Publish Date: 09/25/2017
All Credit Goes to Dux
The stock has potential to break through massive amount of resistance.
1 year resistance on June 23, had resistance of $5. Went to $9. If the stock shows strength like the first time, it can do it again a second time. History repeats itself.
$HMNY likes to trap in shorts. He shorted, took a loss on front side. He is staying patient and waiting for the backside.
The stock is very overextended.
Focus on the right setups.
He doesn’t like to short when a stock is gapping up.
He prefers to dip buy around support.
Follow the market – dip buys are beneficial in the market environment. Always adapt to the market.
The stock had an afternoon fade to the support level and held. If a stock holds support many times, it is a bullish sign.
The chart is very overextended.
Recognize where the support is. Dip buying support has very good risk-reward.
Held support for multiple days and the stock finally has a short squeeze.
As a stock holds major support for many times, he will consider dip buying before trying to short.
There’s many short traps everywhere.
When you play too large, or keep playing FOMO, take a few days off and focus on the market.
Always respect your risk/reward.