Thursday Update: DIS & AXP


On hour before Thursday's close AXP ad DIS have both exceeded +35% and in just two days. There are advantages to taking these quick gains:

(1) Take a lot off and you guarantee a winning trade while leaving some on for further gains;

(2) Taking less off reduces overall risk on the trade while leaving a larger position for further gains;

(3) Taking anything off at all, large or small, frees up capital for the next trade(s).

The above guidelines are relatively loose because everyone has their own trading style. You determine the exact meaning of "take a lot off" and "take less off" to suit your style or the size of your account. As a very general rule taking 75% of a position off is a good compromise. As for remaining positions, the "lottery tickets," you can ride them through to expiration or take them off gradually as they rise. In any case, best to exit if they fall back to break-even basis the original entry price.

PS: Taking +35% off leaves very few trades at the current time, but you should have some lottery tickets still active. It's better to be selective on the trades that go out than to send out trades just for the sake of sending out trades. Quality over quantity. If you need more action, try out the PRO or Premium Services, both of which doing well. Email us for an upgrade: