Charting a Bullish Break into Open Air Goldman Sachs GS
Mon, Aug 7, 4:11 PM ET, by Corey Rosenbloom
Shares of financial giant Goldman Sachs (GS) broke resistance today into a Bullish Zone.
Is this the beginning of a breakout and new bullish swing, or just a mean bull trap in the making?
Let’s pinpoint the level and plan the “departure” trade:
Goldman shares stalled and reversed down away from the $250 per share pivot.
From there, price fell toward the 50% Fibonacci Retracement at $210 on a lengthy positive momentum divergence, setting the stage (correctly) for a bounce.
Our bounce took us into the $230 price pivot which held through July.
However, August may give us a breakout through $232 into the green “Open Air” (no resistance) pathway back toward the high.
If you’re trading or observing this stock, set your trades in terms of the “Departure” away from $230 and $232 – $250 on a bullish pathway and back toward $220 on a bearish pathway (a bull trap triggers beneath $230).
Follow along with members of the Afraid to Trade Premium Membership for real-time updates and additional trade planning.
Corey Rosenbloom, CMT
Afraid to Trade.com
Follow Corey on Twitter: http://twitter.com/afraidtotrade
Corey's book The Complete Trading Course (Wiley Finance) is now available along with the newly released Profiting from the Life Cycle of a Stock Trend presentation (also from Wiley).”
SDI Glossary: "Bullish" Definition
SDI Glossary: "price" Definition
SDI Glossary: "Finance" Definition
SDI Glossary: "Retracement" Definition
SDI Glossary: "Stock" Definition
SDI Glossary: "Trend" Definition
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