bad earnings report and price aggressively moves up. Selling pressure over and new market cycle begins.
indicator that end of accumulation phase is near- higher lows
ODP had a volume surge on Friday with the last candle being a bullish kicker as well as MACD signal shown.
ADX being strong at over 40 with DMI+ over 24 and DMI- over 10 showing an uptrend. It did close over the 50 moving average of 2.23
Fibonacci points are currently
Entry/Support - 2.32/2.36/2.39
Pivot - 2.44
Resistance - 2.48/2.51/2.56/2.63
For entry I...
We know...Market doesn't follow any logic. Finally the super overvalued stocks are starting fo fall . Anyway, there are very few stocks which are quite undervalued. Benjamin Graham’s Criteria for Picking Value Stocks
VALUE CRITERIAS: Graham advised buying companies with Total Debt to Current Asset ratios of less than 1.10 - ODP Current Assets (in millions) 2,870 ...
As we can clearly see, in the past we have made higher highs and higher lows.
Now we are at a crutial point, since the last high is not yet broken. if thats the case, I believe we are ready to go all the way to the top of that channel again.
So if price goes above something like 5.80 I have my entry trigger and place my SL somewhere around 5.45 $. Why is the SL...
Technical Trade:
(1) MACD up
(2) RSI bullish
(3) 50% pullback from the high and measured from the low.
(4) Bullish Flag pattern
(5) Bullish candle sticks.
I am recording this trade. The targets are on the chart, but I am not going to actively manage my stocks. I am focused more on trading foreign exchange; hence, a weekly chart and longer time frames for stocks.
