PATI oversold and at good levels of support.

NASDAQ:PATI   Patriot Transportation Holding, Inc.
PATI paid out a special dividend of $3 per share on December the 30th, for stock owners of record on December the 17th.

Many people had held PATI anticipating the $3.00 per share, and once it was paid out, many people pulled their money out. This is common with shares that pay out dividends, people accumulate for the payment and dump it after the dividends are paid out.

In the chart, you can it happened twice here. A dump after a pay out.

This second dump is unique. It brings us to Significant amount of support, both at the mental price point of 8.00, as well as a very long period of time this stock had not dipped below $8. In fact, it had not dipped below 8 in the last 5 years.

This makes it noteworthy.

I am watching it closely for next trading week.

My trade would be, purchase in the area of 8. Stop loss being at just below 8. And no set profit taker. This may be one that you hold for a while and it will slowely climb up. Perhaps sell on the news of the next dividend date! haha

Having said that, Ill be watching its levels, if its slowly going down, I wont buy into it. If it breaks below 8. It could fall significantly.

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