Despite the recent poor environment, WSM held onto its 13.5% earnings gain before rocketing off Monday morning on news that a private equity firm has taken a 5% stake in the company. Saw the news after the fact... what I did see was a relatively strong stock breaking out of a narrow consolidation at the top of a deep bottoming base on massive volume. It ended up trading its average weekly volume in one day & the most daily volume since August 2021 AND closed very close to its high on the day.
I'd normally like to give the stock more wiggle room after a big move like this, but the poor environment dictates that I move my stop up fast. I initially placed it slightly below the low of the day and was going to manually close the trade if the strong move faded into Monday afternoon, but it didn't and now I've slid it up just below breakeven with multiple key areas to protect it ($150 round #, High-Volume Support level around $151.25, and the anchored VWAP from Monday's open).
I'd normally like to give the stock more wiggle room after a big move like this, but the poor environment dictates that I move my stop up fast. I initially placed it slightly below the low of the day and was going to manually close the trade if the strong move faded into Monday afternoon, but it didn't and now I've slid it up just below breakeven with multiple key areas to protect it ($150 round #, High-Volume Support level around $151.25, and the anchored VWAP from Monday's open).