Trade Setup and Rules
Before UPS's earnings report, I already held a position in the stock, as indicated by my notations on the chart. However, my personal trading rules require a minimum profit margin of 10% to maintain any position through an earnings announcement. Since my trade did not meet this threshold, I chose not to hold it through the event.
Earnings Reaction and Market Behavior
Following the report, UPS experienced a notable gap up in price. My usual approach is to wait several days after an earnings release to observe how the market responds. Often, this period brings a pullback in the stock, and that pattern has occurred here.
Technical Analysis and Trade Execution
On my chart, I identified what appeared to be a Flag pattern, and I drew a line to track its progression. I set an alert to notify me if UPS broke out above this pattern. This breakout occurred this morning, even as the broader market remained weak.
In response, I initiated a half-size position according to my plan. To manage risk, I placed my stop-loss order just below the most recent low, resulting in a risk exposure of less than 4% on this trade.
Risk Disclaimer
Readers are strongly encouraged to analyze this trading idea independently and consistently apply their own trading rules. It is important to remember that all investments carry risk, and making informed decisions with your own capital is essential.
Before UPS's earnings report, I already held a position in the stock, as indicated by my notations on the chart. However, my personal trading rules require a minimum profit margin of 10% to maintain any position through an earnings announcement. Since my trade did not meet this threshold, I chose not to hold it through the event.
Earnings Reaction and Market Behavior
Following the report, UPS experienced a notable gap up in price. My usual approach is to wait several days after an earnings release to observe how the market responds. Often, this period brings a pullback in the stock, and that pattern has occurred here.
Technical Analysis and Trade Execution
On my chart, I identified what appeared to be a Flag pattern, and I drew a line to track its progression. I set an alert to notify me if UPS broke out above this pattern. This breakout occurred this morning, even as the broader market remained weak.
In response, I initiated a half-size position according to my plan. To manage risk, I placed my stop-loss order just below the most recent low, resulting in a risk exposure of less than 4% on this trade.
Risk Disclaimer
Readers are strongly encouraged to analyze this trading idea independently and consistently apply their own trading rules. It is important to remember that all investments carry risk, and making informed decisions with your own capital is essential.
Anmerkung
UPS I still have a 1/2 size position in UPS, as it has not hit my stop level. Now I am looking for it to break above the flat base area I have drawn in. If it can break and close above that level, I will look to bring my position to full size with a new stop-loss, yet to be determined.
Ideas I publish are my own. They are not meant to be investment / trading advice. You are encouraged to do your own due diligence.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
Verbundene Veröffentlichungen
Haftungsausschluss
Die Informationen und Veröffentlichungen sind nicht als Finanz-, Anlage-, Handels- oder andere Arten von Ratschlägen oder Empfehlungen gedacht, die von TradingView bereitgestellt oder gebilligt werden, und stellen diese nicht dar. Lesen Sie mehr in den Nutzungsbedingungen.
Ideas I publish are my own. They are not meant to be investment / trading advice. You are encouraged to do your own due diligence.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
I am under no obligation to post any action or update to any idea.
Follow me on "X" where I post more content.
Verbundene Veröffentlichungen
Haftungsausschluss
Die Informationen und Veröffentlichungen sind nicht als Finanz-, Anlage-, Handels- oder andere Arten von Ratschlägen oder Empfehlungen gedacht, die von TradingView bereitgestellt oder gebilligt werden, und stellen diese nicht dar. Lesen Sie mehr in den Nutzungsbedingungen.