Here are two updates of charts where I was either too early or flat-out wrong in my original posts. Instead of getting caught up in the semantics associated with the “too-early-or-flat-out-wrong” paradigm so prevalent on blogs and social media these days, I find a better approach is to simply reevaluate and adjust if necessary.
I continue to stalk KORS as a potential long and have been for weeks. However, the stock simply has yet to give me the type of entry I am expecting. As you can see on the weekly chart, first below, we have seen several weeks of drifting lower after earnings volatility earlier this month. Going forward, if $55 can now turn into firm support I am still considering a swing long here for this technical base over base breakout high growth retail play, dating back to its 2011 IPO. Note that the base over break breakout has yet to be negated, despite recent weakness.
The second chart is the weekly timeframe of our beloved homebuilders. Here, again, I was too early in looking for a deeper correction, namely the volatility we saw in February. Nevertheless, the major level we were looking at inside 12631 was indeed that $30 zone, dating back to 2007. Despite that apparent significant price area, we have yet to see any type of bearish rejection away from those levels. So, I am going knock the table twice and respect the housing bulls on a hand well-played, even if stocks like Lowe’s have been churning for weeks on end. The actual price rejection away from $30 must present itself first before I would give that level the amount of credence the chart suggests.
Until I get my proper entries and triggers in ether of these trades, they are simply tenants in my watchlist real estate.
Too early, or flat-out wrong? I could not care less. No trigger, no trade.
I trade what I see. And I blog what I see.
______________________________________
___________________________________
So Chess you are just trying to say…smokem if ya gottem. Right!