Bread-and-Butter Play
After a stock runs up, its nature is to pull back for a few days. This action
occurs in stocks over and over again, both to the upside and the downside.
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12:05:12
 Polymedica (PLMD)
is pulling back after its thrust to the upside on range expansion. PLMD is
up 0.12 to 36.37 and is holding a
3-month relative strength rank of 99 from TradingMarkets.com.
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The stock now appears ready to take out yesterday’s high and move back to the upside out of the pullback. Traders will look to profit
from the move back to retest the high of three days ago. Make this a fundamental
pattern in your attack on the market, if you are a swing trader. They are easy
to recognize and lessen the risk upon entry. Just remember to wait for the
follow-through over the prior high.
Have a great weekend!
Duke