$COTY was my first losing trade of 2021. But I wanted to go back and see what happened when compared to my winning trade on $PLTR.
As you can see both had great runs a few weeks prior. They both then consolidated, and bounced around the new volume shelf. On Friday however, one broke one way and one broke the other way. I would trade this setup again if it presented itself. I think most of the time this would break in the upward direction. It's possible that this was just a good old fashioned shake out, and it took out some stops below. There are more gaps in the run up on $COTY and it's possible some were pushing to fill those gaps? Not sure. Only other difference I could see was that $COTY closed below the 20MA the day before. $PLTR was still above the 20MA. But it wasn't so far below to ring any alarms. Seems like typical chop around a level of interest.
Anyway, let's see if $COTY offers another entry later, but I have moved on and now looking at other opportunities.
Any thoughts on why $COTY broke lower Friday? Let me know in the comment, would love to hear other's takes.
As you can see both had great runs a few weeks prior. They both then consolidated, and bounced around the new volume shelf. On Friday however, one broke one way and one broke the other way. I would trade this setup again if it presented itself. I think most of the time this would break in the upward direction. It's possible that this was just a good old fashioned shake out, and it took out some stops below. There are more gaps in the run up on $COTY and it's possible some were pushing to fill those gaps? Not sure. Only other difference I could see was that $COTY closed below the 20MA the day before. $PLTR was still above the 20MA. But it wasn't so far below to ring any alarms. Seems like typical chop around a level of interest.
Anyway, let's see if $COTY offers another entry later, but I have moved on and now looking at other opportunities.
Any thoughts on why $COTY broke lower Friday? Let me know in the comment, would love to hear other's takes.