As we all know, the so called "smart money" is always early to the party, ahead of the crowds. From the lows of 2011, Yahoo! Inc. (NASDAQ:YHOO) has nearly quadrupled, in a little over 3 years. As seem in the chart and highlighted by the white arrow, the smart money moved out of Yahoo! Inc. (NASDAQ:YHOO) during early 2014. After a series of lower lows and falling from the highs of $41.72, Yahoo! Inc. (NASDAQ:YHOO) formed a base and the hot money pushed shares of Yahoo! Inc. (NASDAQ:YHOO) higher, to a high of $44.01 on Monday.
Monday's reversal happened on heavy , and higher than the prior trading day which leads me to think that the hot money has started to flow out of Yahoo! Inc. (NASDAQ:YHOO), as the general public and all media outlets are now selling Alibaba's hype more than ever. Speculation about how Yahoo! Inc. (NASDAQ:YHOO) will or will not benefit from this is at a new high as well.
Yahoo! Inc. (NASDAQ:YHOO) has a ton of chart resistance around the $43.45 area in many time frames. Among many other factors, please note in the chart, the major of resistance from which Yahoo! Inc. (NASDAQ:YHOO) pulled back after piercing it in the . This was a major which was broken in early April. It is now a major as it crosses with another resistance at the $43.45 area. This is what we refer to as a "scene of the crime level" and has resulted in major moves in Yahoo! Inc. (NASDAQ:YHOO) stock since 1999. Traders an investors should be cautious as this area could trigger another major pull back in the shares of Yahoo! Inc. (NASDAQ:YHOO). I will be entering a trade on Yahoo! Inc. (NASDAQ:YHOO) and exactly when I do, all of my Elite Round Table members will be made aware of this so we can profit from another trade together. Also, in the trade alert (like all others we provide) it will include everything so you do not have to wonder; stop loss levels, targets for profit, all important information will be known prior to entering the trade so there is no guessing. Folks, when great trades present themselves you have to step up and pull the trigger at the right time. Join us at the Elite Round Table, get this trade and lets make some money!