AZO has set up a trading opportunity that is just too sweet to not blog about. Check out this text book Bollinger Band Squeeze play.
As the bands squeeze together it shows low volatility and also reflects the fact the stock is resting. Watch for a break above or below the bands and trade in that direction. Here's what it looks like with standard lines drawn.
A bullish entry point here would be a close above $167 and a bearish entry would be a close below $155. Both with good volume of course. All of the other indicators are beginning to reflect this breakout as well and ADX indicates it's ready for a trend to begin. A move either way should be able to profit $15-25.
SIGN UP HERE to take our Premier Training Class for FREE.
Friday, April 24, 2009
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment