Sunday, March 21, 2010


Date entry: 19-MAR-10

Trade: Long CTXS Jun 2010 $45 Calls - 2 contracts at $4.90 each

Set-up:  16-Mar-10 %R retest...NOT A TRUE RETEST...since %R was only 79.81

Conditions: Efficiency Ratio, Stochastics, ADX/DMI are all very bullish..

Re-Entry: none.

Exit strategy: 46.97 is violated on daily chart.

Target for profit taking: Sell entire position at 75% profit.

Time Frame: Prepared holding 3 weeks.

Where found: Stocks on the move


After watching a webcast with Price Headley, he said that he likes to get in ONLY on %R retests and mostly those that occur outside of the accel bands. In this case, the stock closed inside the bands, but only barely...and it rebounded nicely the day I got in.

However, this was not a true %R retest...but because it was close enough and it happened nearly outside the accel bands, I decided to take the trade. CTXS is also very solid fundamentally.

This so far is working out realy well as it bounced right away. The stock is in a very strong group and has solid fundamentals...the uptrend has been in place and is also strong.

Daily and Hourly Chart below.