AZN

Short 3098
Stop 3122

RMc (suspecting Remo taken trade too?)

Hi Remo
Just one question about entering shooting star at half way up..
I noticed often price retraces half way up but after few days, would you still enter it to short or you only would enter if it retrace following day?

Thanks, RC, Clarky and remo for your replies. I closed the trade at a small loss in order to evaluate your comments. I'm struggling to do it on screen so I'll get it printed off and look at it more closely. Really appreciate the input and I promise I'll be evaluating it closely. Thanks again.

some good comments so far. just to add to them

When you identify a shooting star i find that the best entry is half way up the shooting star after the day its formed.This way your risk is a lot less than when you enter based on breaking the low of the shooting star.
Stops should be above the shooting star by about 5 pips.
Obviously the above is going against the trend but its always worth a go when a shooting star forms at a known resistance.
dyor

Shotry,

Look at the daily chart below
oi45.tinypic.com/25jk2m0.jpg

you can see AZN has had an upside breakout recently
after the breakout it retraced bang on to 61.8% fib and then carried on upwards

Heres what I would do if I was you but dyor and its all IMHO....

1. My stop would be above the shooting star
2. If I am going against the trend my stop would be tight, I will be prepared for a quick exit and I will move the stop above breakeven as soon as the trade goes in my favour
3. 2900 seems to be too unrealistic target as it would mean more than 100% retracement from the previous move. My exit plan would be somewhere around 50% fib (around 3000) or 61.8%fib (around 2970). Price would also meet the trendline around the 61.8% fib( i.e if it gets there )
4. I would also bank some profits at 38.2% fib if it goes in my favour and leave the rest to run till it gets to 50% or 61.8% fib that way you are making sure that you are paying yourself for your hardwork. I would also look at the hourly chart for a Bullish RSI/Stoch divergence for exit

Hi Shotry, I will try and keep my narration as coherent as I can mate, bear with me.

Firstly, I can see where and why you identified the short based on a zoomed out daily (these are end of day charts so end of day Friday):




Not sure where you have went short from, or where your stops are currently - but IF I were to go short here, I would make sure my stops were above 3111.5 - so I would maybe go 3120 on this particular share.

My first note is, I am not sure your target of 3900-3940 is valid in this set up - certainly not in the short-medium term. (I assumed this is a short-medium termed short and not a long term play)

I have charted a potential channel - and also noted some fib ext targets etc in the following charts.
These charts are annotated rather than typing it out here







From the above charts and analysis, if your short is still in play, I would reconsider your targets. Personally, I would have a look at the 50% fib @ C.3000 as it coincides (approx.) with a round number, a previous S&R level and also the oblique channel support. I would perhaps take a weight off beforehand aswell.

This is not intraday and doesn't take into consideration todays movements (which I don't know at the moment as I am only taking a look to respond to yourself )