KFT psar bull signal

The processed food company Kraft (KFT) is showing a psar bull signal.

The price is in an extreme sideways pattern, bound by $29.25 and $28.50 or so. This is not the stuff of which great directional trades are made.

I see it as a possible iron condor, maybe $30 to $28 for the area of maximum profit at expiry. By my rules, we're too far out from the April expiry for iron condors. So not a trade for me.

You are here:

• Resistance:
• $30.10, 3.4%
• $29.37,0.9%
• Now $29.10
• Support
• $28.30, -2.7%
• $27.83, -4.4%
• $27.09, -6.9%

Even above the $30.10 resistance, there are many more close-in resistance levels. This is not a blue sky stock until it hits $43.95. I won't hold my breath.

Also, note how much further away support is compared to resistance. To me this means a poor risk/reward ratio.

Abbreviations:
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic