What a big day! Today market had a huge rally helped by Fed’s stimulus plan announcement. The Dow and the S&P 500 both closed at their highest levels since December 2007, while the Nasdaq ended at the highest since November 2000. The volume swelled.
AAPL got upgrades by many analysts this morning and hit its new all time high over $685 before closing at 682.98 which is below Monday high 683.29. Last a few days the seesaw/choppy price action on leaders like AAPL, GOOG, EQIX seemed far away from our memory as many traders on twitter seemed to have made fortune from dip buying yesterday at their SMA 21-day lines, especially AAPL. Big Congratulations to all!
Recently, a Chinese saying came to my mind: If you do things careful during uncertain time, you will have smooth sailing for many years. That was how I dealt with my AAPL trades during its wild whipsawing trading sessions. Today I bought it late near 676 and sold near the new high since market looked to me near very overbought condition. Additionally, I wonder if so many upgrades out at same time would create the euphoria like top soon on AAPL short term. My entry at 676 didn’t give me much cushion to hold for too long as it could swing 10-26 points daily.
Here I attached my AAPL 3-day-5-minute intraday chart with notes below:
Always be OBJECTIVE and FLEXIBLE when trading!
“Love and compassion are necessities, not luxuries. Without them humanity cannot survive.” – Dalai Lama