HMNY Bullish on CCI crossup
The CCI crossed above +100 in the last couple of days, and this is a good way to find stocks that are in the beginning of strong moving trends. The CCI has also reached an all time high, extremely bullish, and the price has gapped up over previous highs turning those areas into support.
When the chart is moving fast like this, using the previous highs that are lower than the current price as stops, is a valid way to anticipate trade reversals and lock in gains. If the chart breaks out to new highs above all previous highs, then switch to using previous lows as stops including considering upwards diagonal lines. This is an excellent way to manage and keep trade risk to a minimum while enjoying continued high percent gains.
Placing stops with the price structure that the chart gives you can provide better risk management, than trying to conform all charts generically to an indicator stop or value that is derived from price instead. Support and resistance lines do not change, but indicators do.
When the chart is moving fast like this, using the previous highs that are lower than the current price as stops, is a valid way to anticipate trade reversals and lock in gains. If the chart breaks out to new highs above all previous highs, then switch to using previous lows as stops including considering upwards diagonal lines. This is an excellent way to manage and keep trade risk to a minimum while enjoying continued high percent gains.
Placing stops with the price structure that the chart gives you can provide better risk management, than trying to conform all charts generically to an indicator stop or value that is derived from price instead. Support and resistance lines do not change, but indicators do.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.