AAPL Trade on Sep 29, 2022 09:48 from bockr25: Tradervue User Stock Trades.

I entered the following trade after the NASDAQ started the trading day of 9/29/2022 with a very strong sell-off that included AAPL confirming its recent breakdown from its key former support level of $150.

I usually wait for 1hr after the market opens to enter trades, but with the price moving so quickly & AAPL confirming so strongly, I decided to enter the trade at 8:50 am CST, about 20 min after the market opened.

What Was Entered: Bought 3 Contracts of Nov 18 '22 $150 Puts for AAPL for $3,503.

A tight Conditional Stop was Placed at $152 immediately just in case price action reversed quickly.

Bid-Ask Spread: $11.55-$11.60, Open Interest: 34,129

Why Was It Entered: I had been watching AAPL's chart from Pattern Alteration Story's perspective at the $150 support level. We had a very unique breakout day below $150 yesterday where the price gapped down on a report about the demand for new products being less than expected, and then the price slowly crawled back up to about $149.84 by market close.

Then overnight/the morning of 9/29/2022, AAPL had a few downgrades from buy to neutral, and the price gapped back down again, providing a solid confirmation day.

The support level of $145 was also broken, which provided some extra confidence to enter on the confirmation day.

Initial Exit Strategy: Conditional Stop Order was placed at $152 upon entry. Looking to get to $140 as a level 1 price target and hopefully June lows ($130) as a level 2 price target.

I will wait for 20%-30% profits to switch to a trailing stop. I will see how quickly the price moves to determine the trailing stop %.

Room for Improvement:

This was a riskier trade, and I didn't follow all of my normal rules. But I was aware of that going into it and proceeded cautiously. I watched this trade like a hawk for several hours and was prepared to exit manually at any point in time.

I approached this as more of a day trade from the beginning as I thought once the $150 level was broken (in combination with the downgrades earlier today as well), that price may move very quickly to the downside.

The Results: $472/13% Profit

This was a very aggressive trade and really was based on not only technical charts/support levels, but also macro and fundamental events (individual stock downgrade, markets selling off across the board today, and the COMP/AAPL charts breaking key levels).

I monitored this trade very closely, and was prepared to exit manually with minimal losses if necessary.

It worked out this time, and I decided to exit when the price started to rebound back a little bit towards the ladder part of the trading day.