This is my first attempt at buying at trend line support with real money. It ended up working perfectly and I got in almost at the exact bottom on Wednesday.
As you can see from the daily chart, I drew the support/resistance lines and had been actively watching this stock for several days. It had two things going for it: running into the 200 day EMA as well as another touch of the uptrending trend line. My plan was to buy around $26.55 with a goal of selling near $27 in a few days.
It tapped the bottom trend line almost perfectly and started to reverse. I bought 100 shares with a limit of $26.49. Low of day was $26.45. Luckily I had a good entry and it reversed off that bottom.
The next day it gapped up just over $26.90, so I was in the green over 40c and didn’t have to worry about being red. I gave it as much time as I could stand to get over $27, but it started to top at $27.10. I decided to just take the 54c profit and call it a day. This was pretty good even though it managed to get to $27.23. Can never get the exact bottom or top and that’s OK.
I’ll be watching it for another setup like this. Possibly a little higher like $26.60 or $26.65 when it sets up again. Just have to be patient and wait for it.
I am not a registered financial adviser/broker/anything. Use this information for entertainment/informational purposes only. Any tickers mentioned are not recommendations to buy/sell/or sell short. They are used as examples only.