URI close to breaking out
URI has been consolidating in a flat base for a little over a month. It attempted to breakout on 3/1 but that breakout failed.
More importantly, however, and what I like most about this base, is that it shook out below the low of the gap up after earnings, found support at the 50dma, and held the pre-gap high (thus not closing the gap). This makes for a fantastic level to play against. Traders who bought off the 50dma will want to see that daily/weekly low of 119.11 hold.
If URI attempts to breakout again, the best place to put a stop in my opinion is still 119.11. However, that's about 10% below the 131.19 pivot which is a stretch for most (myself included). If I'm looking at trading URI longer-term, maybe I let my 7-8% max sell rule slide, place my stop below 119, have the 10% difference between my entry/exit points, and adjust my position size accordingly. However, from an intermediate-term perspective I'd either want to buy closer to the 50dma should URI test it again OR wait until a shorter term layer of support is developed.
More importantly, however, and what I like most about this base, is that it shook out below the low of the gap up after earnings, found support at the 50dma, and held the pre-gap high (thus not closing the gap). This makes for a fantastic level to play against. Traders who bought off the 50dma will want to see that daily/weekly low of 119.11 hold.
If URI attempts to breakout again, the best place to put a stop in my opinion is still 119.11. However, that's about 10% below the 131.19 pivot which is a stretch for most (myself included). If I'm looking at trading URI longer-term, maybe I let my 7-8% max sell rule slide, place my stop below 119, have the 10% difference between my entry/exit points, and adjust my position size accordingly. However, from an intermediate-term perspective I'd either want to buy closer to the 50dma should URI test it again OR wait until a shorter term layer of support is developed.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.
إخلاء المسؤولية
لا يُقصد بالمعلومات والمنشورات أن تكون، أو تشكل، أي نصيحة مالية أو استثمارية أو تجارية أو أنواع أخرى من النصائح أو التوصيات المقدمة أو المعتمدة من TradingView. اقرأ المزيد في شروط الاستخدام.