Most of my stock picks lately have been coming off the morning gap list, and new daily high scan. SLAB and PTRY didn’t offer up a decent trade for me, but GFIG – GFI Group Inc had a few good setups to work off of. I’ll spotlight a few of them.
From my trading patterns section you’d find what I call a BL2 setup on the daily chart of GFIG. Buy the higher high.
An aggressive entry would be to buy over the 5 minute intraday high with a stop below the low. Note the 2nd buy signal. That’s an intraday BL2. Using a trailing bar method or pivot stops would produce a sweet reward for the risk here.
There was a quick scalp BL2 on the 15-minute chart that had a 4R potential.
Using multiple time frames and just a few supply and demand trading patterns is all you need to have in your trading arsenal. Then you’ve got to master that trading psychology. That’s the tough part.
