1st gap trade in a Dead Cat Bounce5 Feb 2018 09:22
For all the Ne Bees that have never experienced a dead cat bounce. You are seeing the many falling stages involved when a shares has fallen off a cliff,, a normal dead cat goes ''splat'',,but this is a complex cat that has 'claws' and is clinging to every piece of grass and stone on the way down that cliff,, but it still has to reach the base
Having now just found when sticking claws into a stone it does not grip,, it has slipped this is called ''a gap'',, top of trading is 26.87 and fridays base is 22.70 if this is a 50% gap, trading is based on 4.17 the base of this cliff takes us back to Septembers prices... I hope not,, do your own calculations
''The important gap in investing life to look at is the gaps on the Dow Jones index,, if this is a correction, it is definitely a correct before a crash,, crashes are 66% and always have a few corrections,, bit they always always arrive (start planning for this fall)
I hope it is not a 50% gap (because it does not look good),, let us hope it will evolve into segments of 25% or 33% gaps
( see earlier message I wrote about the base being about 19.58 to 19.70 bounce points(I am tending to stick to earliest estimates, as they always tend on average to be correct)
New Bees education on gap tradind
A gap is a change in price levels between the close and open of two consecutive days. Although most technical analysis manuals define the four types of gap patterns as Common, Breakaway, Continuation, and Exhaustion, those labels are applied after the chart pattern is established. That is, the difference between any one type of gap from another is only distinguishable after the stock continues up or down in some fashion. Although those classifications are useful for a longer-term understanding of how a particular stock or sector reacts, they offer little guidance for trading.
For trading purposes, we define four basic types of gaps as follows: http://stockcharts.com/school/doku.php?id=chart_school:trading_strategies:gap_trading_strategies
https://www.bing.com/search?q=gap+trading&PC=U316&FORM=CHROMN
more here
https://www.investopedia.com/articles/trading/05/playinggaps.asp
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For all the Ne Bees that have never experienced a dead cat bounce. You are seeing the many falling stages involved when a shares has gone through the roof
''In finance, a dead cat bounce is a small, brief recovery in the price of a declining stock. Derived from the idea that "even a dead cat will bounce if it falls from a great height", the phrase, which originated on Wall Street, is also popularly applied to any case where a subject experiences a brief resurgence during or following a severe decline.
Dead cat bounce - Wikipedia, the free encyclopedia''
en.wikipedia.org/wiki/Dead_cat_bounce
here is more links to read,, if you read enough you will realise there are chart points to any dead cat bounce,,, this particular stock corrected yet
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