The importance of buying and selling breakouts and resistances-Refining your plan

Good morning Traders,

This blog is not like most others.  This is not one of those get rich quick schemes where I pump stocks and sell you my shares leaving you with my "baggage".  I simply watch stock charts in the hopes of catching low priced stocks for a short trade.  The only stock I have purchased that is on this blog is PLUG:

I purchased shares at the beginning of the breakout above $.40 (at .4047) and sold about a week later at .5218.  This represents a gain of about 29% in a week.  This return is better than any index this year.

The opposite holds true with LPR:

I had shown the breakout and resistance levels as highlighted above in the hopes of catching some momo like PLUG.  The plan was to pick up shares on a breakout above .60.  While I watched for the stock to surpass this level it took a nose dive. It is now trending lower along the original downtrend line:

This is why we stick to the facts of our trading plan not our feelings.  By trading the facts and not my feelings I narrowly avoided a 50% haircut.  Please do not mistake a chart setup for a buy endorsement from this site.

Now on to the good stuff:

Two plays from the past posts are still in play.

BRD:

BRD announced earnings this week and the market did not kick her to the curb.  The ascending triangle is still in play and is worth a watch over the next few sessions.

TLR:

Announced earnings as well this week and its current chart looks good in the near and medium term.

We've had quite a few readers over the weeks.  I would welcome any feedback, comments, other trading setups/lessons, or simply donate a cup of coffee below.

Thanks for reading and have a great weekend,

Trader43