This Is One Way To Use The 5-Period RSI In Your Trading
Kimberly Clark (KMB)
gapped down at the open on the news the company’s first quarter
profit fell 2 percent. When a stock gaps down, you should watch the stock
closely. It may give you a trap door buy opportunity.
09:45:24 (from TradersWire)
Action |
Symbol |
Order Type |
Setup |
Stop |
 Target |
Current Price |
Posted By |
Buy |
KMB | buy stop at 62.38 | trap door | 62.23 | 62.75 | 62.30 |
TK |
Shortly after 9:35, KMB formed an
inside bar on the 5-minute chart. As you know, inside bars often signal imminent
directional changes. Notice the 5-period RSI was indicating a positive
divergence. I placed a buy stop at 62.38.
09:56:39 (from Traderswire)
Follow up on KMB (Pt 2)
Sell half. Keep stop at breakeven. Â
(Chart courtesy of QCharts)
If you have questions, feel free to
mail them to me.
P.S.
You can find more on Trap Door below.