You can see in this 15 minute stock chart of LVS, Las Vegas Sands, there is even less fluctuation than on the 5 minute online chart. Trading off this chart became the plan. You can see the short selling signal ,and that the online trader entered his position on a pop after the initial signal. A stop loss order was placed above the day’s high. 1/2 of the stock position was covered with almost a 1.5 R gain. The rest of the trading position was covered later as the market caught some momentum and a mental trading stop near 1R was triggered.
Not all of the trader’s online executions will be winners like this one, but it goes in the books as one of many trades in the online stock trading portfolio results.
The online trader’s stock trading criteria involves looking at multiple chart time frames for a suitable entry. When you buy a car you look at all the options don’t you? It’s the same thing for stock trading. When evaluating an entry the trader looks at the monthly, weekly, daily, 60 minute, 15 minute, 5 minute, and 1 minute charts of the stock. If there is loose or sloppy trading the trader may use a 15 minute or 60 minute chart that has less noise and fluctuations. Let’s look at the 5 minute chart for LVS, Las Vegas Sands.
The 5 minute stock chart of Las Vegas Sands shows a nice fluid incline off the pivot at 6:50. You’re looking for the first lower bar to sell short. The online stock trader felt the stock would try and shake out it’s holders. He decided to cut the noise further and focus on the 15 minute stock chart of LVS, Las Vegas Sands instead. On to the next stock trading chart.