NYSE:GPS fired off a bullish signal this morning at a support level that fit my rules for a long trade entry. I'll be watching this closely through the week as the stock has Earnings on 5/27 which can be a maker or breaker of a great trade.
Comment
⋅
Closed out the trade when it got to resistance on Wednesday. As it turned out holding until right before earnings would have been perfect. Yet another example of why you just don't take on earnings risk if you're swing trading.
@Mcanon7 I’ll go with my understanding and @norok can then confirm if I got this one right. Basically price movement a couple of days before earning release. In addition the price movement is align with previous support line on which there was previous price interaction. Assuming earning will be good or beat expectation this might give a bullish trend
Every morning I look for stocks to do something like this. The first 30 minute bar to SPIKE to break Support (or Resistance) of the last few trading days and then CLOSE back within that level. Some people call this a stop run or a shakeout but it can often signal a reversal especially if it is on a major level with plenty of prior price action to confirm that level.