WTW ABCD - May 11, 2018
WTW gapped up and then rocketed at the open. I considered taking an ORB but it was too far from VWAP for a favourable risk-to-reward. Andrew ended up going long at 74.80 at 9:38 AM and managed to get some profit before the drop to VWAP. Shortly after, I watched an ABCD pattern consolidate with a strong support at VWAP and the 9 EMA. My stop would be VWAP at 73.80 with a target of 75.89. With an entry at 74.50, the risk to reward-to-risk was 2.0.
I accidentally took double the size and quickly sold half just above break-even. Despite my conviction that it was a long, I wasn't able to manage my risk properly with that larger size. The stock continued to make higher-highs and higher-lows and I scaled out accordingly. When it made a new 5-min low, I was all out. Unfortunately for me, that was just a quick pullback and the stock ended up hitting my target a few minutes later. Oh well--great trade nonetheless.