TGIF – After yesterday’s strong sell off because Google did not hit it’s numbers on their earnings report, the market opened neutral and continued to move lower for the first 15 minutes when it appeared that we may had hit a bottom. The Q’s rallied for 15 minutes only to trigger a perfect 5 minute sell at 10:00 reversal time. The market continued lower and broke down to new lows. My first play was a long in SNDK which I found this morning on my gap up list. SNDK is a nice example of a Mortgage/Monster type gap where price is gaping over a nice wide range red bar. SNDK pulled in nicely setting up and triggering a 1 minute buy setup that I had to take. My stop was .30 cents but if I was right on the play, price action should take out the high which was a full 1$ buck away, so I had a good 3-1 risk on the play. Well, price action almost got to the high but a narrow range topping tail bar appeared on the 1 minute chart and I took my chips off the table. On these types of plays, that are against the market, you have to know when to hold them and when to fold them. My exit ended up being the correct exit. Here is the chart of my play in SNDK…
