Although we had a big selloff on NFLX yesterday here are the charts
I posted for members yesterday & when we initially bought it with
targets & notes: Hope you find it helpful
Its pretty rare when a stock doesn’t bounce on a big key selloff
I’ve played 1,000’s of plays on dips both intraday & as swing trades
so into the end of day didn’t surprise me that we had finally a descent
bounce ( was more related to the market bouncing after 3:30pmEST)
but as you can see got within $2 of the first fib level just over $115 area
Double click charts to see them larger & clearer
Use to rely on this fib level bounce play as a great trading strategy on big % sellers
Most recently on IDCC & SODA but for many years relied on this strategy for
consistant intraday gains on stocks I did not own & would just trade for fib level
intraday bounces. Hope you find it helpful
Below is the chart when we first bought NFLX in the
group on Sept 21st. Was a nice risk/reward so don’t regret taking the trade on.
I will continue to do these type of risk/reward trades since have worked for me
for many years. Although not all will be perfect that’s why Money Management
Position sizing go hand in hand with my Risk/Reward Strategy.
Was not a surprise that we dropped to $110-$100 we spoke about it in
chat that under $125 was dangerous to those levels that that is why it was $125 was the suggested
stop in the chart below.
I rarely have limit stops in since prefer to see the action so I don’t get
shaken out of positions but in this case worked against me so far, but i’m still
in it if we can hold over that $100. I would however, scale out into a bounce.