Wednesday, August 8, 2007
VTO and Bollinger band crash trades
There are several VTO and Bollinger band crash trades that may close soon. The Q bollinger band crash trade signalled at $49.00. Any close above that will signal a profitable exit. The VTO is also still open. Any close above $152 on the SPY Bollinger band trade will signal a profitable exit. VTO trade is also still open here. The third chart is the weekly Bollinger band crash on the SPY. If the close on Friday is above the open last Monday we will also have a profitable trade here. The weekly VTO is also still open. Last week I imagine many investors probably exited these trades thus guaranteeing a loss. Now do you see why discipline is so important. If you are going to take these trades then you MUST be willing to take a loss otherwise you won't hold on for the winning trades. If you don't follow the rules of the trade you turn a positive expectancy into a negative one.