image of TWTR stocks trading journal header

Stocks Trading Journal for TWTR

This stocks trading journal is a review of a recently closed Short Swing Trade on TWTR . On the 5th September 2018, before the markets opened, we posted a video in our Signals membership for a potential Short Swing Trade for TWTR on the Daily time frame. The video had a quick analysis, entry price, Stop Loss and Target price for this potential 5th wave move Short on the Daily time frame for $TWTR. The original video can be viewed  >>>HERE<<<   .  The Short Swing trade on TWTR triggered with large volume during the trading session  on the 5th September through entry price stated on the video.

Our TradeTheFifth 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 resistance in the Green Pullback zone, which indicates an 85% probability that the 5th Wave will go on and make a new low in this current Bearish trend. The Pullback zones are part of our Elliott Wave Indicator Suite.  The original chart shown below shows the setup with a Short entry price of $33.95 with Stop above the Wave 4 low at $36.22.  Our automated 5th Wave Target zone in Blue was around the $29.50 price for this Short trade, giving a 1:2 Risk to Reward.

Below this chart is commentary on how the trade went and chart showing exit when price went through our automated target zone and was was re-printed a wave 3. (Click on the image to enlarge in another window)

image of TWTR daily chart for short swing trade setup

TWTR Stocks Trading Journal – What Happened Next

After the initial entry on Wednesday the 5th September, the price closed near the low of the day with large volume.  This indicated momentum building quickly in our Short trade on $TWTR.  Thursday’s price action was very similar in volume and range, also closing near the low of the day.  When we get these quick 5th wave moves we must be ready to take profit at target zones quickly as the price tends to bounce of these levels.  So on Friday 7th September, the price did go into the target zone with less volume and 1.6% profit was taken on the account balance when the trade was closed. This quick exit made sense due uncertainty in the markets over the weekend and the lower volume as we attempted to push through our 5th wave target zone.

The chart below shows the exit for this Short swing trade after 3 days using our Elliott Wave indicator suite, but this image is from our Thinkorswim version.  The Top image is from our NinjaTrader NT8 Version.  (Click on the image below to enlarge in another window)

image of TWTR short trade on thinkorswim trading platform

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.

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