Finding the right time to enter a trade

Discussion in 'Stock Market Today' started by Patrice, Sep 10, 2021.

  1. Patrice

    Patrice New Member

    Joined:
    Sep 10, 2021
    Messages:
    1
    Likes Received:
    0
    Good day!

    I swing trade and I usually wait until the last 20 min of the day before to take trades. Once thats done I place my stop loss order and call it a day. It works well most of the time but sometimes, the price is marked down or the volume changes dramatically in the last 5 min, making my trade unlikely to be a good trade. For example, I bought TSE:DXT today. When I bought ( 10 min before the close), it was closing on the high with good volume. Exactly what I wanted. And then it gets marked down and the result is something I wouldn’t have bought.

    what would be a good way to help avoid this problem?

    I could always wait for the close and place a limit order for the morning after but I’m on my way to work when the market opens, making it impossible to place a protective stop right after the purchase has been made.
     
  2. anotherdevilsadvocate

    anotherdevilsadvocate Well-Known Member

    Joined:
    Apr 3, 2016
    Messages:
    3,628
    Likes Received:
    2,834
    What's the ticker? TSE: DXT ?
    This forum turned it into a smiley since there wasn't a space after the colon.
     
  3. anotherdevilsadvocate

    anotherdevilsadvocate Well-Known Member

    Joined:
    Apr 3, 2016
    Messages:
    3,628
    Likes Received:
    2,834
    I don't know about the TSE specifically, but the US market was having a rough week (today is 5 straight days down) so the market in general was liable to do what it did, and that's close on the lows. Maybe beware of buying in such a market, that is making new lows day-by-day.

    If you're asking mechanically, maybe make a conditional order to buy in the last 5 minutes if quoted price is above a certain level only. This might need to be a market order though, which can be dangerous if it is a low-liquidity stock.
     

Share This Page