Monday, February 5, 2018

When there is a sell off

Friday sell off
so on Monday lot of people panic and continue to sell off
so when market open we expect a big drop on stock price (see premarket)
if you are in a stock, sell it with stop loss, and enter another buy (calculate distance between stop loss price and see how much it will drop) ex. AMZN low1387.36, high 1458.98, difference 71.62 from 9:30-10:22

result:  you are stopped out, but you bough a cheaper price. And watch it 1) go down more 2) go up
1) if continue go down, another stop loss to stop minimal loss and wait it bounce again, then buy
2) if goes up, sell it when it start to drop again, may be use trailing stop

2/5/2018

GILD stopped at 80.5, start watching stock and see how low it gets
bought 10@80.4
bought 10@80.2
sold 10 @80.6


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