Here's a chance to help some of the new traders on the page.
What are some of the setups you look for before you buy a trade. Some trading tips you can share?
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Probably my favorite trade out of all trades is the break out.
When a stock takes out the new high on stronger volume than the old high.
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Two things you need to be aware about with Break Out trades.
1) After the stock breaks out it will usually revert back and test the old break out price as a support level.
Then go higher again.
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2) Many break outs are set ups or what I like to call "fake break outs." Especially ones on light volume.
That when they get shorted and the stocks tanks.
Why you always have to use a stop loss when making a break out trade just in case.
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