Here’s When You Should Look To Trade From Both Sides

What goes up must come
down?
Well, not necessarily—but when a stock puts in a sizable
trading range in the first hour, quite often there will be opportunities from
trading ‘contra’ to the original position taken.

For instance, in today’s trade I came in with a
condensed watchlist of possible longs. Silicon Labs
(
SLAB |
Quote |
Chart |
News |
PowerRating)
happened to be
one of those names based on closing prices and what technically had occurred in
Friday’s trade. So, when the issue set itself up on the intraday chart…..

09:44:39

Intraday Setup Alert

Silicon Labs (SLAB)
‘filled the gap’ on the extended 60-minute chart in Friday’s trade.
With the
stock now poised to move higher, up .72 at 53.01, continuation longs might be
considered thru the 15-minute consolidation highs of 53.14.

Yes, it was a very nice way to wake up to a fresh
week of opportunity—but, SLAB wasn’t done with providing trade
entries. SLAB, it turns out, provided potential short entries after failing
against intraday pattern extension resistance levels. I guess with a name like
SLAB, it’s always possible to fall like a rock…at least on an intraday basis.

Chris Tyler