Will SAH make a turn trading higher? The 30 minute trading time frame is showing that a 5 wave downtrend may be near completion. The only problem with this call is that a stock offering was announced today at 10.10. The stock made a double bottom at 10.01, however usually after a stock offering there is many days of weakness or flat trading that may create volatile trading.
The stop loss will keep us from loosing our shirts in the trade however, the stock may only trade to its wave 3 target of 12.87 or find resistance at its 200 day moving average of 11.62 and trade sideways in a tight range because of the offering. This could be a frustrating trade to the upside or a very quick and decisive stop loss triggered.
Use your personal trading strategy to move your stop loss up according to the strength of the move to protect profits. Always respect your stop loss order even if you miss the trade. If you find that you are often getting stopped out of trades before the move higher, reevaluate your wave count, MACD and trading time frame durations to determine where improvements can be made. Even if you find that no major improvements are needed, take a break and focus on something less intense until you regain a clearer picture of your trading strategy.
The short term trade analysis for SAH is being tracked in its trading alerts page.