A tad behind with this update. As mentioned in the Weekly Round-Up, the short side of oil represented capably by the ETF SCO was all set for a buy. We had a stop-buy in at $17.27, which was a few cents over the high of the candle that sealed the deal.
You can see the green candle to the right of the chart and our stop – buy level. The trade was then triggered during the day of the 8th.
$14,000 (10% of portfolio) / $17.27 = 810.65, rounded to 800 shares
Trailing stop set at $3.02 under purchase price X 800 shares = $2,416 risk (<2% of portfolio).
Our trade is open at this point having met all the conditions of our process including capital allocation and risk management.
God Speed, little trade!
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