In this week’s webinar we have community member Hooch showcasing one of his AMZN trade’s. After a brief discussion about how he finds his trades, we talk about this one particular trade. He is actually already in a previous trade and still hanging onto his runner. After setting up his entry criteria based on the hammer candle, we find out where he set his stop and how he enters his order. Unfortunately in the next candle we see that he is stopped out relatively fast for a small loser across 2 contracts. The sad irony of this is that his initial entry level he intended from the beginning of the day is reached and that sparks the long trade he was initially looking for. What is important here is that he maintained discipline and stuck to his initial stop.

We take a look at another trade Hooch put on in FB another day. We see that it has a large gap up in the first candle. On the 3rd hammer candle he decided to enter his long call position. This trade goes immediately in his favor and he begins to trail his stop up to reduce risk. He also reaches his first profit target within the first 10 minutes. FB makes a large move up and he just continually raises his stop. There are many nuances that Hooch reveals that will start to come more naturally the longer you trade. He is also a great example of pushing your winners to their logical conclusion.

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