Cutting your losses and letting your winners ride

Good Morning Traders,

Just returned from camping with the family over the weekend.  I see our charting of CDY and TLR have returned the positive results we had hoped for.  Now that our plan was successful we need to look at our original plan and revise it some to reflect our current situation.  In order to do so we just need to look back at the charts and identify points of resistance and support again.

 We can see from the chart of CDY that the price action is between resistance levels of .21 (above) and .19 (below).  There is another resistance point below the .19 at .18.  Outside of these points the only point of resistance above will be the 200-day moving average at .275.  To gauge the health of the stock we need to look closer at the different time frames and watch the money flow, MACD, and RSI:

It looks as if the stock is consolidating for the next move up (in my opinion).  The .19 level of support is very strong and it appears traders are recognizing this  and returning to the stock.  The money flow and RSI are both on the rise while the MACD looks ready for another bullish crossover.  Both the daily and 5-minute chart are live so you can monitor them right here if you don't want to set up your own charts, but I encourage you to do the legwork. My son always reminds me practice makes progress.Take the information in this post to do your own evaluation of TLR.  I am always on the lookout for feedback and comments so let me have 'em and I'll be happy to offer my insight.

Famous Trader Tymothy Sykes reveals in his last video session his acronym ALFT.  Always Looks For Tops.  If you can spot the top of the run, you can avoid the reversal.

Trade Well,

Trader43