One Way To Stay Out Of Trouble With Momentum
I might try to play the
momentum or
‘mo-mo’ as some traders refer to it….but that doesn’t mean I stop
trading by rules that define high-probability setups. I personally find
trading the first 15-minutes quite frustrating at times, especially when stocks
that I’ve been stalking, zoom so quickly through my ideal entry point that I’m
forced to play another kind of game. When it comes to playing the ‘mo-mo’ game,
if I do decide that there’s an appropriate entry, I still maintain certain trade
criteria–that way the ‘mo-mo’ doesn’t turn me into a complete moron.
09:49:32
Intraday Setup Alert
DSP Group (DSPG)
is attempting a 52-week high and pattern b/o in today’s trade. An early gap
higher, put the stock above handle resistance, and now with the issue up 1.65 at
29.01, DSPG is testing prior pattern highs, after notching fresh 52-week highs
in the first 15-minutes. Continuation longs might be considered thru the
15-minute, and consolidation highs of 29.40.
Some might call the ‘mo-mo’ game dumb, but even if it is to some folks, there
are times where it definitely pays to join the party. Besides, with our own
rules in place, there are definitely a whole lot dumber ways to play it ‘stupiduhr’,
than preparing to take the trade that never quite triggers.