Well, INFY hit the short trigger and closed below the $52.20 mark that I set out in the Darvas technique. So a trader could either short the stock or buy puts. I didn't do it, but I am going to follow the stock.
AF still has a $28.21 trigger, but the 3 days of rising prices has now set the lower bar of the Darvas box at $26.34. So any CLOSE below $26.34 means you would close out your position.
BLUD popped onto the low ADX radar and is a strong candidate. If you wanted to play it the Darvas way, you would have to wait until the $36 top of the box was broken. If you wanted to get in a little earlier, you could buy in at $33.85 as this is a triangle being formed.
HSR has an ADX level of 11 and it is currently touching the top of a Darvas box based upon the low ADX, not a new 52 week high level. $11.70 is a buy point here, but there is a large stop loss clear down to $9.67. Can you handle it?
In fact, if you are using the Darvas theory with a breakout from a low ADX, ICE has just broken out of a consolidation past the buy point of $135.75 and has a stop loss of $121.93. That is just over a 10% stop loss order, FYI.
Bought the GBP/USD pair today at $1.996 for these reasons: (click on the chart to enlarge)
1. ADX is trending down and getting ready to cross back below 25.
2. The slow Stochastic (a non-trending indicator) has bounced of the oversold area and is heading back up and a buy signal denoted by the "B" says to buy.
3. The GBP appears stronger as inflation pressures in the UK are higher than here in the USofA.
Good luck trading.
JD
Posts
No comments:
Post a Comment