Well I'll keep this stock post to pure simple technicals. The tech's being that after pulling back throughout this week, and an accelerated intra-day selloff yesterday due to speculation of Nike being involved with the FIFA indictment by the U.S. Justice Department (I'll post a screen shot of a news wire in regards to this). Anyhow price has formed a doji candlestick pattern showing the diminishing will of sellers to continue selling into support, and buyers bidding in on the dip. I will in fact be a little more cautious in trading this awaiting further confirmation of buyers stepping into the market by forming a "morning star" candlestick pattern, or by simply forming another doji / pinbar / or hammer candlestick. I personally tend to place my stops a bit wider then most are comfortable with so that is the reason that I do not really post where I put stops at, but for this post I will show where I would be looking to be placing my stop orders (Stop positioning will be outlined by a red dashed line on the chart.)
Ooops I forgot to outline where I would place my stops on the chart... Apologies lol. But I look to place my stops between the 98.00-98.20 area.
Do note: I did not place a trade target because I plan on averaging my way into a position that'll be larger than originally entered. I will be keeping my eyes on major round numbers to take some profit off the table (Ex: $110.00, $120.00, etc.).
Comments
icheeezy
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nice job daniel wish i would have seen this before was considering buying nike but never ended up jumping in, nevertheless congrats!
Daniel.B
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Thanks for the kind comments man, really appreciate it! =) There will always be another opportunity to jump in, so no worries! =D
Daniel.B
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Update: I will be watching the last 30 minutes of trading to enter the remainder of the initial entry into the position.. **Watch for block orders @ bid on market depth, and any unusually large bullish options trades ** (Also will be watching the D1 candle during the last 30 minutes for the probability of it closing as a bullish candle). Good luck =)
Daniel.B
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Update: Long entered at the open today.
Daniel.B
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One thing to notice is the above average "buy" volume an hour before yesterdays close.. and two buy orders at todays close filled for 28,773 shares bid at $102.30. Also the P/C ratio is at 2.854 so the "short" side has definitely crowded into this weeks sell off, which can lead to a short squeeze.