STON - Fallen angel breakout trade from $6.73 to $8.87STON seems a very nice fallen angel setup with strong surge in Twiggs money flow. We think it has good potential to rise to $9 area.
Date First Found- October 23, 2017
Pattern/Why- Fallen angel, breakout trade
Entry Target Criteria- Break of $6.73 (hit October 26, 2017)
Exit Target Criteria- 1st Target $6.87 (hit October 27, 2017), 2nd Target $8.87
Stop Loss Criteria- $6.43 (updated October 31, 2017)
Indicator Notes- Twiggs Money flow accumulating
Special Note- Good insider buying
Trade Video link - www.youtube.com
Time Span - 0:06:25”
Next Earnings Release Date- N/A
Relevant Updates:
November 7th- created a higher high and a higher low and closed strong. This continues to look good as a long.
October 31st- approaching its 100 day SMA at $7.14 which could offer some resistance. Updating our stop loss criteria to $6.43
October 27th- hit our first exit zone criteria and now we watch for a potential bigger move higher
October 26th- hit our entry zone criteria and now we wait and see.
STON
STON Short setup into a major low and longer term Bull rallyI was researching STON for a longer term ownership and partnership payout with a healthy yield.
Yes, it is an LP so it has all the pass through profit and tax implications along with dilution for new issues.
However, if there are a LOT of Baby Boomers and it could be a serious high cash yielder in a dividend portfolio.
If you're EW savvy, I believe there's an Ending Diagonal on the daily setting up a short at 25.51 and then into a long at 20.60 with potential for serious cash yield farming for a substantial period of time of over 3 years. Maybe indefinetely depending on how the market unfolds.
Will post a weekly chart in comments also.
