Stocks Trading Journal for CRM Long Swing Trade

This stocks trading journal is a review of a recently closed Long Swing Trade on CRM. On the 29th March 2018 we posted a video in our Signals membership for a potential Long Swing Trade for CRM on the Daily time frame. The video had a quick analysis, entry price, Stop Loss and Target price for this potential 5th wave move Long on the Daily timeframe for $CRM. The original video can be viewed  >>>HERE<<<   . The Long Swing Trade order was tip-toe triggerred on the 6th April 2018 and had a slight pull back before gathering momentum on this 5th wave move.

Our wave5trade strategy involves trading the 5th Wave of the Elliott Wave sequence as it is the highest probability move in a “with trend” trade.  The Wave 4 in this case pulled back and found final support in the Red Pullback zone, which indicates an 75% probability that the 5th Wave will go on and make a new high in this current Bullish trend. The Pullback zones are part of our Elliott Wave Indicator Suite.  The original chart shown below shows the setup with a Long entry price of $120.23 with Stop below the Wave 4 low at $110.94.  Our automated 5th Wave Target zone in Blue was around the $135 price for this Long trade, giving a 1:1.6 Risk to Reward.

Below this chart is how the trade went and chart showing exit when price went through our automated target zone. (Click on the image to enlarge in another window)

CRM Stocks Trading Journal – What Happened Next

Tip-Toe entry into this Long after a strong move away from the Wave 4 low and out of the 6/4 MA High (Green MA on Chart Below) on 06 April 2018.  Momentum was slow to get going with a couple of pull backs during the first 10 days of the trade.  These two pull backs found higher support levels with rejection Doji’s on the Daily candles, indicating Bullish Bias in the price action.  With this type of 5th Wave move we would usually see the target hit within 20 Days. But the extrodinary volatity in the markts during the first half of 2018 has meant longer 5th wave moves with multiple pullbacks before reaching target.  When managing this type of trade we always look to trail the stop and lock in profits as each higher support level is formed.

Our automated 5th wave target zone was hit in the first week of June with new all time highs.  Profit taken on the 8th June giving a 1.6% profit on the trading account balance and a Gain of 89%

The chart below shows the exit for this typical 5th wave swing trade over 43 days using our Elliott Wave indicator suite. When markets are trending the typical 5th wave swing move takes aound 20 days, but we are in an unusual long term voltaile market at the moment, but the target still gets hit, just in a longer period. (Click on the image to enlarge in another window)

This is a great example of our 5th Wave Stocks Signals service combining with our Elliott Wave Indicator Suite, which is available for NinjaTrader, ThinkorSwim, TradeStation and MultiCharts.