One of our rules we use is to NEVER trade the first 15-minutes of the market. This is because many times noise and false moves take place in this time.
For open positions, if a stock gaps down below the established stop, wait for the first 15-min bar to fully form, and then place a stop underneath the low of that bar. More often than not the stock will gap below your hard stop then rally in the first 15 minutes.
The only exception for this rule is when taking profits. Profits can be taken at ANY time during market hours and override any rule.
For open positions, if a stock gaps down below the established stop, wait for the first 15-min bar to fully form, and then place a stop underneath the low of that bar. More often than not the stock will gap below your hard stop then rally in the first 15 minutes.
The only exception for this rule is when taking profits. Profits can be taken at ANY time during market hours and override any rule.
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