image of NFLX stocks trading journal header

Stocks Trading Journal for NFLX Long Swing Trade

This stocks trading journal is a review of a recently closed Long Swing Trade on NFLX. On the 3rd April 2018 we posted a video in our Signals membership for a potential Long Swing Trade for NFLX on the Daily time frame. The video had a quick analysis, entry price, Stop Loss and Target price for this potential 5th wave move Long on the Daily timeframe.  The next day we adjusted our entry strategy and posted an updated chart which can be seen below. The original video can be viewed  >>>HERE<<<   . The Long Swing Trade order was triggerred on the 10th April 2018 during post market action and then again in the pre-market action on the 11th April and the trade was enterred.

Our wave5trade strategy involves trading the 5th Wave of the Elliott Wave sequence as it is the highest probability move in a “with trend” trade.  The Wave 4 in this case pulled back and found final support in the Orange Pullback zone, which indicates an 80% probability that the 5th Wave will go on and make a new high in this current Bullish trend. The Pullback zones are part of our Elliott Wave Indicator Suite.  The original chart shown below shows the setup with a Long entry price of $300.54 with Stop below the Wave 4 low at $270.84.  Our automated 5th Wave Target zone in Blue was around the $355 price for this Long trade, giving a 1:1.6 Risk to Reward.

Below this chart is how the trade went and chart showing exit when price went through our automated target zone. (Click on the image to enlarge in another window)

image of NFLX stocks signals video setup chart

NFLX Stocks Trading Journal – What Happened Next

Tip-Toe entry into this Long after a strong move away from the Wave 4 low and out of the 6/4 MA High (Green MA on Chart Below) on 10 April 2018.  Some of our Members also entered the trade at the open price after small gap on the 11th April. Momentum continued well over the next six trading days, including another large gap up, attempting to break through the previous wave 3 high.  A sustained pull back was then apparent for the next week or so, which is sometimes normal when testing all time highs and wave 3 highs.

We had a great rejection on the 25th April at the orignal entry price , which formed great support for the trade to then gather momentum, helped by the earnings catalyst. Our automated 5th wave target zone was hit on the 24th May and then on the 25th May with new all time highs.  Profit taken before the close and the long weeknd giving a 1.7% profit on the trading account balance and a Gain of 85%

The chart below shows the exit for this typical 5th wave swing trade over 30 days using our Elliott Wave indicator suite. When markets are trending the typical 5th wave swing move takes aound 20 days, but we are in an unusual long term voltaile market at the moment, but the target still gets hit, just in a longer period. (Click on the image to enlarge in another window)

image of NFLX swing trade chart hitting target

This is a great example of our 5th Wave Stocks Signals service combining with our Elliott Wave Indicator Suite, which is available for NinjaTrader, ThinkorSwim, TradeStation and MultiCharts.

2 Thoughts on “NFLX Stocks Trading Journal – Long Swing Trade”

  • I’ve been using W5T with TOS for a few months now and it is an essential part of my trading. I have been a student/user of Elliott wave theory for a few years and using your indicator with my cycle studies is fantastic. I see that you keep updating it, too! The multi-timeframe indicator is something I haven’t seen before. Kudos for continuing the development.

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