Momentum Tip-Off

Expansion of a stock’s daily range is a big tip off to potential momentum for
breakout traders, both to the upside and downside. Friday in the TradersWire
we gave a heads up on Astoria Financial
(
ASFC |
Quote |
Chart |
News |
PowerRating)
,
a
former high relative strength stock showing weakness.

 

15:14:51

 Astoria Financial (ASFC)
is having an expansion breakdown.
The stock is down 3.62 to 57.78 and is
carrying a 3-month
relative strength ranking of 73
from TradingMarkets.com.

 

 

Stocks in motion tend to stay in motion, at least for the short
term. ASFC is still appearing vulnerable, as it is down more than 2 points in
today’s session.

 

 

If you like to play breakouts, look for an expansion of the
average daily range to be the greatest of the last 9 to 10 sessions. For
short-term players these will often carry over long enough to make them
profitable for you.

Until tomorrow,

Duke