SNOW Gap over structure

٢٣ مايو

SNOW is gapping up on earnings. I am looking for an entry at 167.22 or 170.07 for calls to 175-185. I am risking $1 to make $5-10 on this trade.

If it gaps over the level I will enter on a retest. If it gaps slightly below, I will wait for a break above and retest.

This fits all of my criteria for my favorite type of setup. A gap over a structure/range area and a multiple day consolidation. My #1 requirement for every trade is a high R ratio. I must see potential for a large run to even consider it.

٢٣ مايو

ملاحظة

No entry on this trade. I am still looking at a potential entry at 161.57 if this 30m candle closes above and holds.

٢٣ مايو

ملاحظة

This is why the retest is so essential on any gap or breakout trade. They often fail so I always wait for a confirmed entry.