CRWD 195-Minute Chart
This 195-minute chart of CRWD is absolutely beautiful. It's about as clear a TPS Setup as I can describe.
In case you're new, the TPS setup is my favorite that applies to all timeframes.
It contains three core elements:
- Identifiable Trend - My setup relies on clear trends, often bullish ones, that form over time. Following the blue arrow, you can see how shares rallied over several weeks to make a high before retracing.
- Chart Consolidation Pattern - Many of you are familiar with chart patterns. I look for 'continuation' patterns as part of my setup. These identify areas where price is reestablishing itself before making the next move. You can find these on all sorts of charts and timeframes.
- Squeeze - This is the glue that pulls all of my LottoX trades today. A squeeze identifies a contraction in price. The red dots at the bottom indicate the Bollinger Band indicator moved inside the Keltner Channel. This tells me shares are about to make a substantial move.
I want to point out the red dots just to the left of the ones in the orange box. That was the previous squeeze that fired when the red dots turned green.
You can see how that led to a thrust higher before price settled back down.
That's what I want to see against the entire chart pattern.
With the stock near all-time highs, I'm looking for it to break up over the highs by about 25% of the entire range of the chart pattern.
In this case, that means price as high as $175, which if I can time it right, would be a big win.
And since timing is important, that's why I trust my LottoX indicator to help me out here.
GOGO (GOGO) - 61% Short Float
GOGO is a great stock for a potential short squeeze.
With 61% of the total shares available for trading sold short, over half the folks have bet against this stock.
Yet, the stock is near all-time highs.
So, if price pushes up and trips just a few stops, we could see shares spike. That could create a margin call on short positions, forcing them to buy back the stock to close out their trades, and sending shares higher in a cascade of short covering.
What might lead that to happen?
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