Someone had just asked me about the THI short set-up that was recently posted and for those who might have taken the trade, here is my reply and thoughts along with the updated chart:
No, you didn’t miss anything. THI is still and active trade and it’s even still in the trade set-ups category, which I cleaned up quite a bit today, moving out all the Active Trades that no longer offer objective entry and even some Completed Trades that hit target(s) or were stopped out. However, now that you mention it, I can see that I never added it to the Active Trades Category after it broke down below both the uptrend line and horizontal support line yesterday. I now remember seeing a price alert on it yesterday but dismissed it because of the fact that the broad markets had hit some of my final targets or key supports. I probably should have stated this clearly on the site or in the video but I usually avoid entering any new short positions that breakdown just at or above key support on the broad markets, especially if I think the odds are good for a bounce. Even the best looking patterns will usually prove to be false-breakdowns if the broad market bounces off a key support level shortly after that stock triggers a short entry as all ships are lifted in a rising tide.
However, as you probably know, I am a bit skeptical of how much further this bounce will go. It very well could have marked a near-term or even longer-term bottom but if you’re short THI now, here are my thoughts: As you can see from the chart below, THI managed to regain both the uptrend line and horizontal support line (S1) that it broke down from on Monday (and barely on Friday), which increases the odds that the breakdown was a bear-trap. Depending on your own personal preference & trading style, you might consider either a tight stop above stop line 1 or a more liberal stop above stop line 2 on this chart below (daily time frame vs. the original 2-day period that I posted).
