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This is an interesting one. And experience helps with these kind of trades too. One of our members pinged me about a potential trade on ANET on 8/10. On that date, it had this huge first red candle and it appeared that the stock could be ready for a mean reversion trade. ANET is not a stock that I trade, so this was a tricky one. Practice does make perfect and I am sorry to throw the "I didn't feel the trade" bomb at you. I told our member that the red candle seemed so strong that we should wait until we see at least some signs of the downward movement slowing down. I had not expected that it would go down all the way to do $210 frankly. But $210ish is when I saw the first signs of the downward momentum losing steam. And that is when I posted the trade alert.

Due to a massive 14% correction in NASDAQ, most of the Sept trades went under-water. The account fluctuated all the way down from $6,800 ->$4,900 at one time. I recommended all my members to put on "Bail Out Trades" for Oct. Because of doing that, you can see that I am slowly approaching my $6,800 balance again. What are Bail Out trades? The second edition of the book is due out any time and I will be mentioning in the book how you can save your portfolio from Market corrections and Black Swan events. Stay tuned.