One of the B/O trades I have been stalking is in $TSN and during my recent chart review I noticed several distinct views worth noting that show how your perspective can change, or be confirmed, based on where you draw the Trend Lines.
To illustrate this, I have 3 different charts below to help show how perspective can be confirmed:
The chart above is with no Trend Lines, just a few standard moving averages and volume/MACD turned on. Now for a chart showing an Up Channel:
Looks pretty nice if you are long from August, well done if so. Now for a change in perspective I show you the B/O (breakout) play I am playing today:
I like to have only high probability trades, as I am sure you all do, and these 2 different chart views helped to solidify my Bullish thesis. Just a little extra work to create a few different charts can help a trader confirm their bias, or cause them to pause when they don’t agree.
I hope you are enjoying January Options expiration week, have fun today and tomorrow. 😉
As is the case with every indicator, there are trades that can be found with oversold readings AND over-bought readings. The Williams %R indicator is no exception.
To illustrate this, I bring you 2 charts. The first is the Daily chart of $CSCO:
Very elevated reading here and the Hanging Man candle seals the deal.
Now for a chart of $TSN (recent earnings report too):
Another with a very elevated reading but may still have a little left in the tank. A Short here would require a little more patience but a nice trigger nonetheless.