CTO trade ideas
$COST: Accumulation Support AreaLast week's momo was not enough to break through previous support at 112.40. If we get accumulation or and a bounce with enough momo, we should look to test 114, and possibly 116. If we lose support around 111, price will find support around 107.
COSTCO WON'T QUITCostco has been going up forever and it is almost at an attractive buying point. It broke my trend change line so I would epect it to go sideways for a few days before continuing the upwar trend. It will probably bounce arond 116-120 so try to get in as close to 116 as possible. Long-term upside potential is undetermined but it should go past its most recent highs of 126 no problem.
I would use 113 as my stop loss if you are looking for the quick dollar.
I would use the weekly support for the long-termers.
1/12
EDITED: Costco Reaches Price Channel ResistanceCOST is currently resting on the resistance line of a price channel that it has been in for 384 days. I would wait a couple of days before entering a short position for two reasons. The first being that it could break through the resistance line, and the second being that the .5 trend based fib is at 107.48, so I would wait a couple of days to see if it reaches that, then expect the reversal to take place. Many traders (including myself) think that the market is in for a correction in the very near future. This would be a good play if you're unsure on your outlook of the overall market, as COST should go down whether SPY has its correction or not.
Entry Point: 107.48
Exit: 99.5
Profit: 8.02%
EDIT: The edit made to the chart was a slight change in the slope of the price channel because the first one was a little off, which made the .5 trend based fib level outside of the price channel, when it in fact should be in the price channel.
