MDR Daily Chart ~ Gap Filled and Now Heading Much
Post# of 2559
Posted On: 01/01/2014 6:31:17 PM
MDR Daily Chart ~ Gap Filled and Now Heading Much Higher
The triple bottom of the 6.68 to 6.80s was the level to consider for your first entries. The stock had been channeling for months between that level and the 7.70s whole building a new base after getting hammered with some bad news back in early Aug. Over the last few weeks, MDR has continued its attempt to close the gap created on that bad news. A break above the 8.50 level closed that gap and now the stock has the legs to begin testing the various horizontal resistance points of previous highs. So far Tuesday saw the first one hit. Next up would be the 9.60 level. When we get there, I'll expand the timeframe to see where the stock might find the next resistance point. For those of you that are following along and learning the charts, MDR is a great example of what I mean when I mention a gap and the closing of one. Coincidentally, at the same level the gap was closed, the MA200 was at the same level. That probably had more to do with the move up of the last three days than did the closing of the gap. Many times, once a gap is closed, a stock will sell off. GLTA
The triple bottom of the 6.68 to 6.80s was the level to consider for your first entries. The stock had been channeling for months between that level and the 7.70s whole building a new base after getting hammered with some bad news back in early Aug. Over the last few weeks, MDR has continued its attempt to close the gap created on that bad news. A break above the 8.50 level closed that gap and now the stock has the legs to begin testing the various horizontal resistance points of previous highs. So far Tuesday saw the first one hit. Next up would be the 9.60 level. When we get there, I'll expand the timeframe to see where the stock might find the next resistance point. For those of you that are following along and learning the charts, MDR is a great example of what I mean when I mention a gap and the closing of one. Coincidentally, at the same level the gap was closed, the MA200 was at the same level. That probably had more to do with the move up of the last three days than did the closing of the gap. Many times, once a gap is closed, a stock will sell off. GLTA
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