About me22 and I have been doing technical analysis for about 5 years now! It all started in high school when I found out that I could make money on an app without using real money! Found out I was really interested in the stock market and now I am here.
Friday after market hours, news reports came out EBIX was sued for Violations of federal securities laws causing a %40 drop. Yesterday we rebounded up to $31 and consolidated. Today looking for another $31 retest posiblily a move up to $34 then up to $40.
Play it safe with this news it could easily go down more. Set stop losses.
We are still in an uptrend. However, if we fall below the first support line then we could see it fall to $37.35 then bounce off the strong trend line for another try up.
Plan A: I chose to use a Pennant style pattern here(Cyan Color) So if the stock moves above the top of the pennant then we should see a breakout. The top of the channel is $48.00 so it is...
Scenario 1: Possible Short Term Breakout. Lowest possible price $17.35 highest price before breakout $18.65. The breakout Price is a target of $20.30.
Wait for signs of support before buy-in. (A bounce off the dotted Yellow trend line .)
Scenario 2: Medium Term Breakout. Lowest possible price $16.00 highest price before breakout $18.65. The breakout price is a...
Tuesday, Feb 16th. I am planning on buying in TRCH @ the 3.15 ( AS LONG AS I SEE A BOUNCE/Support ) point with a Primary TGT of $4.00 (Breakout Play), Secondary TGT of 3.80 (Uptrend Play).
Stop-loss Trend Line will act as my trailing stop, anytime it breaks under this trend I will sell my previous buy-in. Then I will buy back in at my Secondary buy-in.
For Tuesday, Feb 16th. I plan on TRCH coming back down to 3.15 area for a buy-in. Next, I think it will either spike back up like previously or trend on the trend line up. I have a Stop Loss trend line, so if it breaks below my stop loss trend I will sell my previous buy-in then buy back when it hits my secondary buy-in line.
--A lot could change Premarket...
So in this short video, I show you how to use a pennant style pattern to find a "Possible" Breakout point. This small breakout was a 6% move. Doing this will also help you determine your buy-in areas, so when it hits the support trend line this is the ideal buy-in time.
Ideal Buy In Areas . (When it bounces off support trend.)
CRDF is at a double support currently. Could be a really good buy in point here. Don't be afraid to buy in small portions. 1st target is $15 to see if we get past that natural resistance.
Options could be a possible way to go as well.
Also, don't forget Cardiff is speaking at a virtual presentation on February 17th.