My performance statistics

In this article i’m going to talk about stocks today – what’s happening on the S&P 500 and the NASDAQ. I just made over £1,000 trading the NASDAQ over the course of the last couple of days. Let’s take a look at how I did it and what the markets are doing now…

OK, so in terms of stocks today, let’s consider the trade I just hopped out of!

In this trade I entered into several positions as the price increased. You can see where I entered the market. In the end I had averaged up a total of three times before taking all profit off the table. I ended up with over £1,000 from these positions. You can see when I got into the first position on the chart with the blue arrows. This was around the 3rd or 4th of May. I exited them yesterday – see the collection of red arrows at the top of the upwards push. How did I know that the market may start pulling back there? It had sailed away from the diagonal support level I had placed on the chart, and the MACD was starting to lose it’s pigmentation on the histogram. The RSI was quite over extended and I was expecting it to pull back, at least to the diagonal support, but my thoughts were, it could pull back even further as it may have exhausted itself and I had a good chunk of profit sitting on the table which I didn’t want to give back 🙂

Here are my closed positions per my Capital.com app:

So what is next for the NASDAQ?

In terms of stocks today and the NASDAQ in particular, I can see the market has started chopping sideways through the diagonal support I drew on the chart, which is not a great sign! It’s possible it could still come up further, but right now, i’m waiting.

When you become an experienced trader, you sometimes get a ‘smell’ for when the market is peaking… it’s a combination of observations which give you a feeling that you need to jump out of the trades. The indicators, yes, but also your past experience of what they all collectively look like when the market is about to lose some momentum. Let’s take a look at the birds eye view to see if we can see what’s going on, from a higher level:

So, as you can see from the daily timeframe, the market has pushed off strongly from a strong long term diagonal support. The RSI is VERY high on this timeframe. Its a possibility that the market may be due a bit of a pull back – take a look at the shape of the previous upwards swing from this trend line. It tends to push up and then bump over in a ‘cloud’ shape rather than sky rocketing to the moon without any let up! So I have this in mind, while i’m waiting and also the fact that it’s chopping through the diagonal trend, now, on the 30 minute timeframe so it’s broken that support as of now.

Let’s take a look at the S&P 500 for good measure – we can’t really consider stocks today without looking at this. This is heavily influenced by the NASDAQ so likely it will follow a similar story:

As you can see, a similar story has occurred on the S&P 500… This one looks like it broke through a previous diagonal support. It could be that this support can now be adjusted for a better fit – see below. (Don’t be afraid to readjust your trend lines as the markets play out):

There – that’s better!

This one actually looks more strong than the NASDAQ to me, but obviously you need to decide for yourself before entering any market. Why do I say it looks stronger? The histogram has turned dark green again on the MACD indicator, and it’s just bounced on the readjusted trend line!

I hope you found this article on stocks today helpful!

Disclaimer!

Nothing on this blog should be taken as financial advice or encouragement for you to enter a trade.  You are expected to speak to a financial adviser or carry out your own due diligence before entering any positions.  Everything on this blog is made for educational purposes and to equip you with the knowledge you need to be able to make your own financial decisions.

For more great tips and advice on trading the stock market, please visit:

https://www.sophiatrades.co.uk

To watch me trade live please visit my patreon page here:

https://www.patreon.com/sophiatrades

Finally, if you would like to receive a discount on the Trading View charting software I use, please click on the relevant link here:

https://www.tradingview.com/?aff_id=117138

Please note any subscriptions taken via my affiliate link with Trading View may result in me earning a small commission.  However, I provide complete transparency on me using Trading View personally – I publish my success on the financial markets via my broker reports and any profits earned were done so by using my own Trading View subscription,  so I genuinely do recommend them and have been using the Trading View charts for many years.

I made over £900 on the stock market over the last few days, and I wanted to share with you my entry and exit points so that you can learn from me, how to trade stocks. I’ve been using my usual MACD strategy, which you can find on my Patreon page, but I am also ‘averaging up’ my trades and this is leading me to make significantly more profits in the markets than I had been, previously… Let’s take a look at how I did it…

How to trade stocks – NASDAQ daily timeframe

As you can see, the NASDAQ has been in a long term steady uptrend but it had been pulling back per the daily timeframe, since around November! Once I saw that the price bounced near the long term upwards diagonal trendline on the daily timeframe, I found an entry on the 30 minute timeframe. I noted that the price started bouncing on another lower level diagonal trend line per the 30 minute chart, and got into the market near a horizontal support level. It’s best if you can get into the market where it is supported both diagonally and horizontally, but just one type of support can be ok too:

I tend to get into the market when the MACD is crossing again, to the upside, at a good support level. I do this now, repeatedly adding more and more to my position as the price increases. At each scoop down, I add another portion. I do this in a very controlled way, keeping an eye on my margin and the potential losses. Averaging up in this way is an important consideration and tool you can use when learning how to trade stocks.

In the above chart screen shot, you can see the first entry I made which ended up in over £500 of profit, and then the second one which took over £200 and the third (over £80). In total I increased my position size, about four times. I don’t have screen shots from the whole time the trade was open to show you, i’m afraid, but I hope you can see the step ups in the market I have made, here.

After the market was starting to cut through the support level on the chart, I took profit from the market, on all my open positions. You can see where I closed them with the little red arrows, here:

I also made another £300 or so this week since I closed these ones, and you can see my subsequent entry, but I’m aware that there will be an FOMC meeting soon and I don’t want to leave open positions on the table while this meeting is starting. I published another blog article yesterday about these meetings and how they can affect your trading, here:

There is an FOMC meeting happening this week! Everything you Need to Know – Sophia Trades – Learn how to Trade the Stock Market

If you are interested in learning to trade stocks and you don’t know where to start, or you are already applying a strategy and you feel you are struggling to get it to work, I can offer you some assistance. I offer one to one, educational consultations, during which I aim to provide some feedback and helpful guidance on how you could improve your strategy and make it successful. Please see the contact section of the blog and reach out if you think this would be of assistance to you.

I hope you found this article on how to trade stocks, helpful!

Disclaimer!

Nothing on this blog should be taken as financial advice or encouragement for you to enter a trade.  You are expected to speak to a financial adviser or carry out your own due diligence before entering any positions.  Everything on this blog is made for educational purposes and to equip you with the knowledge you need to be able to make your own financial decisions.

For more great tips and advice on trading the stock market, please visit:

https://www.sophiatrades.co.uk

To watch me trade live please visit my patreon page here:

https://www.patreon.com/sophiatrades

Finally, if you would like to receive a discount on the Trading View charting software I use, please click on the relevant link here:

https://www.tradingview.com/?aff_id=117138

Please note any subscriptions taken via my affiliate link with Trading View may result in me earning a small commission.  However, I provide complete transparency on me using Trading View personally – I publish my success on the financial markets via my broker reports and any profits earned were done so by using my own Trading View subscription,  so I genuinely do recommend them and have been using the Trading View charts for many years.