NET came to my attention when it traded above 0.10. I liked the shallow sideways consolidation on low volume after the prior run up. I didn’t trade this because I don’t trade companies with their whole business located in China (or Israeli based companies). A chart like this shows me how silly this bias is. I’m working on it.
My setups are labeled 1,2,3.
#1 is the BO of the consolidation at 0.105.
#2 is BO-NH at 0.14.
#3 is BO-NH at 0.21
Your entry on 4th July is similar to my #3. If I bought here I would know that this entry into the trend is late and price momentum is nearer to the end. The R:R of this trade is worse than #1, #2.
It’s important to know why you bought this stock. Are you trading it for a quick gain or are you intending to be a longer term holder hoping for a huge profit? This is very important because this dictates how you should manage the trade.
Personally I trade for both quick and medium term gains. Buying at #3 I would be hoping for a quick gain because I’m late. At 0.30 my trade would be past +2R and I would protect this gain with a very tight exit stop. I’ll let price go higher but if it starts to fall I’d sell at 0.28 to grab a quick +2R result.
If I’d bought at #1 or #2 then I’m able to let price move around a lot more and see if there’s more to this weekly trend. I hope this helps you form your own trading plans. @just_jay