i’m taking advantage of the slow day to do some cleaning up of the active trades list. LNKD was stopped out today as price moved above the suggested stop level. i also noticed that somehow XLK was never removed from the active trades category. XLK was a short trade several months back that was last updated on the tag of it’s 2nd price target. the trade went on to reach within 1/2 of 1% of the final target before reversing.
as i often advise setting closing trade orders (sell for longs, buy-to-cover for shorts) slightly below/above the target levels, i will only count a target hit if prices come within less than 1/2 of 1% of the target area. remember, the market makers and computerized trading programs see these support and resistance levels, especially those stacked up with buy and sell limit or stop orders and they love to run the stops on retail investors and deny them ideal profit taking opportunities whenever possible. although a vast majority of the trade ideas posted here do reverse right at those predetermined target levels, it’s usually best to take profits just shy of them to avoid missing a fill on your order.