You Dropped A Bomb On Me
Surprises often happen in the direction of the underlying trend. On Friday,
we got a glimpse of a possible move in Triton Energy
(
OIL |
Quote |
Chart |
News |
PowerRating) when it
formed a Lizard in the final hour of trading.
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15:52:41
Triton Energy (OIL)
is forming a Lizard after bouncing off the 50-day moving average and a 38.2%
retracement. OIL is up 0.22 at 28.03 and is carrying a 3-month
relative strength rating of 88 from TradingMarkets.com.
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The stock had been in an uptrend prior to the pullback. Rising
more than 15 points, it formed the Lizard after bouncing off the convergence of
the Fibonacci retracement and the 50-day moving average. Now in a seven-day
pullback, it is at the do-or-die point. Another down day from here and you have
to be questioning the validity of the trend.
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The stock gaps on the open, but notice the prior momentum gap
(or “Grenade”) close to the level of Friday and today’s action. OIL
has enjoyed a great day, up 4.55 to 32.55 at the time this is being written.
Until tomorrow,
Duke
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