Ichimoku Stock Trade of the Week 9-6-13 : THG, Hanover Insurance Group

On Aug 30, 2013, we received an Ichimoku 5 multiple time frame sell on the stock THG, the Hanover Insurance Group.  The email alert is shown below:

Since the stock was consolidating and a pull back did not exist since the Ichimoku indicators where not flat, we setup for a breakout trade on 60 minute timeframe.   The entry was 53.51, initial risk of 55.33 and a preserve mode value of 50.77.   This gives us a min. reward of 2.74 and a max risk of 1.82.  The reward/risk would be 1.5:1.  This is ok since we should entry around a 3:1 when we enter the trade.  Here is the chart setup:

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