How I pick my trades

Anyone who has been following me over the last year or so will know I’m a keen follower of Vince Stanzione’s methods of trading trends. I’ve made some mistakes along the way, but learnt from them, and going forward I think i’ve turned a corner in how I pick my trades.

One of my most recent picks is my trade on Extra Space Storage. Looking at the chart it’s trending long and has been for well before 2009. In the last year the price has continued to grow from $18.00 and now sits at around $33.00
The red cross represents my recent entry into the trade and my stop has been placed onto the 100 DMA. This should give the trade room to move  as it “hopefully” continues it’s ride up the chart.
Looking at the chart it’ll probably need a good month or two before I start to see it move into good profit (assuming it continues it’s trend). I fully expect it to drop initially and make a loss as it moves up and down, but with a wide stop sitting on the 100DMA, I should be able to hold the trade and see it through to profit.

We’ll see how it goes.

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Comments

  1. Hi, Chris I am a trend trader and a I would like to suggest that to get the best entry on your trades is to use a pullback to enter the trade. At the moment the price is a good way from the moving average and at some point it will pull back to it. I use this pullback technique to enter trades and it gives me the best risk reward. I hope this may help.
    Diane

  2. Thanks Diane. I’ll be looking at that going forward. Certainly makes sense. Appreciate your comments.

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