Old Mutual PLC [JSE:OML] – Missed the entry, NOW WHAT DO I DO??
Ok great, so this does happen to the best of us and it happened to me on Old Mutual PLC (OML), I totally missed my entry point to trade at my entry price of 3475c and what makes it worse is the perfect set up (channel breakout) on the trade and it reaching my first target price of 3559c on the first day after the break out.
What to do now?
A wise man will look for a new entry to the trade and a wiser man will look for a new opportunity elsewhere. So, for those who missed the trade (entry) like myself and want to attempt to re-enter the trade I will look to do the following:
New trade Idea on Old Mutual PLC (OML)
Scenario 1
Look to buy (long) as soon as the price starts to weaken back to the original entry price of 3475c. It might come down to test the channel shown in graph above and find new support from this channel before moving higher. If the channel’s support does not hold it can break down as low as 3300c.
I do think the second target price 3690c is reachable if we do get a bounce from the channel.
Scenario 2
The price consolidates around target price 3559c and just pushes higher from there to target price 3690c. I will wait for a close above target price 3559c to enter the new trade.
Please take note that attempting to re-enter the trade is not going to be an exact science with a set level or specific entry price like my other trade ideas. I still feel that there is an opportunity to gain from this trade.
Read more notes by Barry HERE.
