Korattt wrote: ↑Tue Jun 05, 2018 8:16 pm
eightbo wrote: ↑Tue Jun 05, 2018 8:07 pm
'Hardback' just got backed... hard! Not every day you see a 40 tick move
18-06-05-Kilbeggan-1955-Hardback.PNG
I’m always find the initial drift on moves like that quite puzzling & very hard to be confident with gauging a read on something like that because I’ve seen so many exponential drifts extend from the initial drift, I think more so on the Irish markets
Yes can be quite puzzling, but if I give some additional context maybe you can see how you could also take such a trade?:
If it was constantly drifting I wouldn't oppose it, but here the price was notably struggling to drift further for some time (2.12/2.14 on the graph), all the while the 2nd fav was coming in significantly so there was clearly more support for this than the 3rd/4th/5th etc.
Given the earlier price history on the fav, the trade has huge potential if you're right and comes at low-ish risk if you're wrong (you can safely say you're wrong at like 2.16/2.18 if 2.14 is broken)
Best risk/reward trade I saw all day