Paper Trading Stocks 📝
UPDATE on our $APRN paper trade
If you followed the CASE STUDY: $CELH post, then you know we’ve moved those theoretical gains into the next trade, $APRN, as mentioned in the Part 1 of Paper Trading Stocks . Well, let’s look at an update of where that paper trade currently is…
Above is the chart when we entered and below is the chart from today:
As you can see, we had a few opportunities to drip in more shares on the dips, none of which triggered our S/L of $2.77 and today price again hit a Stage 1 breakout by closing above the 20 SMA and also hit a Stage 2 breakout as the 5 EMA crossed above the 20 SMA as well , getting very near to our 1st Target price of $4. Things to notice:
- Price closed above the 20 SMA and the 5 EMA crossed ABOVE the 20 SMA
- MACD is now on the positive side with momentum moving upward
- TMO is green and right in the middle leaving more room for upward growth before entering the Red Zone
- RSI is only at 57, plenty of breathing room until it crosses above 70
- Price is still well under the 200 SMA of $5.54
Now, to quickly reiterate the point of why we moved out of $CELH and into $APRN, here’s today’s chart for $CELH:
As you can see, $CELH dropped after the RSI went above 70 as we knew it would. It’s now moving sideways as it consolidates (potentially setting up for another breakout — or conversely a breakdown, so keep checking back in on it!). Now you may say, “Wait! It made a nearly 10% move today!” and while yes that’s true, we outperformed that in the $APRN trade which you can see in the above chart made a 20% move today.
Are you starting to see why we swing in and out of trades? While $CELH consolidates, we make even more gains on $APRN, that way if $CELH sets up again, we’ll be able to come in with even more starting capital — this is how real traders grown their accounts!
That’s all for today’s quick update on our $APRN paper trade. Have a great day :)
UPDATE — Aug 17th: Click here to read it
Trade long and prosper!
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