How to trade it?
- I would buy in half at $24.00, with a stop in at $23.54 below any solid support/50 ma. Roughly a 2.2 risk-reward into the upper resistance. Stochs look oversold and ready to turn around.
- A break here and I would buy in my second half, confident with my cushion below me. Be sure to look for a surge in to break the downtrend and confirm the break. Don't be surprised if it comes back down to retest as support. A full measured move of the base takes CAP to $27.60 for a whole trade ratio of about 8.1
- Given a breakout, a liberal trailing stop would be a good idea. $3.60 up to $0.45 down in a perfect world, cant beat that.