March 26th, 2017 05:03
More and more people are relying on their smartphones to get things done. It’s convenient after all. We no longer need to sit at a desk with an oversized computer to do work, send emails or read the news. Work can be done from anywhere at anytime as long as we have a cell signal. The vast array of mobile apps out there allow us to communicate with friends and co-workers, some with more ease than others.
I’m sure you have all experienced the ease of use of certain apps on your mobile devices alongside apps that just don’t work well at all on a small screen. One of the reasons for this is that while some companies create mobile first apps with a vision for what works well on a phone screen, other companies make a last ditch effort of a mobile app in order to keep up with the demand for use on that platform, but with little ability to create a mobile optimized setting. The result is a clunky app that is nothing more than a reworked version of a desktop browser site.
One area that has definitely been lacking a mobile optimized setting is stock trading. Most apps out there are reworked versions of PC apps that have limited functionality and a poor interface.
Enter Alpaca! We are creating the ability to make trading decisions on your smartphone by giving you all the information you need in bite-size form. The details are all there so you don’t need to spend time researching ideas or drawing charts. We do all the work for you and present the details so you can easily skim through the stock stories and make an informed decision to trade or not to trade. We even provide full trading plans with entry ranges (stop-limit prices), stop losses and targets. The stories are designed to give you a favorable risk/reward ratio. In other words, even if half your choices go the wrong way, your winners will always be more than your losses, leaving you in profits. We do the work to keep the odds in your favor.
So without further ado, here are the stories I’d like to highlight this week.
We posted a story on PPG, an industrial manufacturer of coatings, that included three bite-size candlestick details.
The chart below details the entry and exit of the trade. The trade plan was included in the story for an entry range between $101.64 – $102.64, a stop loss of $99.74 and a target price of $112.52. The stock spiked on positive news on March 8 and reached the target for a 9.78% profit.
Another story we presented was one of those trades that did the right thing, right away. It hit target the day after entry with a profit of 12%. Candlestick patterns represented in this story with bite-size details included:
In the chart below you can see the entry and exit details. The story was set up with a plan to enter between $57.26 – $58.26 with a stop loss at $55.86 and a target of $64.36.
Another story we presented recently was on the Chinese web based travel provider, Ctrip, that did not fair as well. It stopped out the same day it entered. The markets that day took some big moves to the downside and caught bulls off guard. It was the first day the market lost more than 1% in 104 days. Days like these happen in every market and sometimes they signal a change in sentiment that can take stocks spiraling downward. This is where risk mitigation keeps us safe.
The trade idea had a lot going for it with candlestick patterns that were detailed in bite-size pieces including,
But the heaviness of the market that day was too much weight for CTRP to bear and while it started out in the right direction to allow for our entry, it stopped out before the day’s end for a loss of 3.69%. Of course, with small losses and larger gains, we can continue to be in a profit positive position. The plan was to enter between $49.53 – $49.96 with a stop loss of 47.96. I will say that CTRP recovered nicely and is starting to set up again so I will be watching for another story on it soon. Here is that chart.
You know I can’t leave you on this rainy (in California) Friday afternoon without giving you my assessment of the markets as a whole.
SPY lost a bit of ground this week as it seems to finally be reacting to turmoil in Washington. The administration withdrew its healthcare replacement bill after failing to garner enough supporters in the GOP. While Mr. Trump said he would let it go and continue forward with his other policies and reforms, including tax reductions, concern that he will not be able to accomplish all that he promised has led to some weariness among bulls. Healthcare stocks that benefited from the Affordable Healthcare Act had a nice day on the news.
The one nice level holding the SPY up currently is the 50 day SMA. This level must be held next week if the index is to stay on track to take another leg higher. Here is the SPY chart.
I have been writing about our mobile stories for a few weeks now so hopefully you know where to find them, but just in case you don’t and if you’d like to be one of our beta testers with early access, simply click this link AlpacaScan Mobile Stories | Alpaca.
We were going to stay home for a couple of weeks but we realized that this weekend may be our last chance to ski. Between business travel and family commitments, our weekend availability for skiing is getting thin. On top of it, another foot of snow has fallen on our mountain, so we have decided to go for a one day trip which allows me to still go to the local farmers market. Yay! I can’t believe I get to do both! It will also be one of the few chances we have been able to free ski with our daughter this season since she has been working on the slopes. I’m looking forward to getting out in the snow and getting some exercise. I hope you all have a great weekend and get out to have some fun as well. See you next week everyone!
The author, Danielle Spandau is a seasoned trader/investor and educator also known as The Trading Wife.
All information and/or opinions contained herein are impersonal, for informational purposes only, and do not constitute a solicitation or offer to sell securities or investment advisory services. The views and opinions expressed in this article are those only of the author(s) and do not necessarily reflect the opinions of Alpaca. If you are considering making an investment, you should consult with an investment professional.