This is a simple setup. Find a stock that is in an uptrend, wait for a correction that forms a descending channel, then go long on the first pullback after a breakout of the descending channel. Go long on a pullback to the "Entry" zone, which is a confluence of the ascending channel (red) within the larger ascending channel (black) and the descending channel....
BMY (Daily). Potential Correction.
Range Limit reached.
Regression Channel upper bound.
Bearish Pin bar. at resistance.
BB stretched.
RSI at potential overbought levels.
OBV at horizontal resistance.
Vs SPX500 Ratio reaching upper bound channel.
Breaking and sustaining this level, opens the door for further upside.
When I see a stock go from 2.6 times sales to 6.4 times sales while revenues have fallen from $21 billion to $16 billion, you can tell that investors are hoping for something big coming down the road.
For now, I'll look for a trip down to the lower end of the rising regression channel.
Risk - $64 or $65. Target $53-$54.
Tim 4:25PM EST Feb 27, 2015
$BMY has been struggling the first half of this year, but things are about to get worse. So far this year, each downward slide has been able to hold Sep/Oct13 resistance line converging with the 61.8% fib from the late Aug13 breakout level. Last week that crucial line was severed aided by the downward pressure of a death cross. This lower low break on high selling...
Drug Manufacturer Brystol-Myers was trending up and topped at $57. At $54 it dropped below key moving averages - for me its point to make adjustments.
Recently it has been hovering around 200 EMA and now broke down with conviction on volume above average. The last potential support was at $47.50 but buyers failed to hold it. I think if it will hold below for the...
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