daytrades nov 25 afternoon, page-55

  1. 1,485 Posts.
    Share2010: I traded LYC for a very small profit (4%) this morning. I exited at 1.655, and watched with a bit of annoyance when it ran on to 1.69, but I was vindicated later when it dropped back to its current levels (1.62/3).

    My exit point was based on spending about 2 hours watching the market depth buy/sell ratios on both orders and volume. When the ratios drop off, it's a good sign that volume will decrease, and you should get out at that point. (mind you, there were a couple of false alarms in that 2-hour period, which I successfully ignored).

    I haven't paid much attention since I sold out, but if you note the changes in ratio, you can sometimes pre-empt a small run. The good thing about LYC is that it's amazingly liquid, and rises or falls are unlikely to catch you unawares. Good Luck!

 
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