Looks like AVID would have been stopped today on an entry at 22.50 and .50 stop . IGEN short triggered at the 44.40 level . Hope GTK makes it to the trigger area so we can all take a whack !!!
Yes I'm very interesting in your method. I'd been trading full time for 4 months. Been trading 3-4 years. As usual losing money. Thanks. winminn1
babe714, Particulary with these goliath's where the chart is parabolic, I'm personally trading them loose and small or not at all. I still have 200 of AVID short and see no reason to cover as it's at major resistance with no identifiable consolidation upon which to push it significantly higher.....probably a rolling top or something and no I don't have a hard stop on it. Most folks won't do the same but what the heck.....I think I'll eventually be right. Before I took a short in it, I asked myself if the chart was a bounce (from early October at the $8ish level) or was the move coming from an objective / measurable bullish consolidation. In other words, I want to take shorts when the charts are bouncing back to resistance from oversold conditions or after having made an extended move down or have broken down from an objective pattern and merely having a snap-back rally to resistance. Thats a mouthful, but i think its meaningful and something you can probably put in your own words that makes more sense.
Looks like a bearish wedge to me......I'll take a pilot short at the upper wedge line....currently around $81.50.
Sheesh.....this ain't something I'll buy for my nephew's college fund. Hopefully, it'll pop up to the upper trendline to give me a lower risk "in." She's got risk longer term to the mid $30s. Here's what it reminds me of. http://www.downside.com/bldgjump.gif
There have been a ton that have looked like this lately.......a possible smaller H&S pattern. The low risk trade is to short here at the shoulder highs with a stop of a 1/2 or so. Sure, I get stopped out a lot trading these but it still has a decent risk / reward ratio and it doesn't hurt too bad when you trade them small.
Another possible H&S in the making (hmmm...thinking back to MIK......looks similar). The low risk trade is to short at the shoulder highs with a tight stop.