$ASX Australia Stock Market trade of the week $WEB-ASX 5 timeframe Buy

$ASX Australia Stock Market trade of the week $WEB-ASX 5 timeframe Buy.   On April 10 we received a 5 Time frame Ichimoku Buy Email alert for $WEB-ASX, WebJect for the $ASX Australia stock market.   Here is the email alert received.

2017-04-14_084735asx_email

The $ASX is making new all time high and we have outlined the next resistance on previous blog.   Due to the fact, there is no previous IMTF™ resistance, we need to find a low risk setup trade.

As a result, we are looking solely for pull back trades on 60m.    April 6, the $WEB-ASX appeared on our multiple time buy email alert but it never had the black square supports.   As a result, we could not setup for the trade.    Every day, we keep on getting an email alert and we kept on checking a pull back level.   Finally, we got one.   As a result, we setup for a pull back trade on 60m.   Below is the 60m chart provided by eSignal.

2017-04-14_085455aust_b3fore

The entry was 11.34, initial stop of 11.30 and a preserve mode value of 11.55.    This would give us a 5:1 reward/risk ratio.    On the setup, this was an aggressive trade.   The reason is that there was a purple (day/swing) resistance above the black square (swing/long).     Since this was an aggressive trade, we will wait for price to get to that resistance.   If it broke it, we would stay in the trade.   If it didn’t, we would exit the trade.   This is based on your trading timeframe rules.

2017-04-14_085541aust_after

Preserve mode was reached.    At that time, you take either 50%/75% positions off and tighten the stop.    With the tightened stop, the trade was exited at 11.56…just a little above the preserve mode level.

 

MISSION STATEMENT:  “Empower the Retail Trader with Institutional Tools”

If you would like to learn how to trade like an institutional trader or learn more about our multi-timeframe email alerts, go to www.ichimokutrade.com or email us at info@eiicapital.com

EDUCATIONAL USE. Commodity Futures Trading Commission, Forex, Futures, Equity and Options Trading has large potential rewards, but also has large potential risk and may not be suitable for everyone. You must be aware of the risks and be willing to accept them in order to invest in these markets. Do not trade with money you can not afford to lose. This is neither a solicitation nor an offer to Buy/Sell. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this document. The past performance of any trading system or methodology is not necessarily indicative of future results. All information provided on the Blog is for educational purpose.

About the Author Manesh Patel