Updating 5/6
Notes from the day of the trade:
The one stock that’s jumping out at me this morning is AR. It’s Antero Resources Corp. (I think I’ve either traded this before, or at least have placed orders before) which is an independent oil & gas company. Looking at the daily chart, this has been pushing up for at least a year, with some larger moves happening over the last couple of weeks. Today, price has gapped up to new 52 week highs, and while there’s some pullback happening right now, looking at the hourly chart, it appears to be in a nice base. On the other hand, on the daily chart, this is up against it’s upper band and is just in overbought territory so the move might be somewhat exhausted, but on the hourly/4h charts, there’s still room to push up. I like it. Now the question is whether I want to buy the stock or an option….
Running the numbers, I had an R:R of 1.73, so I did a straight stock play if it broke the (in my opinion) very nice base that had formed. I set an entry order and left it alone. I checked my account later in the day after the markets had closed and saw that my trade was triggered (I expected the ToS app to notify me, which it did, but hours later. I might have to be more diligent about using TradingView for alerts, though that won’t help for options, but that’s fine).
Planned Entry – $38.65
Target – $41.50
Stop Level – $37.00
Entry – $38.66
Exit – $37.00
I was happy about the trigger — of course, I don’t put in trades I don’t think are advantageous — but I was a bit wary since it was right near the end of the trading day. Unfortunately, my fears were founded as the next day, price gapped up but pushed down for the rest of the day, eventually reaching support and stopping me out of the trade for a loss.
