As regular subscribers should note on the «Open Positions» section of today's report, many protective stops have now placed below their respective 20 - day exponential moving average, which should provide near - term
support during any pullback in the market.
We set a buy stop above resistance of the short - term downtrend line that
formed during the pullback, enabling us to buy $ MZOR at $ 45.11 on the second buy entry.
Since breaking out to new highs three weeks ago, $ PPA has pulled back to support of its rising 10 - week moving average, which has held up all
year during every pullback (10 - week MA is roughly the same as the 50 - day MA).
And you may want to keep a little extra cash on hand so you can add stocks at lower
prices during pullbacks if appropriate.
While most stocks were hit
hard during the pullback, DIS was hit particularly hard due to concerns over subscriber losses at ESPN.
I think we could see a pullback sometime during the next year, and I think the Netflix share price will prove extremely
vulnerable during any pullback.
It is used in cases when the share price has turned green, ensuring
gains during a pullback or a deeper correction.
The last factor is vital, as stocks that are saturated with bullish investors tend to be sold more
heavily during pullbacks as investors rush to sell.
As markets continue their slide, investors are looking to diversify into names that hold up
well during a pullback.
After the initial bounce from the lows of $ 49.04 on March 18, we had expected the bulls to strongly defend the $ 65
levels during the pullback.
Another thing that helped me was the fact that this trading system focuses on getting into the market at good buy and sell points,
during pullbacks.