Donchian Channel Breakout Trade Alert in $DBE and a General Update

Happy Holidays everyone.  Yesterday, Christmas eve, was a short session for the markets, but I was filled on a Donchian Channel breakout trade.  The details for the trade are below.

lightsI also wanted to mention that two of the results pages are up and you can find them through the Capital Allocation choice in the menu above.  You’ll notice that each system has it’s own page so we can track the individual system results.  In the spirit of results, has anyone out there used profit.ly?  Profitly is a site run by Tim Sykes and is geared more towards shorter term stock traders, but it looks pretty cool.  I like the ability to import trades and publicly post results in a “prettier” format.  If anyone has any experience with the site or knows of an alternative solution, please let me know in the comments below.

Trade Details:

I bought to open 109 shares of DBE (PowerShares DB Energy ETF) at 29.30 with an initial stop at 28.55.  In actuality, DBE had a new 50 day high back on 12/4/13 and then fell lower.  During that period of lower prices is when I released the market choices for the Donchian Channel breakout system, however, I don’t like to buy weak breakouts and I chose to wait until a new high was made.  Yesterday, DBE finally made a new 50 day high and that was our signal to enter the trade.  Some traders might have chosen to take the signal even though price broke out and then fell lower.

$DBE Donchian Channel Breakout
$DBE spent the majority of 2013 chopping around with several failed breakouts. Hopefully, we’ll get a real move going into 2014.

Looking Ahead:

The rest of this week and next week should be fairly quiet with the holidays. I’ll continue to monitor the open positions and take any new signals that come up. Make sure to check back this weekend for the Weekly Market Commentary.  Thanks for reading and Merry Christmas.