WSP has been here before. Pushing at a long-term resistance zone trying to breakout. So far, the breaks to the upside haven't been accompanied by much of a volume increase. I had to get out of this one last time when the price spiked but volume stayed low and the price collapsed back shortly after.
Trade entry and stop loss are hypothetical at this point. Likely to see a bit more consolidating, and only then will I know my entry point and stop loss based on that consolidation and breakout price. I also want to see the volume increase this time, so this trade has NOT triggered yet. Assuming the entry is somewhere around 75.50, the target is valid. Can also use a trailing stop loss.
Careful, lower volume stock.
Disclosure: No position yet.
Trade entry and stop loss are hypothetical at this point. Likely to see a bit more consolidating, and only then will I know my entry point and stop loss based on that consolidation and breakout price. I also want to see the volume increase this time, so this trade has NOT triggered yet. Assuming the entry is somewhere around 75.50, the target is valid. Can also use a trailing stop loss.
Careful, lower volume stock.
Disclosure: No position yet.
Cory Mitchell, CMT
Stock and forex trading insights at tradethatswing.com/
Stock and forex trading insights at tradethatswing.com/
