Is There Still Edge In This Trade?
No great big ‘yahoos’ being
hollered, yet.
When you prepare ahead of time, sometimes you are graced with cooperation
and immediate gratification from the stock, but quite often you’ll find that
that you have to maintain some patience when the bigger picture is still
confirming your original ideas on a stock’s technical condition.
09:15:31
Premarket Setup
Yahoo (YHOO)
is bid up fractionally in the premarket at 46.65. On a closing basis, thru
46.80–YHOO looks to break above a multi-week downtrend line on the daily, while
on the 30-minute extended chart break above handle resistance simultaneously,
confirming a potential move higher for long entries.
Mr. Market ultimately plays a large part in the
success of individual picks, especially when it comes to the large market
capitalization variety. For now, all we can do is admire a classic case of where
resistance becomes support. More importantly, no matter how good things
look–respect your stops, ’cause nothing is perfect, and we definitely want to
be around for the next high-probability trade.
Chris Tyler