Wait for an ideal risk scenario where either the stock has to bounce, or I get quickly stopped out.
- Make the stop-loss where if the trade doesn’t work out, the minimum I lose is 4:1 to what I could’ve have made.
- Because YELP is so volatile and a high-beta stock – this is very possible.
Now let’s put it into practice.
Ryan Mallory is the co-founder of SharePlanner Inc, a financial website devoted to Day-Trading, Swing-Trading (both long & short) and exchange-traded funds. Ryan makes a strong emphasis on risk mitigation strategies, trading transparency, and trader education – not to mention a great set of stock screens as well.
Be Sure to Check out Ryan’s Site at Shareplanner.com
2012-09-06 10:27:29
Source: http://www.shareplanner.com/technical-discussion/11828-what-am-i-doing-day-trading-yelp-today.html
Source:
