The stock moved higher in early trading, and the increasing momentum in the MACD indicator prompted me to buy in. However, the bears took control in the afternoon session, which made me a bit concerned.
Positives
- Price is above the 10, 20, 50, and 200 moving averages
- The MACD is gaining strength.
Negatives
- There is resistance ahead
- Did not close near today’s high
Trade Plan
- Stop loss: Intraday low
- Target: $40
