NYCB could bounce back from the inflation report LONG
NYCB on the 30 minute chart had an abrupt reaction to the inflation report. This is not a
surprise. Many traders and investors know that banks make more money when the prime rate
is lower because they do not need to pay much on savings accounts and deposit certificates.
NYCB has been challenged and is more volatile than the average bank stock being a penny
stock with hard fundamental issues. NYCB has reversed and the relative volume indicator
shows the flip. Price has climbed back into the lower part of the high volume area of the
profile which shows some bullish momentum.
I see this as a risky long trade but still take it for the quick 6-7% upside back to the POC line of
the volume profile. The stop loss will be the low pivot of the prior trading session.
surprise. Many traders and investors know that banks make more money when the prime rate
is lower because they do not need to pay much on savings accounts and deposit certificates.
NYCB has been challenged and is more volatile than the average bank stock being a penny
stock with hard fundamental issues. NYCB has reversed and the relative volume indicator
shows the flip. Price has climbed back into the lower part of the high volume area of the
profile which shows some bullish momentum.
I see this as a risky long trade but still take it for the quick 6-7% upside back to the POC line of
the volume profile. The stop loss will be the low pivot of the prior trading session.
Comment:
Trade active:
Stop loss raised to above break-even due move 3% higher. This is now a risk free trade.
Comment:
Price moved up 1.3% today. Looking for more and patient.
two trend indicators also showing a candlestick reversal pattern.