Monday, March 26, 2007

Lost Wendy

I thought I could hold onto WEN but the stop loss is king and she hit it this morning taking her out. Looking at the 30 day chart all I saw was a dead money indicator (despite what the pivot model showed) - so that's the way of that.

You can see the dead money indicator on Thursday and Friday - if she breaks out again I'll buy her again but until then adios MF.

The other thing to notice on this chart is the fact that the "W" is completing and now it looks like the down leg of the "M" might be forming. For trending stocks - before they change direction they usually stop.