NKED trade ideas
Nike gap up and breaks above EMA200 and EMA50Nike advance 12% since BoD signal appears on 25 Mar.
17 April
+Gap up and Slow Turtle Buy signal breaking out from symmetric triangle and Fibo 0.618
=Price managed to stay above EMA50, EMA200 but below pychological resistance 90.
=FiFT indicator still green (Bull force in control) but breakout volume is not impressive.
+ATOM stay green indicating the stock is trending
Plan:
Continue to hold and add position when close above AND retest 90.
Target 95.
Exit if price close below EMA50.
NKE post earnings gapHistorically NKE will lose trading volume after earnings, combined with weaker price action, this stock will stabilize around the bottom of the gap. RSI points to an overbought signal which after back-testing this indicator, shows that the share price of NKE does not like to live above 80 for longer than a day or two with large upward price action. MACD is at the peak of its convergence, there is a high probability that the moving averages will begin to diverge in the next week. This could be setup for a nice swing trade, I admit I am "jumping the gun" on this one, but with a decent risk-reward of ~2.5 the losses could be minimizes easily. Good luck!