Get started

Reversiontomean

Will REX revert to the mean ?REX hit a 52-week high after an analyst upgrade. Was this enough to justify a 12% increase in a nonvolatile business, the ethanol production business to support its addition to gasoline to combat air pollution and so global warming. Production and so revenue is not accelerating although it may be a bit seasonal during the summer driving and vacation season. On the daily chart, RE put in a massive bullish bar with wicking above the third upper Bolliger Band set at 2.618 ( Fib level) standard deviations. REX did this on 5/25 and then dropped. I see it doing the same thing again. This demonstrates the version to the mean or "rubber-band" concept. I will stock trade REX short and look at the mid- October put options.
NYSE:REXShort
by AwesomeAvani
weekly pivot retracement bounceI think we will perhaps see technical bounce to at least the developing pivot as we always do with new weekly pivots. however with one half day of price action remaining it could be brought down lower or up higher before that magnet is set in stone. So if you are playing the bounce from here you could use daily camarilla l4 as stop loss as we are currently at the l3 which is,projected range low. or alternatively you could use dca in small incriments until that developed pivot is locked in or bounce has initiated. As always pay attention to money managment and be careful. I am looking at camarilla pivots weekly and daily levels. If bounce does,work out you might secure some profits at daily h3 in the 50.8 or so area. and then developing weekly. 51.5 to 52 as it is currently and then see how it goes from there.
Long
by Gunslinger2005
1
Gold futures - potential mean of reversion trade9 Apr 2020 recap - Gold futures ( COMEX:GC1! ) jumped up 4% on last Thursday fueled by the worst jobless claim numbers together with trillion dollars injection by the FED. The volume was low on that breakout day suggested the the strong spike up was on the background of lacking of supply.  On a higher timeframe, 1750–1800 levels are resistance as seen in 2011–2013. On H1 timeframe, the run up from the April's low to 7 April high has climatic characteristics followed by a swing down , which can be considered as a change of character of the up swing from 1–7 Apr. Current price action looks like an up thrust of the buying climax high at 1740, coincides with hitting the resistance (from 2011–2013). Movement between the trading range from 1670–1750 is expected for the Gold futures. A breakdown of 1730 could be the first sign of weakness for the possible down swing. Should Gold futures dropped below the support at 1670, 1600 is the next important support level. Bias - short term bearish, expect a swing down to 1670–1700. Key levels - Resistance: 1750–1800 Support: 1670–1700, 1600 Potential setup for Gold futures - look for a test of 1740–1755 for a potential short entry upon a reversal signal, with a target around 1670–1700.
COMEX:GC1!Short
by mingjong
CMG Expectation of Reversion to Mean after Earnings DisappointmeI think CMG has accumulated way too much hype and expectation in the recent run-up, which has caused the stock to rise above a flagging technical indicator. I expect that Earnings coming out Tuesday after market close will either disappoint or will fail to sustain the bull run any further, and that CMG will "revert back to the mean" by forming a significant down-leg returning it to the steady-state zig-zag pattern of matching up-and-down trends.
NYSE:CMGShort
by ambientdrone
USDCAD 1H Short: Reversion to MeanUSDCAD has been producing bullish moves, creating a possible uptrend on the Daily and 4H TF's. I want to take advantage of a the reversion to mean trade before buying this pair. A conservative TP can be placed at the completion of AB=CD for the correction. An unhit weekly pivot sits below price and is confluent with the 200 daily EMA for a possible T2. SL is placed tightly above recent highs as breaking this level will put me in the bullish camp.
Long
by glennmercer