Walterthegsd

Sitting on Major Support - Expecting bounce into 5th wave

Long
NYSE:OCN   Ocwen Financial Corporation NEW
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1
NYSE:OCN Sitting on support line dating back to April 2017. Expecting bounce to 5.50 - 6.00 range by end of Q1 2019, or possibly end of 2018.
Trade active: Yesterday heavy sell volume resulted in a clean break of our trend line. However, support at $3.50 level is strong. Bulls were able to rally today.
Comment: With selling activity being exhausted in this recent move down and today's bullish price action, I am expecting a rally back to the top of the channel around $4.00. The bottom of our trendline is clearly a bearish signal. Therefore, I am not sure if we will have enough momentum to break through the top of the channel. This will largely depend on Q3 earnings release later this month. Still Long at the moment, but be cautious as we move back to the top of the channel.

Comment: Typo: The *break* of our trendline is clearly a bearish signal
Comment: We touched $4.00 and came back down. My current plan is to ride OCN back to the 30 day EMA (around 3.85) and then sell. Earnings is next week and I dont want the added variance of holding this stock at that time.