Educational Post
Generating Cash Flow Through Active Trading Strategies: Truworths (TRU) As An Example
Followers of my research have benefitted from my focus on price and in particular, the short term time frame that looks to capitalize off volatility of share prices.
Going forward, I'm looking for TRU to unwind from an overbought range however, here are two occasions where clients have been alerted to opportunities on both the buy (long) and sell (short) side.
Sell/Short. Followers are regularly alerted to oversold/overbought conditions which helps to recognized potential trading opportunities. In this instance, the overbought status and price extension versus the 200-day were key reasons for the sell-side reward-to-risk being favourable. From 7647c, we saw the share price trade down to 6808c, exceeding the downside target.
Buy/Long/Cover Short. Followers are regularly alerted to potentially significant developments on the standard deviation screens, from either a buy, sell or neutral perspective. On 21 October (pre-market) a chart was highlighted which showed the share trading at the lower boundary of it's 50-day 2 standard deviation linear regression channel. From 6917c, we saw the share gain 18.3% to close at 8183c on Friday.
Generating Cash Flow Through Active Trading Strategies: Truworths (TRU) As An Example
Followers of my research have benefitted from my focus on price and in particular, the short term time frame that looks to capitalize off volatility of share prices.
Going forward, I'm looking for TRU to unwind from an overbought range however, here are two occasions where clients have been alerted to opportunities on both the buy (long) and sell (short) side.
Sell/Short. Followers are regularly alerted to oversold/overbought conditions which helps to recognized potential trading opportunities. In this instance, the overbought status and price extension versus the 200-day were key reasons for the sell-side reward-to-risk being favourable. From 7647c, we saw the share price trade down to 6808c, exceeding the downside target.
Buy/Long/Cover Short. Followers are regularly alerted to potentially significant developments on the standard deviation screens, from either a buy, sell or neutral perspective. On 21 October (pre-market) a chart was highlighted which showed the share trading at the lower boundary of it's 50-day 2 standard deviation linear regression channel. From 6917c, we saw the share gain 18.3% to close at 8183c on Friday.