FKLI April 2006 – Oops Buy and Ascending Triangle Breakout Trade 8 – Closed with Net Gain of RM325

Trade executed according to plan? No. Margin call and further chart analysis made me exit the position.

What I have done best:
a. I follow Oops! rules.
b. I follow trend-line break rule to exit.
c. I did not answer a margin call.

What I need to improve:
a. I need to constantly practice my order execution for Market Order and Buy Stop order to avoid this mishap in the future:
i. I should follow Oops! Buy signal to put my buy stop order at 923, 1 tick above the previous low of Spot Month contract. This will remove any emotional distress and order chasing.
ii. Since the price opened gapped down on Spot Month and lower on Next Month, if I really want to buy, I should use Market Order. The Next Ask with hesitation.
b. I need to further do my FKLI and CI analysis in details.

What I have learned:
If the stop order is triggered before CI opens, it is usually not a good trade.
The trend is always your friend.
If the price touches 3 times the trend-line, the trend is strong and there is a possible big move coming.
When calculating projection target, I should look at also FR 161.8% and the top of up-trend channel line.
Scenario planning and rehearsal in the morning help me to better trade management and planning.
Chart does repeat in similar fashion of recent pattern.