A trader breaks down a short trade that netted $10-15,000. He spotted a stock that held the same low three times then finally broke, then shorted rallies aggressively, sized bigger after the failure, and took profits in chunks on the way down.
I think I made, you know, 10, 15,000 on this trade. This is a pre market time frame, I believe you can see here. And I'm just trying to find the range that the stock is trading between. So this was the open here, and after these large sell offs, it kind of shows the hand of the stock that it's a failed pattern because it held this low three times. And once it cracks here, then you can kind of assume that the patterns failed. I'd be more aggressive shorting pops after that point. So these here, I'd be sizing in a little heavier once it's failed, because the probability of it reclaiming is a lot lower. And then I'm just repeating that same process all the way down, taking profits into washes, reshorting, bouncing when they come. It was a good trade, and I wasn't even in that much size.
