DDD Navigating a bottom feeder

4 июн. 2015 г.

I see that on the daily chart DDD selling is stalling and flattening out.
It seems to be working on a triangle here at the bottom.

So I've charted out a few ways one could enter this long side.

DDD seems to be consolidating inside the triangle. There could be several buying strategies.

1. buy the breakout (close above) of the diagonal green downtrend line
2. buy the breakout (close above) of the triangle green line
3. buy the breakout (close above) of the black dashed line @ 24.04, place stop at a future swing low
4. buy as close to the red line as possible

For:
1 - place stop 10c below most recent low in downtrend (i.e. 21.50 right now)
2 - place stop at red triangle line
4 - place stop at 21.18

All of these strategies could work and seem valid.
I tend to favor the first option as it buys on an up impulse, yet keeps your stop fairly close.