I am a firm believer of 4 cycles of stock manipulation. 1)Accumulation(base) 2)mark-up(rising) 3)Distribution(topping) 4) mark-down(down trending), repeat. so it is important to be in the right side of markets. Sometimes though you can identify the big winners of the future before they are known. TDW happens to be my pick, after reorganization in May this year....
TDW looks very interesting, its rolling up to the moving averages at the moment. It is in the shipping industry & a lot of the shipping company started to recover. We think TDW also has good upside potential if it can cross above $1.03
* Trade Criteria *
Date First Found- June 19, 2017
Pattern/Why- Fallen angel formation
Entry Target Criteria- Break of...
TDW has broken a long term downtrend with a big impulse, but it is retracing too fast. You can look to the price action for a potential buy on the bounce or you can wait for a potential short on the pullback.
Currently 23% short float interest in TDW. Trending slightly above 20-55day EMA's. Beaten down stock from 9$ to $1.36 at it's 52 week low. Since it's low it's bounced pretty well tagging $4.50 at it's high. That will be the level where we could see this thing run with no resistance until we are above $6's. I put the support and resistance as such in the blue...
+ broke out today with above average volume
+ cup and handle formation over the past 2 weeks or so
+ sideway price movement over the past few days, with contracting volume
+ 5ema about to cross upward, while piercing through the body of today's break out bar
- upper shadow on today's bar (didn't close near day high)