Winning rABC trades seem to be everywhere we look. Because that sounds too good to be true, it behooves us to scrutinize each and every rABC set-up closely in order to ascertain the following: 1) Was there enough time to manually enter the order and execute it; 2) once triggered, did the stock or futures contract return to our stop-limit bid in a way that would have filled; 3) would be have been stopped out on the first try; and, 4) did we diligently follow all of the rules applicable to rABC trades? With those questions in mind, pay close attention to the set-up in AAPL toward the end of this session. Could you have done this trade yourself? As you hone your Hidden Pivot chops, that question is the one that will matter most, not whether your teacher is able to execute trades that look impressive at first glance. (On that note, I’ll mention that we exited the AAPL trade before it really took off.)
