Category Archives: Gaps

The Key to Success

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The stock below, KeyCorp, is a good short candidate in its own right, but it’s also representative of the kind of short I’m seeking these days. It has these elements:

+ a clean topping pattern;
+ a firm drop, exhibiting that it’s vulnerable to the general weakness we saw in past weeks;
+ a hearty bounce, pushing it to a more attractive risk/reward level.

As with so many other stocks, this one has a horizontal line anchored on a gap (in this instance, at a dollar value of $12.71) (more…)

Another Glorious Victory for TA

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I have only two small screens today, not my usual eight large screens, but even in these primitive conditions, I am loving what I am seeing. Blood, chaos, and crumbling stock prices everywhere. Keep this up for a few years, and I can find my bliss. I’ll mention one stock in particular (which I’ve pointed out many, many times both here and on TT) – CREE – that has fulfilled its destiny of closing its gap. Sure, it could keep falling, but at least this goal has been met. Huzzah!

0428-CREE