Put Range On The Radar
Expansion of the daily range is often a sign of continued short-term
momentum, and a signal daytraders should look for.
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12:59:08
Intuit (INTU)
is breaking out from an ascending triangle with unusually high volume. INTU
has a TradingMarkets.com RS3 rating of 89 and an up trending ADX of 27. Intuit
is trading at 46.85 up 2.78.
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Yesterday we profiled Intuit
(
INTU |
Quote |
Chart |
News |
PowerRating) as it was breaking out of an
ascending triangle. It ended the day close to its high after the breakout, and
has the biggest daily range (measured from the intraday low to high) over the
past 27 trading sessions.
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This is often a key that the momentum will continue for the
short-term. Daytraders can now look for trade through entry when the stock
trades above the high of the previous day.
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The stock runs more than 1 point higher after the entry is
triggered. By waiting for follow through, you increase the odds for success. If
you are a daytrader, keep expansion of range in mind when searching for
candidates to trade in the universe of stocks.
Until tomorrow,
Duke