Came very close to hitting $60k this month, one of my best ones ever. The $PLTR trade definitely helped this out quite a bit. 

Friday was an interesting and little abnormal day from how I usually trade, but felt super confident in how it was playing out. 

I usually trade smaller timeframes, but have been doing some backtesting on divergences with higher timeframes, 30m, 1hr, 4hr, etc. 

Ended up seeing this divergence on the hourly chart, and it looked really good to take a short position. If you’re looking at the chart, I took $647 puts a bit after the sell signal popped up, so very close to market open on Friday. 

Was not in the position very long before I hit my 30% PT, and ended up holding about 15 contracts as runners, all in all around 70%+ on that position I took. 

To explain what I saw, for those new to divergences, it’s really simple. 

From left to right you’ll see price making new highs (higher highs) but on the TSI below, you’ll see it’s making lower highs. This is a textbook bearish divergence. 

You can also use RSI, or MACD, but I have found TSI to be superior for finding divergences especially on the lower timeframes. 

Just a really simple strategy that just works, yes there will be trades that don’t work out, just like any other strategy out there, but if you know how to manage risk, and have discipline, it will work wonders. 

Hope all of you had a great week and a great month! Time to celebrate Labor Day weekend 😝

One of my best months, so close to $60k