- A strong bounce after closed above daily MA200 is anticipated
- Any bounce (Wave B) will be met with strong resistance at the low of Wave 4 (114.50)
Trade plan: Wait for price action on Mon and go Long
Target: Wave B (111.18-114.50)
Stop Loss: below 96.50
Note: Every daily RSI oversold (green circle) have resulted in a strong bounce since 25 Oct 17'
We took $IRBT short in our chatroom today at open at 107. Currently sitting pretty at 104. Classic ORB short.
Did you hit any winners today? Join our video chat room, where our master traders call out live trades, provide market commentary and answer your stock trading related questions in real time.
WEEKLY NEEDS TO BREAK OUT OF THE RESISTANCE! CAN''T STRESS THIS ENOUGH! IF THE C&H FAILS TO HOLD, THE WHOLE PATTERN WILL NEED TO RESOLVE AND PRICE WILL ACCUMULATE AROUND 72 AREA.
Golden Cross: Check
At Support: Check
Retracement level: 0.618 check
All criteria match for scallop formation i.e long term gain with little or no major retracement.
Kind of a wild play, bought a couple of IRBT March 15 call contracts on the dip because this thing is 110% institution owned with a lot of shorts trapped from the 2 downgrades.
Completely a short squeeze play, P/E is 42 so there's no fundamentals here. Looks like the squeeze target is $150, but I'm nailing by the end of the week regardless.
Obviously bubbling up, but here's the reason why I'm not shorting this:
Institutional ownership is over 100% (use you own stock screener), all the shares being traded are borrowed shares. Valuation is high (PE approaching 40), but there's an obvious potential for a short squeeze given the limited number of...