CDEV – Stocks Trading Journal for Short Swing Trade

Stocks Swing Trading Journal for CDEV

This stocks swing trading journal is a review of a recently closed Long 5th Wave Swing Trade on CDEV. Before the markets opened, on the 20th November 2018, we posted a video in our Signals membership for a potential Short Swing Trade for CDEV. The video had a quick analysis, entry price, Stop Loss and Target price for this potential 5th wave move Short on the 60 minute time frame for $CDEV. The original video can be viewed  >>>HERE<<<   . The trade entered during the first hour of the trading session on the 20th November and hit our 5th wave Target on the 25th November

Our Stocks swing trading 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 resistance in the Amber Pullback zone, which indicates an 80% probability that the 5th Wave will go on and make a new Low in this current Bearish trend. The Pullback zones are part of our Elliott Wave Indicator Suite.  The original chart shown below shows the setup with a Short entry price of $16.96 with Stop above the Wave 4 low at $17.75.  Our automated 5th Wave Target zone in Blue was around the $15.60 price for this potential Short Swing trade, giving a Risk to Reward of 1:1.8

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

CDEV Stocks Swing Trading Journal – What Happened Next

The price gapped down just above the short entry on the 20th November, so the trade was triggered within the first hour.  The price closed near the low of the day on the 20th, showing signs of great downward momentum.  On the 21st November, the price retraced a little but found resistance when it tested out WT EMA Cloud. A gap down on Friday the 23rd November. This gap was maintained into the close, which gave us confidence to carry the short trade on CDEV over the weekend.  Our Wave 5 target was hit for the first time, the following week on Tuesday 27th November and we took a profit of 200% x Risk. (highlighted in first ellipse in the target zone on the chart below).

It is interesting to note that our 5th wave target level was tested again and again until the price broke below to form a new 5th wave low. A great example of how strong and accurate our automated 5th wave target zones are… The Chart below shows the 5th wave move on our swing trade for CDEV and is typical of this type of trade on an Intra-Day time frame . Remember, the original signals video can be viewed  >>>HERE<<<   . (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.