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Registered User
Joined: 12/2/2004
Posts: 1,775
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Lot going for this setup imo. High volume breakout about a month ago taking out multi-year highs. Pullback last couple weeks on lowering volume. Technicals all around look good to me. Note not only the terrific volume surge starting a month ago during the breakout and ramp up, but also the accompanied BOP surge and MS spike, both still holding strong. A well defined near term support of 4.83 is now in place and a starter postion while price is near 5'ish might work out. Long today with a 1/3 position size, stop at 4.80.
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Registered User
Joined: 11/11/2006
Posts: 359
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Appears to be the "Holy Grail" set-up, as described in other threads.
Good find.
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Registered User
Joined: 1/12/2009
Posts: 235
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Fpetry how do you scan for these stocks? What parameters do you specifically use? Do you scan for these using TeleChart?
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Registered User
Joined: 12/2/2004
Posts: 1,775
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QUOTE (traderm30) Fpetry how do you scan for these stocks? What parameters do you specifically use? Do you scan for these using TeleChart?
traderm30, I used a simple scan and found VITA earlier this month (when too extended to buy for my taste), placed it in a Telechart watchlist and viewed daily, hoping I would get a good setup. A few days ago when it appeared it may have put in a bottom on the pullback I placed the ticker in my trading platform live streamer. The easy scan was for any stock over 4 moving up 5% or more on 2X or more daily avg. volume, with price at or above the 50-day average, with very recent volume 200k or more shares trading. I see a lot of those on big bull days and quickly eyeball and eliminate those that have sloppy daily trading ranges, strong nearby or overhead resistance, etc. I probably do it the hard way.
mammon, I don't recall the Holy Grail setup, probably read and forgot. But I'll take as many as I can find.
Was it the dragon setup types that Ben is good at?
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Registered User
Joined: 11/11/2006
Posts: 359
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fpetry: Sounds as good as the rest of the scans. I make a watch-list of stocks making new highs and add to it each day. After a while, you will have a hundred or so of these. I then view them each night for those in a pull back.
There are several methods of using these pull back stocks, the Holy Grail being one of them. Briefly, if the ADX is 30 or higher and the stock pulls back to the 20EMA, it presents a buying opportunity in a good stock in an uptrend. 12-5-1 Stochastics is also good, as I am sure many others are also.
Guppy Multiple-Moving Averages makes a good visual sort for these types of systems.
Some of these pullbacks will form Dragons and it does seem that Ben has worked a lot of the bugs out....
Another acceptable scan is to take your favorite index or criteria, say, the Russell 1000. Sort it by Price Increase in 26 weeks. Take the top however many you want to mess with and go from there. I don't care what the fundimentals are, the things are going UP!
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Registered User
Joined: 7/1/2008
Posts: 889
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"holy grail" is the first pullback to the 20 ema after a new high.
Fpetry, VITA is one of best looking charts out there as of today. I was hot on this one, and am really waiting for a little movement up to trigger a buy.
VITA is pretty much textbook nice..
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Registered User
Joined: 12/2/2004
Posts: 1,775
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QUOTE (ben2k9) "holy grail" is the first pullback to the 20 ema after a new high.
Fpetry, VITA is one of best looking charts out there as of today. I was hot on this one, and am really waiting for a little movement up to trigger a buy.
VITA is pretty much textbook nice..
Well I got stopped out 7/6 and wouldn't you know it I got a quick whiplash as price reversed. But now price is pulling back once more with very light volume and I think it might set up again. Everything about the chart still looks fine to me, I simply got in too early first try, maybe a second try will be the charm.
Check out SVNT on its light volume pullback to its 20-day. A new one on my radar is FHCO.
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Registered User
Joined: 7/1/2008
Posts: 889
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Check out UBET.
And also CHLN.
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Registered User
Joined: 12/2/2004
Posts: 1,775
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QUOTE (ben2k9) Check out UBET.
And also CHLN.
Ben, thanks for tip, really like the way UBET bounced off its 50. I've had CHLN on my watchlist for a while too.
Another I nibbled on with small starter size at close was XRTX.
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Registered User
Joined: 12/2/2004
Posts: 1,775
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Two weeks later and VITA still looking dandy imo. This latest pullback for past two weeks looks ideal to me...gradual drooping flag with tight daily ranges combined with drying up of volume. The 20-day (simple and exponential) seems to be acting as good short term support since 7/13, and as long as that level holds VITA will remain near top of my watch list. But price would have to close below the 50-day before I would delete it. Earnings out a week from today, so extra bit of caution.
The daily chart shows a bit of an anomaly or error imo. On 7.23 the chart shows a gap down with low of 5.08, when in fact I never got an alert that day for price under 5.25, and looking at the intraday chart I see no trade that went through a price level lower than about 5.30. The point for bringing this up is that the current 2 week flag would look even sounder if the price bar on that date was correctly shown.
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Registered User
Joined: 7/17/2009
Posts: 42
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QUOTE (ben2k9) Check out UBET.
And also CHLN.
UBET has earnings early next week.
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