In the trading plan for today – published last night – you read: “If the current long is intact and if the index rises above 2770, put a trailing stop for 12 points and let the position ride or the stop get hit for a profit.” (click here for the full report)
Within less than an hour into the session Monday morning, the index indeed rose to a session high of 2776.57 and hence the trailing stop now has a trigger level of 2764.57 (as of the writing of this, @10:40am EDT, the index trading at 2774.85).
Note that this would be adjusted upwards tick-to-tick for any move of the index above 2774.85. If you are not familiar with how a trailing stop works, please do some quick reading on it – should not take more than five or ten minutes of your time to understand how trailing stops work.
If the index falls below this level, the current long positions (bought) will be sold at/around the index level of 2764.57 (depending on your broker’s execution quality) for a handsome profit on the positions opened on Friday. If sold, do not entere into another knee-jerk trade but consider carefully the key levels mentioned in the trading plan published for the day (or, any future updates yet to be published intraday).
For a full trading plan involving different key levels, please click here to read the full forecast report for today.
Please Note:
(i) Any positions referred to are hypothetical positions taken by the models, based on the trading plans published BEFORE the markets open for the day, as can be verified publicly from the blogger’s timestamp at the bottom of each article.
(ii) The positions taken by the followers of the models may be at different price points, depending upon their own individual trading style, instrument traded (may be the e-mini futures ES, or the ETF SPY, S&P 500 Index tracking mutual funds, or some other instruments such as options or CDFs etc).